Delta Corp swung to a consolidated net loss of INR2.12 billion ($22.3 million) in the quarter ended June 30th, 2026, after booking a substantial provision linked to India’s Goods and Services Tax (GST) framework for gaming.
The India-listed casino operator had recorded a net profit of INR294.6 million ($3.09 million) in the same period last year.
Revenue from operations fell 8.5 percent year-on-year to INR1.69 billion ($17.7 million), according to the company’s unaudited financial results filed with the Bombay Stock Exchange on Tuesday.
GST provision reaches $32.1M
The reported loss was largely caused by an exceptional provision of INR3.07 billion ($32.1 million), recognized following a May 27th judgment by India’s Supreme Court concerning the application of GST to online gaming, betting, gambling and casino transactions.
The provision comprised estimated GST of INR1.44 billion ($15.1 million), interest of INR1.48 billion ($15.6 million) and a penalty of INR143.9 million ($1.51 million).
Delta Corp said the provision was recognised on a prudence basis while reserving its right to pursue further legal action.
The filing stated that the company ‘continues to believe that it has strong grounds to contest’ aspects of the GST claims, including the calculation of the liability, interest and penalties.
Before the exceptional charge, consolidated profit before tax declined 26.2 percent to INR277.4 million ($2.91 million), from INR375.7 million ($3.94 million) a year earlier.
Casino revenue and segment profit decline
The underlying casino business also weakened during the quarter. Casino gaming revenue fell 12.1 percent year-on-year to INR1.52 billion ($15.9 million), compared with INR1.73 billion ($18.1 million) in the corresponding period of 2025.
Casino segment profit declined 26.9 percent to INR199.5 million ($2.09 million), from INR273.0 million ($2.86 million).
Group EBITDA fell 19.5 percent to INR315 million ($3.30 million), while the EBITDA margin narrowed to 18.7 percent from 21.3 percent.
Hospitality provided the main positive contribution. Segment revenue increased 37.9 percent to INR165.5 million ($1.73 million), from INR120 million ($1.26 million) a year earlier.
Delta Corp also reported changes to its casino portfolio during the quarter. Deltin Denzong Casino in Sikkim was closed following a review of its operations. The company said the decision was intended to improve operational efficiency and long-term profitability.
King Casino was not operational during the period after vacating its previous location on the Mandovi River. Delta Corp is preparing to deploy a new vessel for the casino, subject to the necessary approvals.
