Delta Corp share price falls 6%; here's what you should know

Shares of India's largest casino operator Delta Corp Ltd tumbled over 6 per cent in Wednesday's trade, a day after climbing 11 per cent, as investors chose to take some profits off the table. The stock gained in the previous session as the Union Cabinet, chaired by Prime Minister Narendra Modi, approved the Online Gaming Bill, which makes online betting a punishable offence. The bill is expected to introduce in Lok Sabha today.

Last week, Delta Corp in its annual report noted that it exited the online gaming business by divesting Deltatech Gaming (Adda52) to Head Digital Works (HDW) for Rs 491 crore, with a post-merger stake of 5.7 per cent in HDW, ensuring continued participation in the digital gaming space through a stronger, consolidated platform.

"Through our strategic stake in HDW, we remain invested in India’s rapidly evolving digital gaming landscape. Adda52 – India’s trailblazing online poker brand – will benefit from greater scale, synergy, and renewed momentum, reinforcing its market leadership. This integration paves the way for a robust, diversified card-gaming ecosystem and supports the consolidation of the country’s real-money gaming sector," it noted. 

On Wednesday, Delta Corp's share price fell 6.47 per cent to hit a low of Rs 87.24 on BSE. The stock though recovered some of the lost ground and was last trading at Rs 92.03, down 1.34 per cent. 

Delta Corp’s casino business contributed 92 per cent of its operating revenue in FY25, cementing its position as India’s largest casino operator with three offshore licences, three land-based properties, and a total capacity of 2,000 gaming positions.

Casino revenues in 2024 stayed broadly steady, as operators absorbed the impact of higher taxes within their margins. The 2023 policy change had imposed a 28 per cent GST on the full face value of chips purchased by players, replacing the earlier levy on Gross Gaming Revenue (GGR). Online gaming firms faced a similar shift, with the 28 per cent GST now applicable on total deposits instead of just platform fees.