Inox Leisure - Q2FY22 First Cut - ICICI Direct

(CMP - Rs. 418, MCap - Rs. 5111 crore)

Inox Leisure reported a weak quarter, as expected, albeit better sequentially as multiplexes had opened in mid Q2 and rental waivers led to lower losses.

Q2FY22 Earnings Summary

• Reported revenue was Rs. 47.4 crore (vs. negligible revenues in Q2FY21), largely in line with estimates of Rs. 45 crore. The company reported box office revenue of Rs. 27 crore while F&B revenue was Rs. 15 crore
• EBITDA loss (without impact of Ind AS116) came in at ~Rs. 64.6 crore against our estimates of ~Rs. 69 crore loss. On reported basis, EBITDA loss was Rs. 38.6 crore
• Inox recognised Rs. 54.3 crore as rent concessions. On reported basis, net loss was at Rs. 87.6 crore vs. estimated loss of Rs. 122.6 crore, largely due to rent concession recognition. Ex- Ind AS116 basis, loss was Rs. 68 crore.

The liquidity position is strong and the company is net debt free, post the QIP fund raise. As on date, company has close to Rs. 300 crore, including undrawn limit. With screens now open across states and amid strong content line up, footfall recovery is on the anvil, subject to content performance in Q3FY22. We seek management commentary on outlook ahead. We will come out with an update post conference call.

Shares of INOX Leisure Limited was last trading in BSE at Rs. 420.10 as compared to the previous close of Rs. 419.65. The total number of shares traded during the day was 156275 in over 4622 trades.

The stock hit an intraday high of Rs. 436.65 and intraday low of 413.40. The net turnover during the day was Rs. 66249785.00.

Source : Equity Bulls

Keywords

INOXLeisure INE312H01016 Q2FY22 ICICIDirect