Delta Corp plunges over 5% after net profit tanks 59% in Q3

Delta Corp share price NSE, Delta Corp Q3 result 2024: Delta Corp, NSE: DELTACORP shares, on Wednesday, January 10, continued its losing streak for the fourth consecutive session after the online gaming firm reported a 59 per cent year-on-year decline in its consolidated net profit for Q3 at Rs 34.48 crore on January 9, post-market hours. The company's income from operations stood at Rs 181.54 crore, 18 per cent lower than the year-ago period.

The stock declined over five per cent to hit the day's low of Rs 143.1 on NSE in morning deals. The counter ended 2.95 per cent lower at Rs 155.1 on NSE.

The company, which is also a casino operator, said the GST demand worth over Rs 23,200 crore is arbitrary and contrary to the provisions of the law, and hence it has not made any provisions for the same.

In a footnote alongside its Q3FY24 numbers, Delta Corp 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, for alleged short payment of Goods and Services Tax (GST) aggregating to Rs 16,822.9 crore for the period July 1, 2017, to March 31, 2022.

On October 28, 2023, another subsidiary of the company received a GST show cause notice aggregating to Rs 6,384.32 crore for the period July 1, 2017, to November 30, 2022, from DGGI, Kolkata.

Delta Corp said the demands made by the authorities on the gross bet value/ gross face value as against gross gaming revenue/gross rake amount have been an industry issue, and multiple representations have been made by the industry participants to the government in this regard. Read more

Delta Corp share price history 

Delta Corp's stock has given a negative return of over 25 per cent in the last 12 months. In comparison, the headline index Nifty 50 has rallied nearly 21 per cent. Delta Corp has a market capatalisation of Rs 4,15,312.97 lakh, according to data available on NSE.

(with PTI inputs)

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