Aided by robust restoration within the leisure phase, Indian Resorts’ outcomes for the second quarter got here approach forward of road estimates, as per brokerage home Anand Rathi. The corporate’s administration has mentioned that the restoration has continued in October and it expects H2 FY22 to be much better.
With its dominance within the Indian accommodations sector, superlative model fairness and well-diversified portfolio throughout enterprise segments and price-points, the brokerage agency believes that Indian Resorts is nicely positioned to capitalise on a restoration within the financial system.
“The give attention to scaling up the high-margin new-age companies is a key optimistic. This, together with price financial savings and working leverage, will drive profitability and returns over FY22-24,” it mentioned in a notice.
Anand Rathi has maintained its ‘Purchase’ ranking on the inventory on robust efficiency throughout all parameters within the second quarter, with a revised sum-of-parts goal value of ₹237 per share (earlier ₹175). Although, a key danger may very well be a slow-down within the financial system which might curtail demand.
Tata group hospitality agency Indian Resorts reported narrowing of its consolidated web loss at ₹130.9 crore within the second quarter ended September 30. Its consolidated gross sales (now over 70% of pre-Covid instances) was boosted by leisure journey, restoration in enterprise journey, uptick in weddings and company occasions.
The corporate plans to lift funds by a rights subject and a QIP. This and inside money flows shall be used to repay debt, for consolidation (business-model simplification) and drive enlargement/renovations, Anand Rathi’s notice added.
As per BSE shareholding sample of Indian Resorts, Rakesh Jhunjhunwala and his spouse Rekha Jhunjhunwala maintain 1,25,00,000 shares or 1.05% stake within the firm every. Collectively, they maintain 2.10% stake as of September 2021.
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Supply: Live Mint