Wonderla Holidays Ltd Research ReportCo.update

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% YoY to | 1,048. As majority of the company’s cost are fixed in nature, as revenues declined 30%, negative operating leverage came into play and led to 72% YoY decline in EBITDA to | 5 crore. EBITDA margins contracted 1750 bps YoY to 11.9%. PBT saw a sharp drop of 96% YoY while PAT declined 77% YoY to | 1.6 crore (led by write-back of tax provisions). The company at the end of FY20 had | 123 crore of liquidity in its books.