Arun K Chittilappilly, MD, Wonderla Holiday says rains in south India have affected footfalls in the first half of Q3.
Current quarter has started on a weak note due to excessive rainfall in Southern India, says Arun K Chittilappilly, MD, Wonderla Holiday.
Speaking to CNBC-TV18, Chittilappilly says rains in south India have affected footfalls in the first half of Q3. However, he expects this marginal downfall to recover in the second half of Q3.
Below is the verbatim transcript of Arun K Chittilappilly's interview with Reema Tendulkar & Nigel D'Souza on CNBC-TV18.
Nigel: There have been rains in the first half of this quarter particularly during Diwali holiday season. How has that affected your footfalls?
A: This quarter has started off on a slightly weak note because we have had excessive rains in the south and that is not good for footfalls in public places like amusement park, so we have seen a bit of dip in our footfalls but that is completely related to the cyclone and inclement weather we have been having.
Now it is picking up and we hope that Christmas and the remaining festival seasons and New Year etc should go as planned. If that happens we should still complete this year with 15-20 percent growth in our topline for full year basis and that is what we have been projecting. However, on top of that our Hyderabad project is progressing very well. We hope to open it to public by end of April '16.
Reema: You said that Q3 could be a bit subdued because of the rainfall although you do expect it to pickup at least in the month of December and thereafter but is there a risk to your 3-4 percent footfall growth guidance which you had earlier given us?
A: We do not know yet. It is hard to predict right now. We will have to wait and see. However, November-December is also important because of school footfalls which we get. So that is just panning out right now. So it is hard to make an assessment on that before the quarter is up.
Nigel: Could you tell us about your F&B as well as your merchandise sales. How have they panned out so far?
A: Our per cap spends have been good, in fact our per cap spends, non-ticket revenues have grown at a much higher pace close to 35-40 percent. So that is showing a healthy sign but because the footfalls have not grown, it is showing. So for us in our industry everything is linked to footfalls even if you matrix per person spends are not showing any decline. Ultimately revenue depends on footfall, so it is hard to make a comment on that right now, but as of now it is not showing growth. It kind of slightly declined our footfalls if you look at our last quarter but it could still make up because we still have a month-and-a-half to go.The Great Diwali Discount!
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First Published on Dec 2, 2015 02:00 pm