- 12 Aug 2022
- ICICIdirect Research
PHOENIX MILLS POSTS STRONG RETAIL, HOSPITALITY SEGMENT RECOVERY
PHOENIXLTD - 1795 Change: 23.50 (1.33 %)News: Reported revenues grew ~181% YoY to Rs 474 crore, driven by retail portfolio as theretail revenues grew by ~2.5x YoY at Rs 408.6 crore, while hospitality revenues were up by 5.4x YoY at Rs 95.9 crore. The Retail Rental reached Rs 322.4 crore, at ~124% of Q1FY20 (pre-Covid level) and ~113% on like to like basis. Consumption in Q1FY23 (including Phoenix Palassio) was ~123% of Q1FY20(pre-Covid), and ~111% on like to like basis. Commercial remained stable segment which witnessed revenues growth of ~11% YoY at Rs 40.3 crore. Reported EBITDA margins were up 760 bps QoQ to 56.2%, with operating leverage kicking in. EBITDA at Rs 322.9 crore, was up 324% YoY and 34% QoQ. Adjusted PAT at Rs 161.9 crore was up 54.5% QoQ.
View: The retail growth recovery has been faster and higher than anticipated. Even July 2022 consumption has been robust and trending higher at 133% of pre-Covid. PML remains a quasi-play on India’s consumption story, given the quality of assets, healthy balance sheet & strategic expansion plans.
Impact: Positive.