Wonderla Holidays Limited (WHL posted a decent performance in the leanest quarter, with footfalls growing 5.8% to 5.0mn footfalls and ARPU growing 9% y-o-y to Rs. 1,440. Going ahead, footfalls in the existing park are likely to grow 5-6%. ARPUs are expected to increase 8-10%. Odisha park is expected to be operational in FY2025, which will add 6.0lakh footfalls and ARPUs will be 70% of Bengaluru park. Capex incurred for Odisha park is Rs. 48 crore (total capex will be Rs146cr) and that for Chennai park is Rs. 113 crore (total capex expected will be Rs330cr).
The stock trades at 31x/24x/17x its FY2024E/FY2025E/FY2026E EPS (and 19x/15x/11x its FY24E/25E/26E EV/EBIDTA). With growth momentum expected to sustain, we maintain Buy with a revised PT of Rs. 1,137.