Casino supplier RGB slims quarterly loss sequentially in 3Q

Nov 30, 2020 Newsdesk Latest News, Rest of Asia, Top of the deck  

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Casino electronic games and services supplier RGB International Bhd narrowed its quarterly loss sequentially for the three months to September 30, the firm told Bursa Malaysia on Friday.

Such loss was MYR11.9 million (US$2.9 million), compared to a MYR14.0-million loss in the second quarter. In third-quarter 2019, profit for the Malaysia-based group had been positive by nearly MYR11.2 million.

No dividend has been recommended by the directors for the financial period ended September 30 this year.

Group revenue for the three months to September-end fell 64.2 percent year-on-year, to just under MYR40.0 million, from MYR111.6 million.

Group earnings before interest, taxation, depreciation, and amortisation (EBITDA) fell by 92.5 percent year-on-year in the third quarter, to MYR1.7 million, from MYR23.2 million.

The latest reporting quarter saw revenue in RGB’s key segments – casino equipment sales and marketing; and technical support and management – dip sharply year-on-year.

For the first category, revenue was just over MYR30.0 million, down 62.7 percent on the MYR80.6 million achieved a year earlier.

RGB said the decline in revenue and profit from the sales and marketing division was “mainly due to decreased in number of products sold.”

Revenue for technical support and management was just under MYR9.6 million, a contraction of 68.8 percent on the prior-year quarter’s nearly MYR30.7 million.

The decrease in revenue related to technical support and management was because of the “suspension of certain” of the company’s operating outlets, while other were “operating at a certain capacity set by the respective local authorities due to social distancing measures to prevent the spreading of Covid-19,” said the company.

But engineering services registered an 11.5 percent year-on-year improvement in revenue, to MYR348,000.

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