RGB Posts Higher Revenue In 1Q26 Despite FX Drag On Profit

RGB International Bhd reported higher revenue in the 3 months to 31 March 2026, supported by stronger sales in its core gaming product Sales and Marketing division. But profit was affected in the quarter due to the impact of foreign exchange losses.

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Sales Division Generates Top-Line Growth

The Malaysia-based distributor said revenue rose 19% year-on-year to MYR87.4 million, or US$22.0 million, for 1Q26. The improvement was led by the strong performance of the company’s Sales and Marketing division, although revenue was 20% lower than in the December 2025 quarter.

Despite the stronger top-line result, RGB’s profit fell 15% to MYR11.5 million, or US$2.9 million, mainly because of foreign exchange losses. The company’s latest figures show that higher product sales were not enough to offset the impact of currency movements during the period.

Segment Performance Mixed

RGB’s Sales and Marketing division delivered the clearest growth in the quarter, with revenue up 39% year-on-year to MYR70.3 million, or US$17.7 million. Profit from operations before taxes for the business unit climbed 25% to MYR8.6 million (US$2.2 million). According to the firm, the improvement was largely attributable to the higher volume of product sales.

The Technical Support and Management division saw a weaker result. Revenue in the segment fell 28% to MYR16.4 million, or US$4.1 million, while profit dropped 49% to MYR3.6 million, or US$908,000. RGB said the decline was mainly due to weaker performance at several key TSM outlets and the continued closure of certain outlets in the Poipet region since the beginning of June 2025.

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However, the Engineering Services division, which is smaller in size, recorded an opposite trend as its revenue increased by 20% to MYR435,000 (US$110,000).

Maintaining a Cautious Outlook for the Year

RGB stated that it remained cautiously optimistic about its future, even though the firm anticipates the gaming industry in the region to be impacted by the regulatory environment, macroeconomic environment, spending patterns, and tourism. Its major operating regions are the Philippines, Cambodia, and Vietnam.

It said that it would continue to evaluate suitable expansion opportunities, efficiencies within operations, and potential project launches within its major operating regions, while at the same time ensuring operational stability. The firm will also focus on maintaining prudence in costs, efficiency within operations, and capital allocation.

Full-Year Position

RGB noted that, assuming no unforeseen negative changes in the regulatory, economic, and market conditions, it was confident of delivering a satisfactory performance in the financial year ending 31 December 2026. The company seems to be determined to capitalize on its current sales momentum despite cost and market pressures that had impacted the company’s quarterly profits.

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Source: Inside Asian Gaming