/** Title: Imagicaaworld Q1 FY27: Footfalls Lead Growth, While Indoor Entertainment Becomes the Next Bet */

Imagicaaworld Q1 FY27: Footfalls Lead Growth, While Indoor Entertainment Becomes the Next Bet

Imagicaaworld Entertainment Limited began FY27 with a strong first quarter, helped by higher visitor volumes across its multi-park portfolio. For Q1 FY27, consolidated revenue from operations rose to INR 177.6 crore, up 19.9 percent year-on-year. Operating leverage remained visible in profitability, with EBITDA increasing to INR 90.1 crore, up 24.1 percent, and EBITDA margin improving to 50.7 percent from 49.0 percent. Profit after tax grew 29.9 percent to INR 57.6 crore, taking PAT margin to 32.4 percent.

Management noted that Q1 is seasonally the strongest quarter due to school vacations and summer holidays. Even so, the company highlighted operational disruption from an unprecedented heat wave, including non-operational days at the Khopoli parks and weaker hotel bookings during the same period. Despite these factors, performance remained strong, driven primarily by footfall growth.

A wider footprint, reported through catchments

Imagicaaworld has repositioned itself as a diversified leisure and hospitality platform. The investor presentation describes an operating network of parks spread across key catchments in Western and Central India, plus a 287-key Novotel hotel at Khopoli. The company has also started presenting outdoor entertainment performance by four regional catchments, which management described as a clearer representation of how the business is run.

In Q1 FY27, consolidated park footfalls grew 22 percent to 11.54 lakh, while parks revenue increased 22 percent to INR 161.0 crore. ARPU stayed broadly flat at INR 1,395, reflecting a quarter where management prioritised volumes over ticket price increases.

Performance by catchment showed different demand and pricing behaviour:

• Mumbai Pune catchment (Khopoli and Lonavala parks) remained the core revenue engine. Footfalls rose 19 percent and revenue grew 18 percent, while ARPU softened 1 percent.
• Rest of Maharashtra (Shirdi parks) delivered the sharpest improvement in monetisation, with revenue up 33 percent, footfalls up 14 percent, and ARPU up 17 percent.
• Gujarat saw strong volume growth with footfalls up 32 percent, but ARPU declined 13 percent. Management attributed this to visitor mix changes and promotional initiatives.
• Central India (Indore) recorded the fastest growth, with footfalls up 48 percent and revenue up 44 percent.

The hospitality business was stable but did not meaningfully add to growth this quarter. Novotel Imagicca recorded occupancy of 62 percent versus 65 percent last year, while ARR improved slightly to INR 9,657. Revenue was INR 15.83 crore, down 2 percent year-on-year.

Two near-term moves: Gujarat consolidation and indoor expansion

The quarter’s strategic narrative centred on two developments that expand the company’s platform beyond its legacy assets.

Shanku’s Water Park: acquisition plus O&M income

Imagicaaworld announced an investment of INR 50 crore for a 50.002 percent stake in Mehsana Next Parks Private Limited, the SPV that owns and operates Shanku’s Water Park in Mehsana, Gujarat. Alongside equity ownership, the company is set to earn operations and maintenance fees in the range of 6 percent to 10 percent. Management stated the acquisition has been completed and the subsidiary consolidation would be reflected from Q2 onwards.

The investor presentation positions the asset as Gujarat’s largest water park destination, with 25+ acres and 25+ rides and attractions, and highlights availability of additional land for future expansion.

Hello Park: a scalable indoor format with disclosed economics

The company also highlighted its entry into indoor entertainment through an exclusive partnership with Dubai-based Hello Park. LOIs have been signed for two locations: Hyderabad and Surat. Management described Hello Park as a phygital concept for children, designed to operate in malls and high-footfall city locations.

Importantly, management shared financial contours of this format on the concall. The expected capex per centre is INR 8 to 12 crore, and Hello Park would earn a royalty of around 5 percent of revenues of each centre. Expected EBITDA margins were indicated at about 24 percent to 25 percent, including mall rentals. Management also stated a targeted payback period of 3 to 4 years.

Operationally, the company expects this indoor model to reduce dependence on seasonal outdoor footfalls, while enabling a faster expansion cycle. Management indicated an intent to add two to three Hello Park centres per year.

Growth ambition and capital discipline

Imagicaaworld’s longer-term ambition is to build a larger national footprint. Management stated an aspiration to operate 12 parks by 2030, targeting roughly one new outdoor park every year, through a mix of greenfield projects and acquisitions. Management also indicated it is evaluating opportunities in geographies such as Delhi NCR, Bengaluru, Hyderabad, Goa and other large population centres.

In terms of capex intensity, the concall reflected a preference for mid-sized outdoor parks, largely water-focused with some amusement elements. Management discussed that new park investments can vary widely by location and scale, and that the company is not looking to replicate the high-capex profile of a large destination theme park at every site.

On funding, management stated expansions would be supported by internal accruals and moderate debt, while maintaining leverage discipline. The CFO indicated an intent to keep debt to EBITDA around 2.5x to 3x on average, and at most 3x to 3.5x for a limited period.

Key takeaways from Q1 FY27

Q1 FY27 reinforced the operating leverage of Imagicaaworld’s model, with footfall-led revenue growth translating into higher margins and a near 30 percent increase in profits. Catchment reporting also gives investors a cleaner view of how pricing and demand differ across regions.

The next phase of the story is centred on execution. Shanku’s Water Park will begin contributing on a consolidated basis from Q2, while Hello Park introduces a new, scalable indoor format with clear unit economics shared by management. At the same time, management has acknowledged the reality of weather disruptions and price sensitivity, both of which can influence quarterly outcomes in this sector.

If the company can deliver on indoor rollout timelines while steadily improving monetisation in catchments such as Gujarat, it could move closer to its stated goal of becoming a diversified, all-weather entertainment platform in India.