Inox Leisure

Inox Leisure’s Q1FY16 financial performance is no less than a blockbuster, with standalone revenues surging 34% YoY to Rs. 311 crore and EBITDA nearly doubling to Rs. 58 crore, as EBITDA margins expanded to 18.7% from 12.6% YoY. The tickle down effect lead to standalone net profit rising nearly four-fold to Rs. 22.56 crore in Q1FY16, from Rs. 4.58 crore in the same quarter last year and net margins rising to 7.2%, as against 2% clocked in FY15.

On consolidated basis, including performance of Satyam Cineplexes buy, company’s first quarter revenue stood at Rs. 349 crore and net profit at Rs. 25.26 crore. Consolidated Q1FY16 EPS of Rs. 2.75 has already surpassed FY15’s EPS of Rs. 2.18. This just goes to show how a few good releases can change the company drastically – Dil Dhadakne Do, Tanu Weds Manu Returns and Piku were a few Bollywood picks to have been commercially successful during April-June 2015.

No wonder the share touched a new 52 week high price of 210.75 in last minutes of Friday trade, within minutes of quarterly results announcement. With festive season just kick-starting with Eid over the weekend, many big-ticket movies are lined up for release in the coming quarters, which should bode well for the company in the future too. Share is currently ruling at Q1FY16 annualised PE multiple of approximately 20 times.