GGRAsia – RGB quarterly loss down y-o-y, higher EBITDA

RGB quarterly loss down y-o-y, higher EBITDA

May 31, 2022 Newsdesk Industry Talk, Latest News, Rest of Asia

Casino electronic games and services supplier RGB International Bhd narrowed its quarterly net loss by 30.8 percent judged year-on-year, in the three months to March 31, but such loss was up sequentially, it revealed in a Monday filing to Bursa Malaysia.

The first-quarter loss was just above MYR3.3 million (US$757,227), versus nearly MYR4.8 million in the prior-year quarter. The latest quarterly loss widened from the marginal MYR76,000 loss in the fourth quarter last year.

But RGB had warned in the fourth-quarter and full-year results issued in February, that it expected “market conditions to remain volatile for 2022, due to the uncertainties amid the fluidity of the Covid-19 situation, especially in the countries where the group operates”.

For first-quarter 2022, group earnings before interest, taxation, depreciation and amortisation (EBITDA) rose 15.4 percent year-on-year, to MYR9.8 million.

Group EBITDA were mostly derived from its three main business segments: sales and marketing, technical support and management, and engineering services.

First-quarter revenue fell by 6.2 percent year-on-year, to MYR32.0 million.

Sales and marketing revenue narrowed 13.4 percent year-on-year, to MYR14.8 million. Revenue and profit before tax in the segment “decreased by 13 percent and 2 percent respectively,” year-on-year, “mainly due to decrease in number of products sold and variation in product mix,” said the firm.

Technical and support management revenue was roughly flat, at MYR16.8 million. But RGB added that the segment’s quarterly pre-tax loss of MYR3.9 million “decreased by 17 percent” year-on-year, “mainly due to better operational efficiency”.

Engineering services revenue was down 15.7 percent year-on-year, at MYR91,000.