Downgrades

The Chennai park, slated to begin operations by December 2025, is expected to drive substantial footfall growth in the long term. However, due to its soft launch, it is not projected to have a material impact in FY26, with meaningful contribu-...

We cut our EBITDA estimates by 33%/9% for FY26E/FY27E as we fine tune our footfalls assumptions given early monsoon in Western India during peak summer resulted in a 22.4% YoY decline in footfalls to 0.95mn (PLe 1.24mn). IMAGICAA IN reported weak set of results as revenues declined 19.5% YoY to Rs1,481mn with EBITDA margin of 49.0% driven by early monsoon in the western region and postponement of school vacations. Given 1Q is a seasonally strong quarter for water parks, we believe recovery in ensuing quarters will be difficult and thus FY26E might turn-out to be a challenging year for IMAGICAA...

Sabarmati. IMAGICAA reported strong operating performance with EBITDA margin of 42.9% (PLe 36.7%) aided by a one-off grant income of Rs62mn pertaining to hotel Novotel, Imagicaa. While footfalls were down by ~4% on LFL basis, we expect recovery in FY26E backed by 1) addition of 10 new rides at Wet & Joy water park in Lonavala 2) launch of 2 new shows at Sai Teertha...

WHL’s Q3FY25 performance was weak, missing estimates on all fronts owing to lower footfalls and sharp decline in EBITDA margins which led to a sharp decline in the PAT.

Wonderla Holidays Ltd.’s (WHL’s) Q2FY2025 numbers were weak, with sharp decline in footfalls and margins. Footfalls fell by 13.9% y-o-y (like-for-like basis); EBITDA margins contracted to 1.2% versus 27.2% in Q2FY2024.

Wonderla Holidays’ (WHL’s) Q1FY2025 numbers were weak, as footfalls were hit by extreme heatwave
and elections, leading to 6% y-o-y decline in revenue; adjusted EBITDA margins fell ~700 bps y-o-y

Wonderla Holidays Limited's (WHL) Q4FY2020 numbers were severely affected by the shutdown of amusement parks and resorts in the last few days of March after the nationwide lockdown was imposed. Revenue declined by ~30% to Rs. 42.4 crore largely driven by a 31% reduction in footfalls, while operating profits fell significantly as majority of operating costs are direct in nature. The Bangalore, Kochi and Hyderabad parks saw drop in footfalls by 38%, 31% and 22% respectively led by fall in group bookings and walk-ins. Average revenue per visitor increased by 1.1% in Q4FY2020 driven by a 2.5% increase in non-ticketing revenue. According...

Wonderla Holidays reported a subdued set of Q4FY20 numbers. Revenues declined 30% YoY to | 42.4 crore led by a 31% drop in overall footfalls. Park wise, the Bengaluru park witnessed a 38% drop in footfalls to 1.37 lakh, Kochi Park saw a decline of 31% YoY to 1.33 lakh footfalls and Hyderabad park saw footfalls decline 22% YoY to 1.35 lakh during the quarter. Kochi park was closed from March 11 while the Bengaluru Park (along with the resort) and Hyderabad Park were shut from March 14 and March 15, respectively. Average revenues per footfall increased marginally by 1.2%...

Revenue came in flat YoY driven by a multifold expansion in the online business profitability (+2,150bp were flat YoY, while EBITDA/adj. Casino revenue declined marginally by 1% YoY to INR2,002m, while the segmental EBIT margin contracted 370bp YoY to 32.8%. Margin compression can be attributed to higher spend on offerings/deals to drive visitations. On the other hand, online revenue increased 17% YoY, driven by a boost from higher promotional spend in the prior quarter. However, such incremental spend were avoided in 2QFY20, leading to improved profitability. We expect the online margin to sustain at ~20% as DELTA attempts to stay competitive. (b) Land policy is likely to be taken up in the winter session. (c) Clarity on GST taxation is likely to emerge soon. While the GST-related hangover remains, the operational performance is intact and will likely continue improving hereon. We largely maintain our estimates and expect sales/EBITDA/adj.

View: Footfall growth expected to continue. Maintain Accumulate Wonderla posted good set of numbers in Q1FY20. Revenue grew 13.2% YoY, driven by 8.2% YoY growth in footfalls and a 4.1% rise in ARPU. Ticket revenue grew by 14% & non ticket revenue grew by 11% in Q1FY20. While Kochi and Bangalore park registered double digit revenue growth, Hyderabad park revenue was restricted due to lower footfalls on account of extreme weather conditions. We have revised our estimates marginally to factor in Q1 performance. Valuing the stock at 20x FY21E PE to arrive at a...

9 July 2019 DELTAs revenue came in flat YoY at 3% YoY we note that growth would have been higher if not for the maintenance work at its vessel Deltin JAQK in dry dock for 19 days, due to which the segment incurred a revenue loss of ~INR190m. EBITDA margin expanded 70bp YoY to 36.3% Casino biz incurred a loss due to maintenance work, and thus, the muted growth therein is not very concerning. Consequently, revenue growth is likely to bounce back from 2QFY20, and we estimate 18% growth in the Casino biz in 9MFY20. Also, margins in online gaming are likely to remain under pressure as the company invests aggressively in advertisement and marketing to remain competitive. The stock price has corrected sharply following media reports of (a) DELTA being issued huge GST demand notice and (b) closure of Goa-based casinos. Maintain Delta Corp Nepal Casino at Fairfield by Marriott, Kathmandu, likely to commence operations in 2QFY20.

Wonderla Holidays posted disappointing numbers for Q2FY19, below our expectation. Its net revenue decreased by 16.4%, led by decline in footfalls. Companys EBITDA and PAT declined by 16.5% and 60% yoy respectively due to increase in overall expense and depreciation.

Wonderla Holidays' results were below our estimates. The performance has mainly been impacted by a sharp fall in footfalls in Kerala (down 61% YoY) due to outbreak of Nipa virus & floods) and Hyderabad (down 6% YoY). However, healthy average realisations (up 13% YoY) helped arrest the drop in revenues, to some extent Total footfalls for the quarter were down 26% YoY to 3.45 lakh. Hyderabad (new), Kochi park reported 6% and 61% YoY drop in...

The management expects momentum to continue in Goa backed by rising footfalls and improving gross gaming revenue. The performance of online gaming business suffered due to high marketing spends. However this was offset by strong performance of Goa casinos. 1H forms 58% of our full-year earnings forecasts. We raise our FY19/20 EPS forecast by...

of +31%) to INR1,873m, primarily led by robust growth in Casino gaming revenue (+53% YoY). EBIDTA margin of 35% (flat YoY) exceeded our estimate of 33%. EBIDTA of INR654m, too, came in ahead of our estimate of INR558m. Adj. PAT grew 96% YoY to INR414m (est. revenue grew 16% QoQ; EBIT margin shrank 200bp QoQ to 12% (online gaming segment commenced reporting revenue 2QFY18 onward) due to high promotional expenses. Hospitality revenue grew 30% YoY to INR227m; it recorded an EBIT loss of INR53m. However, robust growth in Casino gaming revenue in a seasonally soft quarter (EBIT margin of 35% exceeded our revenues are gross of tax). Casino revenue was driven by a robust pick-up in tourism and unserved demand (spillover from casinos that shut down operations), and dynamic pricing on weekends. promotional expenses of INR230m in FY18 and INR130m in 1QFY19 (excl.

Wonderla Holidays Ltd posted subdued performance for Q4FY18, on back of decline in footfalls. Net revenue declined by 7.5%, whereas EBITDA and PAT margin expanded to 27.8% and 6.7%, respectively driven by improved operational efficiency.

Wonderla Holidays' results were below our estimates. Revenues declined 7.5% YoY to | 54.9 crore (vs. I-direct estimate: | 66.5 crore) mainly led by 12.1% YoY decline in footfall Bengaluru park revenues fell 11.2% YoY to | 22.4 crore while revenues from the Kochi park declined 14.7% YoY to | 15.7 crore mainly led by a...

Revenue rose 59% YoY (est. of +42%) to INR1,716m in 4QFY18, led by higher gaming revenues. EBITDA margin expanded 750bp to 39.3% (est. of 45.7%) on a YoY basis, but shrunk 310bp on a QoQ basis due to a sequential contraction in the online gaming margin to 14% from 40%. EBIDTA stood at INR675m (est. of INR702m). Adj. PAT rose 2.8% YoY to INR437m (est. of INR440m).

Delta Corp (DELTA) operates three floating casinos (Deltin Royale, Deltin Jaqkand Deltin Caravela) and one onshore casino (Deltin Casino- part of Deltin Suites) in Goa. Deltin Royale and Deltin Jaqk are DELTA's major casinos with vessel passenger capacity of 200-400. Deltin Caravela and Deltin Casino are relatively small with passenger capacity of 200 or less. DELTA incurs INR370m as license fee to operate the four aforementioned casinos. However, the outlay for the four licenses would increase to INR1,050m once the revised fee structure becomes effective. We believe the increased license fee would have a significant impact on Deltin Caravela and Deltin Suites, as they operate on a relatively small scale(accounting for 6% of DELTA's overall revenue for FY19E). This would likely make it unfeasible for DELTA to operate these two casinos.