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Published: August 15, 2024
Updated: August 15, 2024

Wonderla Holidays

Planning amusement parks across India

Wonderla Holidays, the undisputed leader in the field of amusement parks in India, is in expansion mode. The Bidadi (near Bengaluru)-headquartered company, promoted by the father-son duo of Kuchouseph Chittilappilly, is aiming to set up amusement parks across the country. The company has already set up parks in Bengaluru (2005), Hyderabad (2016) and Bhubaneshwar (May 2024). It is now setting up a park in Chennai which is expected to be operational in December 2025 or January 2026. After Chennai, the company will concentrate on setting up parks in Indore (MP) and Mohali (Punjab). It is also looking to setting up a plant in NCR.

Profit after tax for the quarter ended June 30, 2024 was Rs 63.24 crore, indicating a 25% degrowth compared to Rs 84.47 crore achieved in the corresponding period of the last financial year.

HEAT FACTOR

Footfalls for the quarter were 10.02 lakh, as against 11.02 lakh during the corresponding period of the last year. Footfalls were notably affected by an unprecedented heat wave, water shortages and disruptions related to ongoing election activities, especially in key markets like Bengaluru and Kochi, leading to a decline compared to the same period last year.

Additionally, it has observed some self-sluggishness in the discretionary spending following the third year of revenge tourism post-Covid. Despite these challenges, the Hyderabad park recorded the highest Q1 revenue of Rs 53 crore since its inception — a testament to the team’s hard work and dedication. Furthermore, the company also expanded its SMB offering, introducing new theme dining experiences to cater to the diverse base.

“ARPU for the quarter stood at Rs 1,680, a growth of 3% Y-o-Y. The increase in ARPU was driven mostly through non-ticket revenue. This was an encouraging response from walk-in groups and all aspects of our customer base. The ticket prices were slightly muted — growth was muted mainly because we had to run a lot of extra offers to try and get back some of the footfalls lost during the heat wave,” he noted.

Mr Chittilappilly also revealed that the company officially commenced operations at its fourth park in Bhubaneswar. This remarkable new destination stands over 50 acres, and is an inherently beautiful place in the city. The park is inspired by the region’s rich history and vibrant culture, he noted.

LOCAL WELFARE

Beyond providing exceptional entertainment, the company is also committed to making a positive impact on local communities. This new development is set to create approximately 450 new jobs, which it has already filled, particularly within the semi-skilled sector, thereby offering valuable livelihood prospects for the residents of that area.

For the Chennai project, initial work has already started from last March. The management hopes to operationalize this park in FY’26, most likely in December 2025. It is also in talks with different state governments for for new parks in Indore, Mohali, Noida and Ahmedabad.

As part of its expansion strategy, the board has also given approval to explore fund-raising options to support projects for the next 7-8 years. The management is excited about all the opportunities that are coming its way on setting up new parks.

Looking ahead, the management has a very optimistic outlook for future growth. It is confident that the company will be able to return back to growth in its existing parks and is also looking forward to the new parks.

‘TARGET’ VISITORS

Commenting on the company’s performance Mr Chittilappilly said, “With an accumulated footfall of 10.02 lakh in the first quarter of FY 2025 and gross revenue amounting to Rs 177.47 crore, Wonderla’s performance speaks volumes about its resilience and commitment to delivering unparalleled entertainment experiences, especially in a challenging quarter like this. Our parks were already operating at capacity during Q1FY24, and our efforts were focused on boosting non-ticket revenue and attracting a larger share of retail footfall. Our primary focus was on cultivating higher-spending retail customers as opposed to groups. Footfalls were notably affected by an unprecedented heatwave, water shortages, and disruptions related to ongoing election activities, especially in key markets like Bengaluru and Kochi, leading to a decline compared to the same period last year. Our newest park in Bhubaneswar, launched on May 24, 2024, has exceeded expectations.”