Malaysian gaming machine distributor RGB International Bhd has recorded a 17% fall in profit to MYR7.2 million (US$1.7 million) in the three months to 30 June 2019, hindered by a delay in bulk orders in its Sales and Marketing (SSM) division.
RGB saw its revenue decline 67% to MYR55.2 million (US$13.1 million) for the quarter, with profit and revenue in the SSM division down 66% and 83% respectively.
Explaining the results, RGB referred to the “late delivery of certain bulk orders to various countries” and “bulk sales to an Integrated Resort in Indochina in previous year’s corresponding quarter,” adding that the delayed orders in the reported quarter are expected to be recognized later this year.
By comparison, the company’s Technical Support and Management (TSM) division saw revenue increase by 14% to MYR31.4 million (US$7.5 million) and profit by 28% to MYR5.2 million (US$1.2 million) due to “better performance in most of the outlets.”
Despite the contrasting segmental results, RGB said it expects FY19 to see an improvement over its FY18 performance which saw revenue of MYR379.3 million, profit before tax of MYR47.4 million and EBITDA of MYR65.7 million.
“The Group continues to capitalize on the strong demand of our products and services across the regions. Barring unforeseen circumstances, the Group expects to achieve a better performance this year,” it said.
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