Delta Corp saw quarterly online revenue increase by 60 per cent year-on-year as overall revenue fell due to closure of its land-based casinos.
India.- Delta Corp Limited has announced financial results for the second quarter of 2020 showing an increase in revenue from its online games.
While its land-based casinos were closed, producing no revenue for the quarter, Delta saw a spike in online activity with online revenue up 60 per cent year-on-year.
The company’s online unit comprises Gaussian Networks Private Limited and Gaussian Online Skill Gaming Private Limited, operators of online poker site Adda52.com.
It said: “Adda52 has seen a revenue surge and growth at a faster pace than normal during these times”.
Total revenue for Delta during the second quarter dropped 68.5 per cent to US$8.1 million, with more than US$7.5 million coming from online gaming – a 60 per cent rise year-on-year.
Casinos in India entered lockdown in the third week of March. The restrictions were lifted in two stages, first on June 1 and then a month later.
Since the Goa state government has allowed tourism activities to recommence, Delta says: “normalcy could be gradually restored during the financial year ending 31st March, 2021”.
When assessing the impact of the lockdown in the business, the firm concluded that the financial results for the quarter do not have any material adverse impact on the net worth of the company.
The board considers the existing liquidity of the firm adequate to fulfil its obligations, but it has requested the Goa state government waiver payment of the annual licence to operate casinos given that operations were halted for several months. Delta believes there should be a proportional mechanism to compensate the time the casino was shut down.