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Q3-2016: Adlabs revenue up 8% on 22% footfall growth
BENGALURU: Adlabs Entertainment Limited (Adlabs) reported a 7.8 per cent YoY growth in Total Income from operations (TIO) in the quarter ended 31 December, 2015 (Q3-2016) at Rs 73.19 crore as compared to Rs 67.92 crore and almost double (up 1.97 times) the Rs 37.21 crore reported for Q2-2016. The company reported a 22.5 per cent YoY growth in footfalls in the current quarter at 4,49,621 footfalls as compared to 3,67,019 footfalls and 81.2 per cent higher QoQ than the 2,48,123 footfalls in the immediate trailing quarter.
Note: (1) 100,00,000 = 100 lakh = 10 million = 1 crore
(2) All numbers in this report are standalone unless stated otherwise
The company’s EBIDTA in Q3-2016 increased 9.3 per cent YoY in the current quarter at Rs 14.78 crore (20.2 per cent margin) as compared to Rs 13.53 crore (19.9 margin) and a negative EBIDTA of Rs 6.26 crore in the immediate trailing quarter.
Let us look at the other numbers reported by Adlabs
Total Expenditure in Q3-2016 increased 9.8 per cent YoY to Rs 82.19 crore (112.3 per cent of TIO) as compared 74.84 crore (110.2 per cent of TIO) and was 26.5 per cent higher QoQ as compared to Rs 64.99 crore (174.7 per cent of TIO).
A major expense head for Adlabs is Employee Benefits Expense (EBE). EBE in Q3-2016 declined 2.3 per cent YoY to Rs 14.06 crore (19.2 per cent of TIO) from Rs 14.39 crore (21.2 per cent of TIO) in Q3-2015, and declined 5.3 per cent QoQ from Rs 14.85 crore (39.9 per cent of TIO).
Loss in the current quarter was higher YoY at Rs 25.2 crore as compared to Rs 22.39 crore, but lower QoQ as compared to Rs 34.73 crore in the immediate trailing quarter.
Segment performance
Five segments contribute to Adlabs revenue. They are: Tickets; Food and Beverages (F&B); Merchandise; Hotel; and Other Operations.
The largest segment, Tickets reported a 10.4 per cent YoY decline in revenue in Q3-2016 at Rs 45.78 crore as compared to Rs 51.09 crore, but an 86.2 per cent QoQ increase as compared to Rs 24.58 crore. The segment reported a higher YoY operating loss at Rs 11.47 crore as compared to an operating loss of Rs 9.41 crore but lower QoQ operating loss as compared to Rs 28.17 crore.
F&B segment reported 35.2 per cent YoY revenue growth at Rs 14.19 crore as compared to Rs 10.50 crore and more than double (2.17 times) QoQ as compared to Rs 6.53 crore. The segment reported a 14.4 per cent YoY growth in operating profit at Rs 4.79 crore as compared to Rs 4.19 crore and was more than triple (3.37 times) QoQ as compared to Rs 1.42 crore.
Adlabs Merchandise segment reported 15.8 per cent higher revenue in Q3-2016 at Rs 6.23 crore as compared to Rs 5.38 crore in the corresponding year ago quarter and was 73 per cent more than the Rs 3.6 crore in the immediate trailing quarter. The segment reported more than double (2.5 times) YoY growth in operating profit at Rs 1.07 crore as compared to Rs 0.43 crore and 21.9 per cent higher QoQ operating profit as compared to Rs 0.88 crore.
The Hotel segment is a new segment hence no comparable YoY numbers are available. QoQ, the segment reported over seven times (7.6 times) growth in revenue to Rs 4.73 crore as compared to Rs 0.62 crore. The segment reported a loss of Rs 1.89 crore in Q3-2016 as compared to a loss of Rs 0.61 crore in Q2-2016.
Other Operations segment reported revenue of Rs 2.26 crore in the current quarter; Rs 0.96 crore in Q3-2015 and Rs 1.88 crore in Q2-2016. The segment reported operating profit of Rs 0.66 crore in Q3-2016, operating loss of Rs 0.45 crore in Q2-2015 and an operating profit of Rs 0.62 crore in Q2-2016.
Company speak
Adlabs CEO Kapil Bagla said, “The footfalls to both parks Imagica and Aquamagica put together in this quarter equals 4.49 lakh vs 3.67 lakh, signifying a growth of 23 per cent on YoY basis. We are also happy to share with you that on 27 December, 2015, we entertained the highest single day footfalls of 14,128 in Imagica. We are extremely enthused by the performance of our Hotel Novotel Imagica for Q3 average occupancy of the hotel stood at a healthy 75 per cent with an average room rate (ARR) of Rs 5,800 plus. The hotel has consistently generated excellent customer feedback and reviews. In December we achieved the milestone or entertaining three million guests in our parks in 2.5 years since the launch of Imagica in 2013, probably the fastest and highest ramp-up of any outdoor destination in the country.”
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Sun Pharma to acquire Organon in $11.75 billion deal at $14 per share
Acquisition to create $12.4 billion pharma giant with global scale and biosimilars push
MUMBAI: Sun Pharmaceutical Industries Limited has signed a definitive agreement to acquire Organon & Co. in an all-cash deal valued at $11.75 billion, marking one of the largest cross-border pharma acquisitions by an Indian firm.
Under the terms of the agreement, Organon shareholders will receive $14.00 per share in cash, with Sun Pharma set to acquire 100 per cent of the company’s outstanding shares. The transaction, approved by the boards of both companies, is expected to close in early 2027, subject to regulatory approvals and shareholder consent.
The deal significantly expands Sun Pharma’s global footprint and strengthens its position across women’s health, biosimilars, and branded generics. The combined entity is projected to generate revenues of around $12.4 billion, placing it among the top 25 pharmaceutical companies globally.
Organon, which was spun off from Merck in 2021, brings a portfolio of over 70 products spanning women’s health and general medicines, with operations across more than 140 countries. Its established presence in key markets such as the US, Europe, and China complements Sun Pharma’s existing strengths and growth ambitions.
Sun Pharmaceutical Industries Limited executive chairman Dilip Shanghvi said, “This transaction represents a significant opportunity for Sun Pharma to build on its vision of reaching people and touching lives. Organon’s portfolio, capabilities and global reach are highly complementary to our own.”
Sun Pharmaceutical Industries Limited managing director Kirti Ganorkar added, “This transaction is a logical next step in strengthening Sun Pharma’s global business. Together, we will become a partner of choice for acquiring and launching new products.”
From Organon’s side, Organon & Co. executive chair Carrie Cox noted, “This all-cash transaction offers compelling and immediate value to Organon stockholders, while positioning the business for continued growth under Sun Pharma.”
Strategically, the acquisition gives Sun Pharma entry into the global biosimilars space as a top 10 player and strengthens its innovative medicines portfolio, which is expected to contribute around 27 per cent of combined revenues. The deal is also expected to nearly double EBITDA and cash flow, supporting long-term deleveraging and investment capacity.
Sun Pharma plans to fund the acquisition through a mix of internal accruals and committed financing from global banks, while maintaining focus on disciplined integration and operational continuity post-merger.
If completed as planned, the deal signals a clear shift in India’s pharmaceutical ambitions, from scale at home to leadership on the global stage, with Sun Pharma positioning itself as a more diversified and innovation-led healthcare powerhouse.
