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Casino major Delta Corp has announced the results relating to the fourth quarter of FY23, which also contains the results of the entire FY23. The company’s performance in the fourth quarter wasn’t particularly impressive compared to FY22 but reported substantial growth.
For the uninitiated, Delta Corp. is the flagship business of the Delta Group and the only publicly traded business operating a casino in India. The business was founded in 1990 and operates in a variety of industries including real estate, hospitality, online gaming, and casino gaming. Its subsidiary is in charge of running the renowned Adda52 online gaming site.
In the January-March 2023 quarter, the company reported a 4.65% YoY growth in revenues while the same saw a massive decline of 18% on a sequential basis. The company’s Gaming Operations saw marginal improvement in revenues. Hospitality is the only segment of the company that grew consistently.
According to the company’s explanation, “Deltin Royale”, the company’s biggest casino vessel, had to undergo maintenance for 29 days, which resulted in lower revenues. For the quarter, the company’s profit stood at Rs 51.17 crores, up 6.4% YoY but down 40% on a sequential basis.
For the period of 12 months from April-March 2023, the company logged over 3x times growth in profits. Total revenues stood at Rs 1,258.10 crores for FY23, up 68% YoY as Gaming Operations continued to be the company’s highest earning segment. Online gaming operations and Hospitality did not log much growth, but they grew nonetheless.
Employee benefits and Miscellaneous expenses continued to be the largest expenses for the company as total expenses for the period came in at Rs 738.69 crores, up 35% YoY against Rs 548.45 crores reported in FY22. As expenses could not keep up with the growth in revenues, the profit of the company reported a massive surge. For FY23, the company reported a net profit of Rs 261.37 crores, almost 4x times more than Rs 66.99 crores reported in the previous financial year.
As such, EPS, which was Rs 2.51 per share in FY22 grew to Rs 9.77 in FY23. Following such growth in a year, the Board of the company has announced a dividend of 125% or Rs 1.25 per share for its shareholders.
The stock of Delta Corp closed at Rs 190.60 per share today.
- Aman Agarwal
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