Wonderla Holidays expands take away business by launching third outlet

India's leading amusement park operator, Wonderla Holidays Limited informed the bourses about the launch of its third 'Wonder Kitchen' outlet in Kochi.

On June 17, 2020, Wonderla Holidays forayed into food takeaway and home delivery division as part of its business expansion. Under this business plan, the company has launched two 'Wonder Kitchen' outlets in Bangalore since June 2020. To further expand its reach, it has partnered with Swiggy and Zomato for online orders and home delivery apart from takeaway. The company is also planning to launch its fourth outlet in Hyderabad in the near future. 

The company's operations were shut down in March 2020 and its Kochi Park is closed since March 11, 2020. Thereafter, its other outlets in Bengaluru, including parks in Hyderabad as well as its resorts has closed its doors for the public since March 14. 

Due to the ongoing pandemic, the business for the quarter ended June 2020 i.e.Q1FY21 has been severely impacted with nil operating revenue. Accordingly, the performance for the quarter ended June 2020 has resulted in a loss of Rs 14.51 crore against Rs 42.03 crore profit after tax declared by the company during the corresponding period of the last financial year.

The company managed to control the operating expenses during Q1 to Rs 11.90 crore as against Rs 49.03 crore during the corresponding period last year. The company has taken various cost rationalisation initiatives in the areas of payroll, advertising & marketing and other overheads including deferral of avoidable operating costs, through which, the management could bring down cash burn significantly.