RGB Int’l reports revenue of $23 million for 4th quarter of 2023

March 1, 2024 Malaysia Industry Updates

RGB International Bhd, a Malaysian distributor and seller of gaming equipment, announced sales for the fourth quarter of 2023 of MYR108.6 million (US$22.9 million). This is a decrease of 9.4% from the same time last year and around 36.3 percent over the course of the quarter.

The firm made MYR9.4 million in profit the year before and MYR26.2 million the quarter prior, but the fourth quarter saw a loss that was mostly due to shareholders of less than MYR26.8 million. RGB blamed shipping delays on the decrease in efficiency.

Administrative costs increased sharply in the fourth quarter, rising 298.2 percent year over year to MYR47.6 million and 275.9 percent sequentially.

RGB declared a second interim dividend of MYR0.008 per share, which is payable on April 18, after the payment of a special dividend of MYR0.006 per share in October and a first interim dividend of MYR0.006 per share in January.

The company’s profits before interest, taxes, depreciation, and amortization (EBITDA) was negative in the fourth quarter of 2023, amounting to MYR13.8 million, as opposed to MYR25.4 million in the same period last year and MYR39.7 million in the third quarter.

Product sales and marketing accounted for the bulk of RGB’s MYR79.6 million in revenue in the fourth quarter, down 7.0 percent from the same period last year. While sales from the technical assistance and management sector fell by 16.2 percent year over year to MYR27.5 million, revenue from engineering services fell by 41.7 percent to MYR640 million.

In 2023, RGB’s profit to shareholders increased by 682.8 percent compared to the previous year, totaling around MYR36.5 billion. With MYR707.8 million in total sales, the firm increased its revenue by 159.7% from 2022 to 2023.

RGB recorded an extraordinary provision for impairment loss on trade receivables of MYR13.9 million for the sales and marketing division and MYR21.2 million for the technical support and management division for the quarter that ended on December 31, 2023. In its filing, RGB said that because of aged receivables, it calculated the impairment loss for trade receivables with more caution.

RGB is bullish about its future, especially in strategic locations like the Philippines, and expects to see improved performance by 2024, barring any unanticipated events.

Original story by: GGRAsia