The risks would be greater if the unity government loses Selangor, forcing Sports Toto to downsize its operations to contain costs if the new Perikatan Nasional-led state government chooses to close down all gaming operations in the state.It added that seems to be what the market is perceiving judging from the year-to-date share price performance of 11% contraction, which has greatly ignored the potential earnings risk.
On the other hand, it would be positive to Sports Toto if the 19 affected Toto 4D outlets in Kedah could reopen for business if the unity government wins the state election in Kedah.
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