Malaysian-based gaming equipment supplier RGB International Bhd reported a loss of MYR6.7 million (US$1.7 million) for the three months to 31 December 2020, down from a profit of MYR14.7 million (US$3.6 million) in 4Q19 but improved from a loss of MYR12.4 million (US$3.0 million) in the September quarter.
The results followed a 60% year-on-year decline in revenue for the quarter to MYR52.2 million (US$12.9 million), including a 62% fall in RGB’s main Sales and Marketing Division to MYR37.2 million (US$9.2 million) “mainly due to [a decrease] in number of products sold resulting from the impact of COVID-19 pandemic.” The Sales and Marketing Division recorded a profit of MYR4.0 million (US$986,000).
RGB’s Technical Support and Management saw revenue fall 56% year-on-year to MYR14.9 million (US$3.7 million) with a loss of MYR8.7 million (US$2.1 million).
Both divisions were considerably higher than in 3Q20, when Sales and Marketing reported revenue of MYR30.0 million (US$7.4 million) and Technical Support and Management revenues of MYR9.6 million (US$2.4 million).
For FY20, the company’s loss was MYR28.0 million (US$6.9 million).
Commenting on its prospects for 2021, RGB said the COVID-19 pandemic has “continued to place significant pressure on the respective countries’ economies, with the tourism, leisure and hospitality and gaming industries among the hardest hit by this unprecedented crisis.”
However, with vaccines now being rolled out worldwide, “the Group foresees some recovery in the gaming market and therefore a better performance for year 2021.
“The Group continues to implement various cost control measures across the regions to contain its expenditures and at the same time, the Group is embarking on new avenues by maximizing its existing resources to increase the revenue during this unprecedented period.
“The Group has also put in place stringent health and precautionary measures at all its properties to comply with the relevant standard operating procedures and to ensure the safety and well-being of its employees and visitors at all times.”