Imagicaaworld Entertainment reports consolidated net loss of Rs75cr in Q1

Q1 FY22 saw the impact of the second wave, as the Park operations were closed from 5 th April 2021 in accordance with the State Government guidelines of “Break the Chain”.

Aug 11, 2021 05:08 IST India Infoline News Service

Imagicaaworld Entertainment reported a Net Loss of Rs74.65cr in the quarter ended June 2021 as against a net loss of Rs78.76cr during the previous quarter ended June 2020. Sales rose 2066.67% to Rs 1.95 crore in the quarter ended June 2021 as against Rs 0.09 crore during the previous quarter ended June 2020.

Q1 FY22 saw the impact of the second wave, as the Park operations were closed from 5 th April 2021 in accordance with the State Government guidelines of “Break the Chain”. On account of this second phase of lockdown and restrictions, the Hotel business was also impacted. Consequently, combined revenues of Rs. 1.95 Crs were reported in Q1 FY22.

However, the company was able to reduce its operating expenses (excluding. interest and depreciation) by ~40% from Rs. 12.7 Crs in Q1 FY21 to Rs. 7.5 Crs in Q1 FY22. This cost reduction was a result of the continued cost rationalization initiatives taken by the management.

As Maharashtra was hit by the second wave, the State imposed lockdown II, leading to closure of park operations from 5th Apr 2021 and have remain closed for the remainder of Q1 FY22.. During FY 21, the park business was inoperational for nearly 9 months. The Hotel continued to be operated in line with Maharashtra state government guidelines, with given restrictions and with maximum capacity of 50%. Industry Associations such as IAAPI and RAI have made representations to the State Government for re-opening amusement parks.

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