Delta Corp, India’s only listed casino & online real money gaming company, has reported a substantial decline in its consolidated net profit for the third quarter ended December 2023. The net profit plunged by 59% year-on-year (YoY), dropping from Rs 84.8 crore to Rs 34.4 crore during this period. Likewise, the company’s revenue from operations experienced a 15% YoY decrease, falling from Rs 273 crore to Rs 232 crore in the same quarter of the previous year, reported Economic Times. The drop in revenue in the last quarter of 2023, is attributed to the increase in GST to 28% for the gaming sector implemented by the government from 1st October 2023.

The earnings before interest, taxes, depreciation, and amortization (EBITDA) for the reporting quarter stood at Rs 55.5 crore, marking a significant 45% decrease from Rs 102 crore in the corresponding quarter of the previous fiscal year. Consequently, EBITDA margins also witnessed a sharp decline, dropping from 37.4% to 23.9% in the October-December period.

Examining the performance across segments, the income generated from gaming operations recorded an 18% decrease, declining to Rs 181 crore compared to Rs 222 crore in the corresponding quarter of the previous year. Similarly, revenue from online skill gaming operations experienced a 9% YoY drop, amounting to Rs 39.13 crore during the reporting period. However, the hospitality business saw a marginal increase in revenue, reaching Rs 13.74 crore.

Other income for the quarter rose by 9%, reaching Rs 12.73 crore compared to Rs 11.65 crore in the same period last year. On a sequential basis, Delta Corp’s net profit halved from Rs 69.44 crore reported in the preceding September quarter.

The financial results indicate a challenging quarter for Delta Corp, marked by significant declines in net profit, revenue, and EBITDA.