🎢 Nicco Parks & Resorts Ltd Q3 FY26: Sales Crash 30%, Profit Down 81%, Yet ROCE 28% — Is Kolkata’s Disneyland Having a Hangover?
1. At a Glance – Roller Coaster or Slow Carousel?
Nicco Parks & Resorts Ltd is currently trading at ₹72.8 with a market cap of ₹341 crore. In the last 3 months, the stock has quietly slipped 15.4%, and over 1 year it has fallen nearly 39.5%. That’s not a thrill ride — that’s motion sickness.
The company reports a Stock P/E of 46.6 while the industry median stands at 43.2. ROCE is a handsome 28.2%, ROE at 21.8%, debt-to-equity is zero (yes, zero), and dividend yield sits at 1.65%. On paper, this is a debt-free amusement business throwing decent returns.
But wait.
Latest quarterly sales came at ₹13.2 crore, down 30.2% YoY. Quarterly PAT? ₹0.92 crore — down 81.1%.
So what is happening? Is the water park drying up? Or is seasonality playing villain?
Let’s open the gate, buy a ticket, and take the ride.
2. Introduction – Eastern India’s Disneyland, Without the Disney Valuation
Established in 1989, Nicco Parks was Eastern India’s first theme-based amusement park. Located in Kolkata across 40 acres, it was built with technical advice from Blackpool Leisure and Amusement Consultancy Ltd, UK.
It is a joint venture between Nicco Corporation and the Government of West Bengal, represented by WBIDC and WBTDC.
Translation?
This isn’t a startup run from a garage. It’s a semi-government-backed entertainment machine.
In FY23, the park recorded 14.45 lakh visitors:
6.16 lakh at the waterpark
5.79 lakh at the main park
The business isn’t just rides. It includes:
Retail merchandising
Food & beverages
Consultancy for other amusement parks
Manufacturing and supplying rides
This is basically: “Come scream on a roller coaster, then we’ll sell you popcorn and engineering consultancy.”
But here’s the twist.
The business boomed post-COVID (FY23, FY24). FY25 and TTM numbers suggest cooling momentum. Profit growth TTM: -70%.
Is this normalization? Or is this a warning sign?
Let’s dig deeper.
3. Business Model – WTF Do They Even Do?
Nicco Parks earns revenue from multiple streams:
FY23 Revenue Mix:
Entry Fees – 17%
Rides & Games – 50%
Licence Fees – 5%
Recreational Facilities – 9%
Food & Beverages – 6%
Traded Goods – 9%
Other Income – 3%
Segment-wise FY23:
Park Operations – 83%
F&B & Recreational – 16%
Consultancy & Ride Components – 1%
So 83% of revenue depends on people physically showing up.
This is not SaaS. This is not digital. This is “weather, school holidays, and mood of Bengal”.
The company also provides consultancy and has set up 7 amusement/water parks in India and 1 in Bangladesh.
But that segment contributes just 1%.
So let’s be clear.
This is fundamentally a Kolkata-based footfall-driven business.
Question for you: If one weak tourist season hits, what happens to earnings?
Exactly.
4. Financials Overview – The Numbers Don’t Lie (But They Scream)
