Wonderla Holidays (WONDERLA) Q4 13/14 earnings summary

Executive summary

• FY14 turnover reached Rs 15,600.60 lakh; operating profit was Rs 7,274.29 lakh, PBT Rs 5,791.05 lakh and PAT Rs 3,989.20 lakh, all reported as record levels.

• Combined park footfall was 22.91 lakh versus 23.40 lakh in FY13; unusual rains in Kerala contributed to the decline.

• A Rs 1,812.58 lakh IPO was completed in May 2014; proceeds are intended to fund the proposed Telangana park.

Financial highlights

• Total revenue, including other income, rose 11.94% YoY to Rs 15,600.60 lakh; entry-ticket sales increased Rs 1,082.70 lakh and products/cooked-food sales increased Rs 552.45 lakh.

• Operating profit increased 13.48% YoY to Rs 7,274.29 lakh; PBT rose 15.75% to Rs 5,791.05 lakh.

• PAT increased 18.76% YoY to Rs 3,989.20 lakh; includes reversal of Rs 175.33 lakh in excess prior-year tax provisions.

• Total expenses increased 9.8% YoY to Rs 9,809.55 lakh; employee costs rose Rs 178 lakh, other expenses Rs 285 lakh and stock-in-trade purchases Rs 140 lakh.

• FY14 basic and diluted EPS was Rs 9.50 versus Rs 8.00 in FY13.

Outlook and guidance

• Long-term plan targets higher revenue through upgrades at existing parks, growth in non-ticket revenue and new parks across India.

• Telangana park targeted for FY16; 49.57 acres acquired, required pollution and other clearances received, and HMDA project approval application submitted.

• FY14 outlook cited aggressive marketing, event bookings and increased food-and-beverage sales as priorities.

• Industry revenue was projected by IAAPI to reach Rs 4,000 crore by 2020, from over Rs 1,800 crore in FY13.