The 14 reports from 4 analysts offering long term price targets for Phoenix Mills Ltd. have an average target of 758.00. The consensus estimate represents an upside of 21.39% from the last price of 624.45.
|Summary||Date||Stock||Broker||Price at Reco.||Target||Price at reco|
Change since reco(%)
|2019-08-09||Phoenix Mills Ltd.||Nirmal Bang Institutional||641.25||810.00||641.25 (-2.62%)||29.71||Buy|
Nirmal Bang Institutional
The strong growth in Phoenix Mill's (PML) net profit of Rs1,304mn in 1QFY20 (up 118% YoY) was driven by growth across all the four verticals. However, the primary reason was growth in the residential vertical. Despite slowdown in the economy, consumption in malls grew by 5% YoY in 1QFY20, driving growth of rental income by 5% YoY. The maximum growth of 637% YoY to Rs2.1bn was in the residential segment due to recognition of revenue from One Bangalore West. Revenue from commercial rental increased by 68% YoY while Hospitality revenue grew by 8%YoY. Management on the call indicated that growth in mall rentals in FY21-23E will be driven by lease renewal in the mall rental. The leases are expected to be renewed with a rental increase of 30-40%. Further, PML...
|2019-08-08||Phoenix Mills Ltd.||Motilal Oswal||646.50||750.00||646.50 (-3.41%)||20.11||Buy|
Core portfolio PAT grows 40% YoY: 1QFY20 revenue grew 49% YoY to INR6,150m (v/s est. of INR4,447m). The beat was primarily driven by lopsided revenue growth in the residential segment driven by revenue recognition of One Bangalore West Tower 6'. EBITDA margin expanded 30bp YoY to 47.6% (v/s est. of 51.5%). Its core portfolio comprising retail malls, commercial and...
|2019-05-17||Phoenix Mills Ltd.||Nirmal Bang Institutional||597.40||791.00||597.40 (4.53%)||26.67||Buy|
Nirmal Bang Institutional
Strong Residential Sales And Cost Optimisation Drives Earnings Phoenix Mills (PML) reported a net profit of Rs2,284mn in 4QFY19, up 146% YoY and 223% QoQ. In 4QFY19, the revenues increased 64% and 66% QoQ and YoY, respectively. The sharp upswing in revenues is because of: 1) Increase in residential revenues by 481% in 4QFY19, on account of recognition of revenues from Phoenix Kessaku project in Bengaluru. 2) Increase in commercial revenues by 35% YoY. 3) In 4QFY19, retail rental income at Rs2,908mn was up 8% YoY, driven by Phoenix Market City or PMC - Kurla and Pune. 4) St. Regis reported total revenues of Rs875mn, up 12% YoY, on the back of improved occupancy rate of 87% and ARR of Rs12,514. Earnings growth of PML was primarily driven by: 1) Decline in employee benefit expenses....
|2019-05-17||Phoenix Mills Ltd.||ICICI Securities Limited||597.40||765.00||597.40 (4.53%)||22.51||Buy|
ICICI Securities Limited
PML's retail rental income grew only 9% YoY to | 249.9 crore in Q4FY19 while retail consumption growth was slow at 6% YoY to | 1,626.5 crore in Q4FY19. The slowdown in consumption is on account of ongoing infrastructure work and change in store format at a few retail assets (HSP & Palladium, PMC Chennai & PMC Bengaluru). Overall, with >20% area coming up for renewal in FY20E-21E at each of its key assets along with expansion mode, we expect PML's retail rental income to grow at a CAGR...
|2019-05-16||Phoenix Mills Ltd.||Motilal Oswal||620.00||785.00||620.00 (0.72%)||25.71||Buy|
Additional 1.6msf can be built at HSP (0.5msf mall, 1.1msf office space); however, this is in the planning stage and finalization will take ~12 months. < Valuation view: We believe that PHNX offers a unique way to play India's retail growth story due to its (a) strong track record of execution and (b) scalability, as reflected in the line-up of five new under-construction malls and (c) robust cash generation. We value PHNX's retail assets based on the DCF-based NAV approach, assuming a cap rate of 8.5% (HSP - 8%) and a...
|2019-02-22||Phoenix Mills Ltd.||Motilal Oswal||594.00||708.00||594.00 (5.13%)||13.38||Buy|
HNX is well on track to achieve 11-12msf portfolio by FY23. Currently, the company has a retail portfolio of 5.9msf (operational) and 4.6msf (under construction), with plans to add another 1-2 new assets -taking the total portfolio to 11-12msf by FY23. The company is developing five new malls - three under the Canada Pension Plan Investment Board (CPPIB) platform (PMC Wakad, PMC Hebbal, and PMC Indore), Palladium Ahmedabad (a 50:50 alliance with BSafal group), and PMC Lucknow (100%self-owned).
|2019-02-11||Phoenix Mills Ltd.||Nirmal Bang Institutional||599.85||791.00||599.85 (4.10%)||26.67||Buy|
Phoenix Mills- BUY- 3QFY19 Result Update- Earnings Driven By Lower Tax Expenses And Retail Rental Growth
Nirmal Bang Institutional
Earnings Driven By Lower Tax Expenses And Retail Rental Growth Phoenix Mills (PML) reported a net profit of Rs620mn for 3QFY19, up 48.4% YoY and 3.9% QoQ. Retail rental income at Rs2,916mn was up 17% YoY, driven by Phoenix Market City or PMC - Kurla and Pune . St. Regis reported ARR of Rs12,422, up 2% YoY, and an occupancy rate of 77% (industry is operating below 70%). Revenues and EBITDA of St. Regis grew 14% QoQ and 23% YoY to Rs839mn and Rs353mn, respectively. Earnings growth of PML was primarily driven by: 1) Lower tax expenses with an effective tax rate of 18%. 2) Strong retail rental income growth of 17% YoY. 3) Continued growth in St. Regis and Courtyard Marriot Agra, as occupancy and rental rates remained strong. We have...
|2019-02-11||Phoenix Mills Ltd.||ICICI Securities Limited||599.85||775.00||599.85 (4.10%)||24.11||Buy|
|2018-12-04||Phoenix Mills Ltd.||ICICI Securities Limited||624.35||775.00||624.35 (0.02%)||24.11||Buy|
ICICI Securities Limited
Phoenix Mills (PML) is a market leader and owner of prime malls in India. It started the real estate business with its iconic High Street Phoenix mall. Sailing on its retail-led mixed-use development model, PML has an operational asset portfolio of eight operational retail assets aggregating 5.9 msf and four operational commercial assets aggregating 1.16 msf. Going ahead, PML plans to almost double its retail portfolio and triple its commercial asset portfolio. Consequently, we expect its rental income to almost double to | 1702 crore in FY18-23E. We also highlight that PML is...
|2018-11-12||Phoenix Mills Ltd.||Nirmal Bang Institutional||595.95||791.00||595.95 (4.78%)||26.67||Buy|
Nirmal Bang Institutional
Earnings Driven By Lower Tax Expenses And Retail Rental Growth Phoenix Mills (PML) reported a net profit of Rs620mn for 2QFY19, up 48.4% YoY and 3.9% QoQ. Residential sales stood at 0.05mn sqft in 2QFY19. Average realisation (YoY) in Crest Towers has been flattish. Average realisation for Kessaku and One Bangalore West at Rs15,268/sqft, up 3.3% YoY, and at Rs9,954, up 1% YoY, respectively, witnessed a marginal increase. Retail rental income at Rs2,400mn was up 17% on YoY basis. St. Regis reported ARR of Rs11,084, up 4% YoY, and an occupancy rate of 77% (industry is operating below 70%). Revenues and EBITDA of St. Regis grew 8% and 20% YoY to Rs667mn and Rs248mn, respectively. Earnings growth of PML was primarily driven by: 1) Lower tax expenses with an effective tax rate of 21%. 2)...
|2018-11-06||Phoenix Mills Ltd.||Motilal Oswal||607.00||699.00||607.00 (2.87%)||Target met||Buy|
6 November 2018 PHNXs revenue increased 9.2% YoY to segment (+11% to INR2,839m). EBITDA grew 11% YoY to INR1,981m (our 2QFY19/1HFY19 includes a realized gain of INR358m on the sale of investments of 0.5m equity shares of Graphite India. Interest expense of INR917m (+7% YoY) came in higher than our estimate of INR865m. Consequently, PAT of INR620m (48.5% YoY) missed our estimate of INR664m. Revenues grew by 7% YoY to INR8,179m, EBITDA by 11% YoY to INR3,935m and PAT by 44% YoY to INR1,217m. investment of INR18b, ISML has already invested INR12.8b on acquisitions (including Indore asset, PMC 2 at Wakad in Pune, PMC 2 at Hebbal in Bangalore), which also includes land cost and initial expenses. (2) Lucknow retail asset to begin operations by Diwali next year. We believe that PHNX provides a unique way to play Indias retail growth story.
|2018-10-01||Phoenix Mills Ltd.||Nirmal Bang Institutional||524.05||791.00||524.05 (19.16%)||26.67||Buy|
Nirmal Bang Institutional
We initiate coverage on Phoenix Mills (PML) with a Buy rating and a target price of Rs791 based on FY21E SOTP valuation. Our optimism is based on PML's strategy which is focused on development and operation of retail malls - its key strength. With an average mall vacancy rate of more than 15% (as per consultancy firm Anarock), the stabilised malls have shown a consistent occupancy rate of 90%-100%. Further, the ability to increase rental rate at a five- year CAGR of 11%-12% for three of its malls adds to our comfort. Our other reasons for optimism are: 1) EBITDA growth at a three-year CAGR (FY18-FY21E) of 14%. 2) Comfortable balance sheet position despite aggressive capex to develop 4.95mn sqft of rentable mall space in the next five years.3) Strong operating cash flow growth. 4) Attractive valuation. We have...
|2018-09-28||Phoenix Mills Ltd.||Motilal Oswal||561.00||720.00||561.00 (11.31%)||15.30||Buy|
On a standalone basis ( only High Street Phoenix (HSP)and Palladium, Mumbai), income from operations increased 6% YoY toINR3,972m in FY18 from INR3,759m in FY17. On a consolidated basis, income from operations decreased by 11 % to INR16,198m in FY18 from INR18,246min FY17. The decrease in revenues was on account of the Classic Mall Development Company (PMC Chennai) being classified as an associate against a subsidiary previously. Total retail income from malls stood at INR10,595m,down 11% YoY. Hospitality and other revenue came in at INR3,429m, up 12%YoY. Revenue from residential projects stood at INR1,562m, while commercial revenue was INR611m. Consolidated EBITDA decreased by 8% to INR7,774m inFY18 from INR8,469m in FY17; however, consolidated margins have increased to 48% in FY18 from 46% in FY17
|2018-08-28||Phoenix Mills Ltd.||Kotak Securities||608.35||707.00||608.35 (2.65%)||13.22||Buy|
Performance of the company during Q1FY19 was in line with our estimates. Rental growth was driven by the strong operational performance of Market City malls PMC Chennai, PMC Pune & PMC Mumbai as well as High Street Phoenix & Palladium. Commercial and hospitality segment also registered 35%/6% YoY growth respectively led by improvement in rentals and ARRs. High Street Phoenix performance was led by rental improvements as North Sky zone and new F&B; outlets which has an area of 50,000 sq ft comprising of nearly 13 retailers has started contributing towards improvement in rental income....
|2018-08-09||Phoenix Mills Ltd.||Motilal Oswal||643.00||757.00||643.00 (-2.88%)||Buy|
9 August 2018 PHNXs revenue grew 4% YoY to INR4,132m (est. EBITDA grew 11% YoY to INR1,953m (est. INR2,207m), with the margin expanding 280bp YoY to 47.3% (est. Interest expense declined 6% YoY to INR846m (est. PAT, thus, increased 40% YoY to INR597m (est. of INR656m), led by a strong operational performance from the Retail and Commercial segments, along with lower finance costs. Consumption was up only 5% YoY to INR17b off a high base (advancement of sales in the run up to GST rollout, with sales rising 19% YoY in 1QFY18). Retail rental income increased 15% YoY to INR2,419m in 1QFY19, driven by a strong operational performance of PMC Pune, Mumbai, Chennai, and HSP and Palladium, Mumbai. Commercial office income increased 35% YoY to INR149m due to increased contribution from Art Guild House, PMC Kurla.
|2018-06-29||Phoenix Mills Ltd.||ICICI Securities Limited||662.50||662.50 (-5.74%)||Mgmt Note|
ICICI Securities Limited
We met the management of Phoenix Mills (PML) to understand the company, its business model and future growth prospects. PML is a market leader and owner of prime malls in India. Sailing on its retail-led mixed-use development business model, PML has a portfolio diversified into retail (mall), commercial, hospitality & residential segments. Key takeaways are: -i) To double mall portfolio to ~11-12 msf over the next few years ii) to expand its commercial portfolio from 1.6 msf to 3.1 msf (1.12 msf under construction and remainder under planning stage) and iii)...
|2018-05-09||Phoenix Mills Ltd.||Motilal Oswal||619.90||737.00||619.90 (0.73%)||Buy|
PHNX's revenue declined 4%YoY to INR4,366m (est. of INR4,410m) in 4QFY18 due to reclassification of its subsidiary. Thus, on a like-to-like (L2L) basis, revenue was up 9% YoY toINR4,962m. EBITDA margin expanded 550bp YoY to 49.5% (est. of 48.7%). PAT rose 102% YoY to INR1,037m, higher than our estimate of INR690m due to lower tax and interest. For FY18, revenue fell 11% to INR16.2b (+1% on L2Lbasis), EBITDA margin expanded 150bp to 48% and PAT grew 28% to INR2.6b
|2018-04-18||Phoenix Mills Ltd.||Motilal Oswal||604.00||732.00||604.00 (3.39%)||Target met||Buy|
PHNX - a pioneer in developing and operating malls - has become a partner of choice for retailers in India due to its impressive track record of consumption-led growth and strong portfolio of eight malls (6msf) spread across the top cities in India. This apart, the company specializes in mall management, an area where its competitors lag. Thus, we believe that it offers a unique opportunity for any retailer (both domestic and global) looking to expand rapidly in India. All this makes PHNX a 'specialist' play on India's promising consumption growth story, in our view. CPPIB has recently infused equity capital of INR16.6b (in tranches) in its subsidiary, Island Star Developers, and with leverage of 1:1, it will create a war chest of INR32b, gearing up the company for the next leg of growth. PHNX plans to acquire and build up to four new malls.
|2018-02-21||Phoenix Mills Ltd.||Axis Direct||588.00||707.00||588.00 (6.20%)||Target met||Buy|
Malls: Rental income at its malls grew 10% YoY on improved consumption growth of 8% YoY (vs. 4% YoY in Q2 which was impacted by refurbishment at High Street Phoenix (HSP). Management expects rental growth to sustain over FY19-20, driven by rental renewals (~1.8 msf/~35% of its leasable area up for r
|2018-02-15||Phoenix Mills Ltd.||JM Financial||629.50||650.00||629.50 (-0.80%)||Target met||Buy|
Stable operations; Chennai Mall back on track Phoenix Mills (PHNX)'s 3QFY18 profit increased 46% YoY as reduction in interest cost and improving operations across assets improved profitability. Consumption and trading density of its retail assets grew 8% and 6% YoY, respectively. While Kurla and Bangalore malls recorded consumption increases, Chennai and High Street Phoenix (HSP) saw muted consumption growth during the quarter. In HSP, 11% of leasable area became operations in Dec'17; Chennai consumption has stabilised on completion of category changes introduced in the mall. Rentals continued to improve across malls (10% YoY) and hotel revenues...