Casino Technology Company RGB Increases Q4 Profit By 80 Pct On Revenue Increase

Casino equipment maker RGB International Bhd on Thursday posted a 79.8% year-over-year increase in profit to 14.7 million yuan ($3.5 million) in the fourth quarter of 2019, driven by higher revenue during the period.

The company said in a filing with Bursa Malaysia that group sales in the three months to Dec. 31 last year rose 68.1% to just over 132.1 million yuan.

Earnings before interest, taxation, depreciation and amortisation (EBITDA) were nearly 29.2 million yuan in the October-December period, up 86.9% year-over-year.

RGB Board of Directors has proposed a single tier dividend of MYR0.003 per common share for FY 2019.

Product sales and marketing revenue, the company's main segment, rose 76.4% year-over-year to MYR 97.7 million during the reporting period. Pre-tax profit for the segment rose 59.2% year-over-year to nearly MYR 10.8 million in the fourth quarter of 2019, the company said, due to an increase in "number of products sold" in the reporting quarter.

The technical support and management segment delivered a quarterly revenue of MYR 33.7 million in the year to Dec. 31, up 47.8% from the corresponding quarter in 2018. Quarterly pre-tax profit for the segment rose 235.2% year over year to about MYR 6.8 million, "mainly thanks to improved earnings and additional outlet openings for the year," the company said.

For all of 2019, RGB reported net income of nearly 39.8 million MYR, up 13.1% year-over-year. However, revenue for the 12 months to Dec. 31 was down 7.4% year-over-year to MYR 351.1 million. EBITDA for the year was up 26.0% from 2018 to MYR 82.8 million.

Product sales and marketing revenue fell 15.7% year-on-year to slightly below 223.5 million yuan, but pre-tax profit for the sector rose 15.8% to 27.8 million yuan. The higher revenue reported in 2018 was "due to mass sales to integrated resorts in Indochina, where margins are low," RGB said.

Pre-tax profit for the tech support and management segment fell 1.6% to 22 million yuan for 2019, actually up 13.2% to 12.5 million yuan. The company said "better performance" and additional outlets boosted revenue for the segment, but "higher depreciation" and "additional provision for jackpot debt to new machines placed in new outlets" negatively impacted its profit.

BY: 온라인카지노