Shares of Waterways Leisure Tourism Limited tumbled nearly 9% during Thursday's trading session, declining as much as 8.6% to ₹834.15 apiece after the company announced its April-June quarter earnings for FY27. According to NDTV Profit, the scrip was trading 6.36% lower by 11:04 am, while the benchmark Nifty 50 index was down 0.05%. The sharp decline reflects investor concerns over the company's profitability metrics despite revenue growth.
Waterways Leisure Tourism reported strong sequential growth in its June quarter results, with revenue from operations rising 7.8% year-on-year to ₹190 crore from ₹176 crore in the same quarter of the previous year. The company also demonstrated robust sequential momentum with revenue increasing 23% from ₹154 crore reported in the March quarter. However, profitability came under pressure as the company posted a consolidated net profit of ₹22.8 crore for Q1 FY27, representing a 34.4% decline from ₹34.7 crore in the corresponding quarter of the previous year. As per NDTV Profit, the company's EBITDA declined 18.3% to ₹44.9 crore versus ₹55 crore, with EBITDA margin compressing to 23.6% from 31.2% in the previous quarter.
The company's initial public offering was subscribed 1.46 times on the final day of bidding earlier this month, as reported by Moneycontrol. The ₹585-crore IPO was priced in the range of ₹769-808 per share and comprised a fresh issue of 72 lakh equity shares with no offer-for-sale component. The company stated it will utilize the proceeds towards lease payments for its step-down subsidiary, Baycruise Shipping and Leasing (IFSC) Pvt Ltd, and for general corporate purposes. Despite the strong IPO performance, the market reaction to Q1 results reflects investor concerns about the company's profitability trajectory.
Waterways Leisure Tourism operates Cordelia Cruises, India's domestic ocean cruise brand, offering luxury cruise experiences across domestic and international destinations, according to Moneycontrol reports. The company's focus on the cruise tourism sector positions it in the growing luxury travel market within India's domestic tourism landscape.
