Nasdaq-listed junket operator Iao Kun Group Holding Co. Ltd.’s move to diversify away from gambling is apparently paying-off.

Iao Kun, now called LiNiu Technology Group (LTG), announced in a regulatory filing that it narrowed its net loss to US$446,634 in first quarter of the year, compared to the US$3.5 million net loss it incurred in the same period last year.

The company also chalked a reversal of bad debts amounting to US$200,000 during the first quarter of 2017. Iao Kun credited the significant decrease in commission to junket agents as the main reason why it was able to slash its net losses in the first three months of the year.

“After the company closed four VIP gaming rooms at the Sands Cotai Central casino, Galaxy Macau, StarWorld and Le Royal Arc in Macau in 2016, the company maintained minimal operations and temporarily relocated the Macau VIP gaming operation to Altira complex, which provides remuneration at a predetermined fixed rate commission,” Iao Kun said. “The lower selling, general and administrative expenses for the three months ended March 31, 2017 was primarily due to no longer paying management fees… and lower salaries [payments] due to the closure of four VIP rooms in 2016.”