Ace investor Rakesh Jhunjhunwala and his wife Rekha Jhunjhunwala have lost over Rs 256 crore in Delta Corp share since the beginning of this year. The stock of Goa-based casino and gaming player has fallen 64.78% since December 31 2019. Currently, Delta Corp share stands at Rs 69.70 compared to the price of Rs 197.95 on December 31 last year.
Rakesh Jhunjhunwala and his wife Rekha Jhunjhunwala held 1.15 crore shares and 85 lakh shares of Delta Corp at the end of quarter ended December 31. That valued their stake in the firm at Rs 395.9 crore. With the share price falling over 64% till date, value of their stake has fallen to Rs 139.4 crore. That leads to an erosion of Rs 256.5 crore in their portfolio since the beginning of this year.
The small cap stock has lost 7.27% in last three days. It has fallen 73% in the last one year and 24% in one month. In comparison, Sensex has fallen 20.83% during the last one year and declined 10% in one month.
Delta Corp share price hit a 52-week low of Rs 54 on March 25 this year. Delta Corp share touched a 52-week high of Rs 261.75 on April 11, 2019.
During March-end, veteran investor RadhaKishan Damani purchased 15,50,000 shares of Delta Corp at Rs 65.25 each.
After the transaction, Delta Corp shares closed nearly 5 per cent higher at Rs 65.35 on April 1. The board of firm on March 28 cleared a buyback of shares worth up to Rs 125 crore at a price not exceeding Rs 100 per share.
On 28 March 2020, promoters and promoter group held 32.77% stake in the company. However, the firm had to shut its casinos in Goa and Sikkim in the middle of March as part of the government's efforts to minimise the spread of coronavirus.
Delta Corp reported consolidated net profit of Rs 196.44 crore for the fiscal ended March 2019 compared to Rs 155.48 crore for the fiscal ended March 2018. Its revenue rose to Rs 829.10 crore for the fiscal ended March 2019 from Rs 636.28 crore in the fiscal ended March 2018.
Basic earnings per share for 2019 fiscal stood at Rs 7.30 compared to Rs 5.92 for fiscal ended 2018. Return on capital employed rose to 15.79% in last fiscal compared to 13.95% for the fiscal ended 2018.
Delta Corp is engaged in the entertainment and gaming, real estate, hospitality and aviation segments of the industry. The company operates its gaming and hospitality businesses under the DELTIN brand. It owns approximately three casinos in Goa, including Deltin Royale, Deltin JAQK and Deltin Caravela.