Wonderla Holiday and Resorts is engaged in the business of amusement parks and resorts. It operates three amusement parks in Kochi, Bangalore and Hyderabad under the brand name Wonderla.

The company actually did well on the topline front for Q3FY17. Total income was up by a good 39% (YoY) at Rs.70 crore yet net profit came in much lower – down by a huge 66% at Rs.4 crore.

This can be blamed on the higher depreciation outgo, which was up 167% at Rs.8 crore, advertising costs also doubled up to Rs.10 crore; in fact total operating costs were up by a whopping 86%. This trickled down to the EBITDA too, which was down 27% at Rs.13 crore and margins fell sharply from 36.1 to 19%.

The stock price has taken a beating with the stock slipping down over 4% to Rs.358.