Wonderla Holidays (WONDERLA) Q2 24/25 earnings summary

Executive summary

• Q2 FY25 faced operational and environmental challenges, including unpredictable weather and heavy rainfall, leading to a 9% decline in footfall and a 13% drop in income to INR 71.23 crores compared to Q2 FY24.

• Wonderla operates four parks and one resort, managing ~278 acres with 53% land undeveloped as of Sep 2024; Bhubaneswar park commenced operations in 2024 and Chennai park is under construction.

• Despite lower turnout, marketing interventions and new events helped maintain performance; notable events included musical nights and the Adipolympics at Kochi.

• The Hyderabad park saw new rides added at a cost of INR 15 crores, and the Bhubaneswar park was officially launched, expanding reach to Eastern India.

• Unaudited financial results for the quarter and six months ended 30 September 2024 were approved by the Board and reviewed by auditors with an unmodified conclusion.

Financial highlights

• Q2 FY25 revenue from operations was INR 67.4 crores, down 10% YOY; EBITDA (including other income) was INR 2.8 crores, down 90% YOY, with a margin of 4%.

• Adjusted EBITDA (net of ESOP expenses) for Q2 was INR 4.7 crores, down 82% YOY; profit after tax for Q2 was INR 14.7 crores, up 9% YOY, aided by a deferred tax adjustment.

• H1 FY25 revenue was INR 240.3 crores, down 8% YOY; EBITDA for H1 was INR 98.7 crores, down 34% YOY, with a margin of 40%.

• FY24 revenue from operations reached INR 4,830 Mn, up 13% YoY, with a 49.4% EBITDA margin and 3.3 Mn footfalls.

• Total income for Q2 FY25 was ₹7,122.59 lakhs, down from ₹8,140.51 lakhs in Q2 FY24; H1 FY25 income was ₹17,746.89 lakhs, down from ₹24,869.48 lakhs in H1 FY24.

Outlook and guidance

• Management maintains a positive outlook, expecting ongoing investments in guest experience, innovation, and expansion to drive sustainable growth.

• QIP fundraising of up to INR 800 crores is planned to support expansion over the next 7–8 years, with a mix of equity, debt, and internal accruals.

• Chennai park construction is progressing and expected to be operational by end of Q3 FY26.

• Asset-light approach with long-term land leases and prudent capital allocation to support sustainable growth.

• Mature parks are expected to deliver 3–5% footfall growth and price increases in line with inflation.