Delta Corp reports sharp rise in Q3 profits, looking to explore IPO of online gaming unit

12 Jan 2022 , 09:59 AM

Shares of Delta Corp Ltd surged on Wednesday morning trade following the announcement of Q3 results.The stock is currently trading at Rs289.90 up by Rs7.2 or 2.55% from its previous closing of Rs282.70 on the BSE.

Delta Corp, one of the major players in casinos and hotel operations, has reported a significant growth in earnings for the Quarter ended December 2021, with a consolidated profit of Rs 70.38 crore, which increased significantly from last year.

The company has recorded a net profit of Rs 1.28 crore in the December 2020 quarter against a loss of Rs 22.57 crore in the September 2021 quarter.

For the Q3 of FY’22, consolidated revenue from operations jumped to Rs 247.22 crore, just doubled from Rs 120.82 crore for the last year, and has trebled compared to the consolidated revenue of Rs 74.72 for the Quarter ending September 2021.

The company also mentioned that the funds raised by GNPL would enable it to use such resources for severe expansion of its business and create value for the shareholders.

Board has approved the appointment of advisors, bankers, and other intermediaries by subsidiary Gaussian Networks (GNPL), which is engaged in the online gaming business, to explore a potential public issue and listing of equity shares of GNPL (including by way of offer for sale of equity shares of GNPL held by the Company)," said Delta Corp in its BSE filing.

Delta Corp also indicated that the group is debt-free and would have adequate liquidity to meet its liabilities and other obligations, as and when needed.