GGRAsia – Slot maker and manager RGB slips to US$3mln 2Q loss

Slot maker and manager RGB slips to US$3mln 2Q loss

Aug 27, 2020 Newsdesk Latest News, Rest of Asia, Top of the deck

Casino electronic games and services supplier RGB International Bhd reported to Bursa Malaysia on Wednesday a second-quarter loss of just over MYR14.0 million (US$3.4 million), compared to a nearly MYR7.2-million profit in the second quarter of 2019.

An interim single-tier dividend of MYR0.003 per ordinary share for the financial year ended December 31 was paid on April 15 this year, the firm noted.

The Malaysian group’s revenue for the three months to June 30 this year slipped 73.8 percent year-on-year, to MYR14.4 million, from nearly MYR55.2 million.

Second-quarter earnings before interest, taxation, depreciation and amortisation (EBITDA) were down more than 1,000 percent, to MYR179,000, from MYR15.3 million in the prior-year second quarter.

Revenue from product sales and marketing was down 44.6 percent year-on-year, to just over MYR12.8 million, from nearly MYR23.2 million in the second quarter 2019.

Technical support and management revenue declined by 95.2 percent, to just under MYR1.5 million, from nearly MYR31.4 million in second-quarter 2019.

Revenue from engineering services went down by 83.5 percent, to MYR97,000, from MYR587,000.

The decline in technical support and management revenue performance was “mainly due to the suspension of respective [gaming] outlets during the lockdown period, imposed by various countries starting from mid-March 2020, as part of the measures to prevent the spreading of Covid-19,” said RGB.

It added: “The impact of the Covid-19 pandemic could be significant … and the group is in the process of assessing the full financial impact of [the] pandemic for the financial year ending 31 December 2020 since ongoing developments remain uncertain at this point in time.”