KUALA LUMPUR (Aug 22): Magnum Bhd (KL:MAGNUM) said its second-quarter revenue rose 12.1% to RM601.89 million from RM537.09 million a year earlier, attributable to higher gaming revenue.

Despite the higher gaming revenue, the group saw its quarterly net profit increase only 4.1% to RM45.44 million from RM43.64 million, mainly due to a marginal loss recorded by its investment holdings and others division, as a result of higher operating expenses and lower fair value gain.

For the first half ended June 30, 2024 (1HFY2024), total revenue grew 9.5% to RM1.186 billion from RM1.083 billion, while net profit grew 20.2% to RM71.43 million from RM59.42 million.

The better 1HFY2024 profit performance was largely due to falling operating expenses, which fell 7.1% to RM52.24 million from RM56.23 million, as well as savings in interest expenses, which dropped 13.5% to RM19.11 million from RM22.09 million a year ago.

The group declared a dividend of two sen per share, unchanged from the same period last year, payable on Sept 20.

In terms of prospects, the group said it is optimistic that the performance of the gaming business will remain positive in 2HFY2024.

Shares in Magnum closed unchanged at RM1.25 on Thursday, giving the group a market capitalisation of RM1.79 billion. The stock’s indicative dividend yield is 4.8%.