Delta Corp Q2 results: Net profit rises 1.6% to Rs 69.4 cr; firm appoints new CFO

Casino operator Delta Corp Ltd on Wednesday reported 1.6% increase in consolidated net profit at Rs 69.4 crore for the quarter ended September 30, 2023. It reported consolidated net profit of Rs 68.3 crore in the year-ago period. 

The company's revenue rose marginally to Rs 270.6 crore in Q2FY24 as compared to Rs 270 crore in Q2FY23. 

The company said its margin was 37.1% in Q2FY24 as against 37.2% in Q2FY23. 

On Wednesday, Delta Corp's scrip on BSE closed trading 0.5% higher at Rs 143. Shares of the company have been under pressure ever since the GST Council agreed to impose a 28% tax on online gaming, casinos and horse racing.

Revenue from its key casino gaming division was up 3.4%, while its revenue from its smaller online skill gaming division - which includes poker and rummy games - fell nearly 14%.

Costs excluding tax expenses rose 1.8% on the back of a 3.3% rise in licence fees and registration charges.

Delta Corp on Wednesday appointed Anil Malani as the new Chief Financial Officer of the company, replacing Hardik Dhebar, who had stepped down in August.

Last month, Delta Corp said that it received a notice to pay Rs 11,140 crore in tax arrears.

Delta Corp also said that its two units received intimations of an additional tax shortfall aggregating to 56.83 billion rupees for the period between July 2017 and March 2022.

Delta Corp, which owns casinos as well as poker and rummy websites, said that it would pursue legal remedies to challenge the tax demand and related proceedings.