Add Westlife Development, target price Rs 800: ICICI Securities

ICICI Securities has add call on Westlife Development with a target price of Rs 800. The current market price of Westlife Development is Rs 734.7.


Westlife Development, incorporated in the year 1982, is a Mid Cap company (having a market cap of Rs 11206.35 Crore) operating in Tourism & Hospitality sector.


Financials
For the quarter ended 30-09-2022, the company has reported a Consolidated Total Income of Rs 577.62 Crore, up 7.02 % from last quarter Total Income of Rs 539.74 Crore and up 48.34 % from last year same quarter Total Income of Rs 389.38 Crore. Company has reported net profit after tax of Rs 31.54 Crore in latest quarter.

The company’s top management includes Mr.Amit Jatia, Ms.Smita Jatia, Mr.Akshay Jatia, Mr.B L Jatia, Mr.Manish Chokhani, Mr.P R Barpande, Mr.Tarun Kataria, Ms.Amisha Jain. Company has B S R & Associates LLP as its auditors. As on 30-06-2022, the company has a total of 16 Crore shares outstanding.

Investment Rationale
The fast food restaurant company's performance will be driven by long-term growth drivers, including store throughput (AUVM), network expansion and margins. Also, the long-term benefits from expansion of food service market remain intact. Hence the brokerage is positive on the counter given the improved execution at the company and accelerated share-gain potential.

Promoter/FII Holdings
Promoters held 56.98 per cent stake in the company as of 30-Jun-2022, while FIIs owned 9.47 per cent, DIIs 23.34 per cent.