Imagicaaworld Entertainment: Prabhudas Lilladher Recommends 'Buy' with Rs 70 Target

• Prabhudas Lilladher maintains 'Buy' rating for Imagicaaworld Entertainment with a target price of Rs 70.
• EPS estimates cut by 13%/5% for FY27E/FY28E due to re-alignment of employee cost and other expense assumptions.
• Weak operational performance reported with EBITDA margin of 24.1% (vs. PLe 35.5%) due to salary revisions and large ride R&M.
• Imagicaaworld is in discussions for a potential JV with Keshav Holiday Resort Pvt Ltd (Shanku’s water park) in Gujarat.
• Construction for Sabarmati park expected to begin soon, with inauguration anticipated in FY28E.