Imagicaaworld Entertainment Ltd. (IMAGICAA) AI Stock Analysis

• Market Cap: ₹22.41B
• Dividend Yield: N/A
• Average Volume (3M): 76.60K
• Price to Earnings (P/E): ―
• Beta (1Y): 0.81
• Revenue Growth: 4.45%
• EPS Growth: -66.66%
• Country: IN
• Employees: 602
• Sector: Consumer Cyclical
• Sector Strength: 84
• Industry: Entertainment
• EPS (TTM): -0.10
• Shares Outstanding: 565,861,450
• 10 Day Avg. Volume: 46,669
• 30 Day Avg. Volume: 76,596
• PEG Ratio: -0.55
• Price to Book (P/B): 2.95
• Price to Sales (P/S): 9.02
• P/FCF Ratio: 178.32
• Enterprise Value/Market Cap: N/A
• Enterprise Value/Revenue: N/A
• Enterprise Value/Gross Profit: N/A
• Enterprise Value/Ebitda: N/A
• 1Y Price Target: N/A
• Price Target Upside: N/A
• Rating Consensus: N/A
• Number of Analyst Covering: 0
• EPS Forecast (FY): 2.1
• Revenue Forecast (FY): ₹3.70B

• Rating: 52 Neutral
• Price Target: ₹40.00 ▼(-17.29% Downside)
• Action: Reiterated Date: 11/25/25
• Date: Action: Reiterated 11/25/25

Imagicaaworld Entertainment Ltd.'s strong financial performance is overshadowed by technical indicators suggesting bearish momentum and an overvalued stock price. The lack of earnings call insights and corporate events further limits the score.

Positive Factors

Strong revenue growth

Sustained 57.8% top-line growth signals growing demand and successful monetization of park visits. Durable revenue expansion improves fixed-cost absorption, creates scale advantages for marketing and operations, and supports multi-quarter reinvestment into attractions and services.

Robust gross and net margins

High gross (57%) and improved net (18.8%) margins reflect effective pricing and cost control, indicating structural profitability in the core park business. Sustained margins provide buffer versus cyclical demand swings and fund ongoing maintenance and guest-experience investments.

Low leverage and strong equity base

Very low debt-to-equity and a high equity ratio give the company financial flexibility to fund capital projects or absorb shocks without heavy refinancing. This conservative capital structure supports durable investment in new attractions with limited solvency risk.

Negative Factors

Negative free cash flow growth

A large decline in free cash flow growth driven by capex reduces internally available funds to sustain operations or pay down obligations. If capex remains elevated, the company may need external financing or to curtail discretionary spending, pressuring cash resilience over several quarters.

Modest return on equity

An ROE of ~6% indicates limited efficiency in converting equity into earnings relative to capital intensity. Persistently low ROE can imply underutilized assets or insufficient pricing power, constraining long-term shareholder value creation absent operational improvements.

Sharp EPS contraction

A near-78% decline in EPS signals significant earnings volatility or one-off impacts that reduce distributable profits. Such swings can limit retained earnings for reinvestment, raise financing needs, and make multi-quarter earnings recovery necessary to restore investor confidence.

Imagicaaworld Entertainment Ltd. Business Overview & Revenue Model

Company Description

Imagicaaworld Entertainment Limited develops and operates theme-based entertainment destinations in India. It operates through Tickets, Food and Beverage, Merchandise, Rooms, and Other Operations segments. The company operates theme, water, and snow parks under the Imagicaa brand; and a hotel comprising 287 rooms under the Novotel Imagicaa brand. It also owns and operates a range of food and beverage outlets, restaurants, and candy stores under the Roberto's Food Court, The Imagicaa Capital, Red Bonnet American Diner, Arrmada, Sunbeatz Pizzeria & Bar, Red Bonnet Express, Ammos, Cones, and Sandy Sipss names; and stores that sell T-shirts, crop tops, formal shirts, sweatshirts, handbags, backpacks, and tote bags, as well as soft toys and pillows, sipper bottles, coffee mugs, and cocktail glasses. In addition, the company develops real estate properties. The company was formerly known as Adlabs Entertainment Limited and changed its name to Imagicaaworld Entertainment Limited in April 2020. Imagicaaworld Entertainment Limited was incorporated in 2010 and is based in Mumbai, India.

How the Company Makes Money

IMAGICAA primarily generates revenue from selling access to its entertainment destinations. Key revenue streams typically include: (1) ticketing/admissions (day passes and bundled tickets for theme park and water park entry); (2) in-park guest spending such as food and beverage sales, merchandise/retail, and paid experiences/attractions where applicable; (3) group and corporate sales, including school/group outings and corporate events that purchase tickets and packages in bulk; and (4) ancillary on-site revenues such as rentals and convenience services connected to park visits (e.g., lockers, cabanas or similar park-use add-ons where offered). Information on any significant partnerships, licensing arrangements, or segment-level revenue mix is null.

Imagicaaworld Entertainment Ltd. Financial Statement Overview

Summary

Imagicaaworld Entertainment Ltd. has shown strong revenue growth and profitability improvement, with a robust balance sheet and healthy cash flow generation. However, operational efficiency and free cash flow growth need attention.

Income Statement

Imagicaaworld Entertainment Ltd. has shown significant improvement in its financial performance. The company achieved a strong gross profit margin of 57% in 2025, indicating efficient cost management. The net profit margin improved to 18.8%, reflecting profitability. Revenue growth was impressive at 57.8% from 2024 to 2025, driven by increased demand. However, EBIT and EBITDA margins, at 21.1% and 44.6% respectively, suggest room for improvement in operational efficiency.

Balance Sheet

The company's balance sheet reflects a stable financial position with a debt-to-equity ratio of 0.13, indicating manageable leverage. The return on equity of 6.2% suggests moderate profitability relative to equity. The equity ratio stands at 66.4%, highlighting a strong capital structure with a healthy portion of assets financed by equity. Despite improvements, the lower ROE could be enhanced by optimizing asset utilization and profitability.

Cash Flow

Imagicaaworld's cash flow shows robust growth with a 51.2% increase in operating cash flow from 2024 to 2025. The free cash flow to net income ratio is 0.27, indicating a positive cash generation capability relative to net income. However, the free cash flow growth rate is negative at -51.2%, due to increased capital expenditures, which suggests potential challenges in sustaining free cash flow in the short term.

Breakdown	TTM	Mar 2025	Mar 2024	Mar 2023	Mar 2022	Mar 2021
Income Statement
Total Revenue	3.76B	4.10B	2.60B	2.51B	720.44M	219.58M
Gross Profit	3.04B	2.34B	2.23B	2.23B	958.51M	190.59M
EBITDA	1.45B	1.83B	6.24B	3.05B	333.69M	-108.57M
Net Income	243.54M	771.73M	5.41B	3.57B	-2.44B	-2.69B
Balance Sheet
Total Assets	18.06B	18.88B	10.98B	11.07B	8.73B	9.35B
Cash, Cash Equivalents and Short-Term Investments	796.89M	1.07B	999.80M	605.36M	52.52M	26.75M
Total Debt	1.94B	1.67B	2.52B	8.06B	10.78B	10.78B
Total Liabilities	5.48B	6.35B	3.03B	8.71B	17.34B	15.53B
Stockholders Equity	12.58B	12.53B	7.94B	2.35B	-8.61B	-6.18B
Cash Flow
Free Cash Flow	230.32M	207.52M	425.14M	837.54M	39.20M	25.00M
Operating Cash Flow	560.57M	1.37B	1.05B	1.17B	44.81M	41.05M
Investing Cash Flow	-714.80M	-4.62B	-1.31B	-86.60M	-4.42M	-17.11M
Financing Cash Flow	179.96M	2.62B	657.96M	-530.35M	-14.62M	-18.46M

Imagicaaworld Entertainment Ltd. Technical Analysis

• Technical Analysis Sentiment: Negative
• Last Price: 48.36
• 50DMA: Negative
• 100DMA: Negative
• 200DMA: Negative
• MACD: Positive
• RSI: Neutral
• STOCH: Neutral

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For IN:IMAGICAA, the sentiment is Negative. The current price of 48.36 is above the 20-day moving average (MA) of 43.78, above the 50-day MA of 47.40, and below the 200-day MA of 55.54, indicating a bearish trend. The MACD of -1.91 indicates Positive momentum. The RSI at 35.06 is Neutral, neither overbought nor oversold. The STOCH value of 60.85 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Negative sentiment for IN:IMAGICAA.

Imagicaaworld Entertainment Ltd. Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
WONDERLA	64 Neutral	₹32.41B	57.49	―	0.38%	0.68%	-45.98%
V2RETAIL	62 Neutral	₹69.23B	20.98	―	―	65.91%	139.39%
Sector *	61 Neutral	$18.38B	12.79	-2.54%	3.03%	1.52%	-15.83%
SFL	54 Neutral	₹56.34B	30.61	―	―	4.98%	-62.09%
VIPIND	54 Neutral	₹48.01B	-25.69	―	―	-12.59%	-328.41%
IMAGICAA	52 Neutral	₹22.41B	-126.58	―	―	4.45%	-66.66%
RBA	41 Neutral	₹35.67B	-21.12	―	―	7.75%	20.28%

Imagicaaworld Entertainment Ltd. Corporate Events

Imagicaaworld to Launch India’s First Hello Park in Hyderabad

Imagicaaworld Entertainment Limited, India’s largest amusement and water park operator, is broadening its footprint beyond destination parks by moving into indoor, tech-enabled experiences through its subsidiary Imagicaa Next Pvt. Ltd. The company is targeting urban malls and high-footfall leisure hubs to deepen engagement with families and young consumers in dense residential and commercial catchments.

The company has signed a Letter of Intent to launch India’s first Hello Park, an immersive indoor entertainment concept, at Lake Shore Y Junction Mall in Hyderabad, a major 1.6 million square foot retail and lifestyle destination. Spanning about 10,000 square feet and aimed primarily at children aged three to twelve, the park is slated to open before the year-end festive season, positioning Imagicaaworld to tap peak holiday demand and laying the groundwork for a broader rollout of multiple Hello Park locations across key urban markets.