Delta Corp posts 52pct profit gain in June
The Indian gaming company reported a US$4.1 million profit in June, up 52 per cent year-on-year.
India.- Delta Corp disclosed its financial results for June 2018 and revealed a 52 per cent net profit increase year-on-year after reaching US$4.1 million and beat analysts’ forecasts. In addition, the gaming company posted a US$15.95 million net revenue, rising 36.7 per cent in comparison to June 2017, mainly thanks to a 49 per cent income improvement in gaming operations.
“Upside to our expectations derived from all major reporting segments: casino gaming operations, online gaming, and hospitality with the biggest delta in absolute dollar terms coming from casino operations upside,” Union Gaming Asia managing director Grant Govertsen said in a note and added: “Simply put, demand for the company’s riverboats in Goa remains very robust and continues to make the case for the transformational land-based move.”
Furthermore, Govertsen explained that higher licence fees have forced about 50 per cent of the smaller casinos to shut down their operations and that had a positive impact on the company’s results. “For Delta, the biggest impediment to growth in the out years will be a lack of physical space to accommodate customers given that riverboat casinos have a finite amount of space,” he added.
