Mahindra Holidays & Resorts India Limited (“MHRIL”), India’s leading leisure hospitality provider announced its standalone and consolidated financial results for the quarter ended June 30, 2020 today.
Mahindra Holidays & Resorts India Limited, announces 27.3% growth in Profit Before Tax and 47.4% growth in Profit After Tax over previous year.
Q1 FY’21 Highlights – Standalone
– Strong cash position at Rs 775.7 Crs despite suspension of all Resort operations in the quarter.
– Member additions at 1270. Cumulative members base at 2,58,528
– Total Income at Rs. 196.5 Crs
– PBT at Rs. 36.3 Crs; up by 27.3% YoY. PBT Margin at 18.5%, up by 770 bps
– PAT at Rs. 26.8 Crs; up by 47.4% YoY. PAT Margin at 13.6% up by 676 bps
Q1 FY’21 Highlights – Consolidated
– Total Income at Rs. 325.2 Crs
– Loss (after tax) at Rs. 32.4 Crs
– Significant cost reduction actions have helped deliver consolidated EBITDA at Rs 49.82 Crs
– Occupancies in excess of 90% in key Resorts have been achieved from mid-June onwards in Finland. This has resulted in positive EBITDA in June at Holiday Club Resorts
Commenting on the results, Kavinder Singh, Managing Director and Chief Executive Officer, Mahindra Holidays & Resorts India Limited said, “Our standalone results reflect the intrinsic strength and resilience of our business model, which is significantly different from traditional hospitality sector. Cumulative member base of 258,000+ has ensured steady multiple annuity revenue streams. Timely cost control measures have helped in achieving improvement in operating margins and PAT growth of 47% YOY. Our cash position remains comfortable at Rs 776 Crs.”
Further, commenting on European operations he added: “Our European subsidiary, Holiday Club Resorts’ operations in June’20, have started well and delivered positive EBIDTA for the month. At consolidated level, we have delivered EBIDTA of Rs 49.8 Crs and improved EBIDTA margin by 67 bps.”
At MHRIL, as on 31st July 2020, we have reopened 20 Resorts. As our members start holidaying, once travel restrictions are eased off, we expect our occupancies to go up. The Company’s priority is the health, safety and wellbeing of all employees and its members. We have carefully designed Club Mahindra “SafeStay” program for our resorts, with best in class hygiene and safety protocols, which go far beyond compliance levels.
At Holiday Club Resorts, 30 of 33 Resorts were operational as on 31st July 2020. Domestic travel in Finland has picked up substantially during summer holidays and significant improvements in operational performance in Q2 is expected.
The Management believes that the Company has sufficient liquidity and its resilient business model will help it to tide over this difficult period.
Shares of MAHINDRA HOLIDAYS & RESORTS INDIA LTD. was last trading in BSE at Rs.158.05 as compared to the previous close of Rs. 156.85. The total number of shares traded during the day was 230217 in over 485 trades.
The stock hit an intraday high of Rs. 162.05 and intraday low of 153.1. The net turnover during the day was Rs. 36910107.