KUALA LUMPUR (Aug 24): Magnum Bhd's net profit fell 19.86% to RM48.05 million in the second quarter ended June 30, 2018 (2QFY18) from RM59.96 million last year, on lower gaming sales due to the FIFA World Cup event that took place in June 2018.

In line with the lower gaming sales and higher prizes payout ratio, the gaming pre-tax profit decreased substantially by RM23.4 million, from RM91.7 million a year ago, said Magnum in a filing to the local stock exchange today.

Earnings per share were lower at 3.38 sen in 2QFY18, compared to 4.21 sen a year ago.

Quarterly revenue was 3.25% lower at RM600.39 million, versus RM620.58 million in 2QFY17.

The group declared a second interim single-tier dividend of three sen per share for the financial year ending Dec 31, 2018 (FY18), payable on Sept 28.

For the cumulative six months of FY18, its net profit was up 13.77% year-on-year at RM102.99 million or 7.24 sen a share, from RM90.53 million or 6.36 sen a share. Revenue, however, was down marginally by 0.37% to RM1.31 billion, from RM1.32 billion last year.

Looking forward, Magnum said the "zero" goods and services tax from June 1, 2018 to Aug 31, 2018 will continue to have positive financial impact to the group, but it will likely be negated by the introduction of service tax with effect from Sept 1, 2018.

"With the launching of our new game, Magnum Life, in April 2018 and implementation of the Rebranding and Reimaging Exercise coupled with end of the World Cup, the board is optimistic that the financial performance for the financial year 2018 shall at least match that for 2017," said Magnum.

Magnum shares closed down two sen or 0.99% at RM2 today, giving it a market capitalisation of RM2.85 billion.