Delta Corp shares plunge 5% after weak Q3 FY24 earnings
Delta Corp, an online gaming firm, plunged 5% to ₹143.10 apiece in early deals on Wednesday after the company delivered a weak set of numbers for the December-ending quarter (Q3 FY24). The company on Tuesday reported a consolidated net profit of ₹34.48 crore in Q3 FY24, marking a substantial decline of 59.34% compared to the net profit of ₹84.82 crore in the corresponding period of the previous year.
The revenue from operations for the quarter also came in lower at ₹234.41 crore in Q3FY24, marking a 15.58% decrease from ₹277.68 crore in the corresponding quarter of the previous fiscal year. The company posted an EBITDA of ₹55.5 crore, which is a 45% decline compared to ₹102 crore posted in Q3 FY23.
EBITDA margins came in at 23.9%, experiencing a1,350 basis point fall compared to 37.4% in the October-December period of the previous fiscal year. Also Read: Vedanta share price falls over 2% after Moody's downgrades rating on senior unsecured bonds Breaking down the segments, income from gaming operations witnessed an 18% fall to ₹181 crore in the third quarter of FY24, as against ₹222 crore in the corresponding period of the previous year.
Online skill gaming operations revenue also saw a 9% year-on-year decline, reaching ₹39.13 crore in the reported period. On a positive note, revenue from the hospitality business showed a marginal uptick, reaching ₹13.74 crore.
In addition to its Q3 FY24 numbers, the company said that on September 27, 2023, the holding company and its two subsidiary companies received show-cause notices from the Directorate General of GST Intelligence (DGGI), Hyderabad. These notices allege a short payment of Goods and Services Tax (GST) totaling ₹16,822.9 crore for the period from July 1, 2017, to March
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