- 07 Apr 2022
- ICICIdirect Research
Phoenix Mills reports strong recovery
PHOENIXLTD - 3364 Change: -75.50 (-2.20 %)News: The Phoenix Mills in its operational update shared that retail consumption during Q4FY22 was at Rs 1,656.7 crore (102% of Q4FY19), with like to like consumption at 91%. Similarly, retail collections was at Rs 480 crore in Q4FY22, surpassing previous peak of Rs 440 crore in Q3FY22. Additionally, occupancy levels for hospitality segment has come back at FY20 levels aided by revival in corporate travel and social events. Occupancy level for St Regis, Marriott (Agra) was at 90%, 60%, respectively, while average room rentals (ARR) was at Rs 9,671, Rs 3,753 in March 2022. In the residential space, the company achieved overall sales of Rs 256.8 crore in FY22 with good improvement seen backed by strong demand and faster conversions. Also, collections in residential business in Q4FY22 was at Rs 97.8 crore and Rs 277.3 crore in FY22
Views: We highlight that higher than pre-Covid consumption in Q4 despite challenging January (wherein consumption was at ~80% overall and 70% on like to like) with Omicron impact, is positive. With recovery in place, PML remains a quasi-play on India’s consumption story, given the quality of assets, healthy balance sheet & strategic expansion plans
Impact: Positive