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Westlife Development Ltd Stock Analysis

Mid Cap
Evaluated by 756 users | BSE: 505533 | NSE: WESTLIFE |
Finance - Others

Westlife Development Limited (WDL) is a part of the Mumbai-based B.L. Jatia Group. WDL is one of the fastest growing players in India’s quick service restaurant (QSR) sector, focusing on putting up and operating QSR in India through its wholly owned...

Analysis of Financial Track Record

Data adjusted to bonus, split, extra-ordinary income, rights issue and change in financial year end
Financial track record gives insight into the company's performance on key parameters over the past ten years. MoneyWorks4me’s proprietary colour codes make it easy for retail investors to gauge the company’s past performance.
Westlife Development Ltd has performed well in majority of the past ten years indicating its past ten year financial track record is very good
Value Creation
 Mar'11Mar'12Mar'13Mar'14Mar'15Mar'16Mar'17Mar'18Mar'19Mar'20
Return on Capital Employed 0.41%11.93%6.18%1.49%-2.93%-0.74%-1.8%2.3%4.9%8.14%
Growth Parameters
Growth Parameters Colour Code Guide
Net Sales (Rs. Cr.) 1.95486847407648339311,1351,4021,548
Y-o-Y Gr. Rt.-28288.6%24.9%8.2%3.2%9%11.7%21.9%23.5%10.4%
Adjusted EPS (Rs.) 0.0422.310.29-1.68-1-1.510.391.630.49
Y-o-Y Gr. Rt.-4900%15.5%-87.5%-679.3%NANANA318%-69.9%
Book Value per Share (Rs.) 12.512.9228.6936.0534.1734.4133.6734.5337.0636.67
Adjusted Net Profit 0.63221.14.5-26.1-15.5-23.46.125.47.7
Net Op. Cash Flow (Rs. Cr.) -3.465.269.73818.879.965.7137112200
Debt to Cash Flow from Ops 000.151.677.151.872.91.342.090.92
Standalone financials take only the parent company into account while consolidated financials take into account financials of the parent company as well as of all its subsidiaries. In most companies consolidated financials should be used for analysis.
Westlife Development Ltd. should be analysed on a Consolidated basis
CAGR
CAGR Colour Code Guide
  9 yrs 5 yrs 3 yrs 1 yr
Net Sales 110.2%15.2%18.5%10.4%
Adjusted EPS 32.1%NANA-69.9%
Book Value per Share 12.71.42.9-1.1
Share Price 68.8% 18.5% 13.5% 3%
Key Financial Parameter
Performance Ratio Colour Code Guide
 Mar'11Mar'12Mar'13Mar'14Mar'15Mar'16Mar'17Mar'18Mar'19Mar'20
Return on Equity (%) 0.5215.7291.09-4.77-2.9-4.41.144.511.32
Operating Profit Margin (%) -10.1711.898.676.52.545.745.367.458.914.14
Net Profit Margin (%) -2.987.824.840.61-3.42-1.86-2.520.541.810.5
Debt to Equity 000.040.110.250.280.360.340.410.32
Working Capital Days 1,142335560616361514439
Cash Conversion Cycle -19-6-13-14-12-12-13-17-21-22
Entity Percentage Holding
Promoters 59.08%
Institutions 30.03%
Non-Institutions 10.89%
Pledged *0.000.000.000.000.000.000.000.000.000.00
* Pledged shares as % of Promoter's holding (%)

MoneyWorks4Me analysed the past 10-year performance of Westlife Development Ltd and arrived at the following conclusion:

Past 10 year's financial track record indicates that Westlife Development Ltd is a good quality company. However, for specific investment actions please connect with your investment advisor.

The 5-year analysis of Westlife Development Ltd's performance infers:

Westlife Development Ltd earnings have grown by 0%, whereas share price has appreciated 18.5% CAGR over the past five years, indicating the company's share price is likely overvalued. However, for specific investment actions please connect with your investment advisor.

We analysed the performance of Westlife Development Ltd share prices over the last 10 years. Here is what we found out:

Westlife Development Ltd share price has appreciated 62.3% annually over the past ten years.

Westlife Development Limited (WDL) is a part of the Mumbai-based B.L. Jatia Group. WDL is one of the fastest growing players in India’s quick service restaurant (QSR) sector, focusing on putting up and operating QSR in India through its wholly owned subsidiary Hardcastle Restaurants Pvt. Ltd. (HRPL). Westlife Development operates a chain of McDonald’s restaurants in west and south India through its subsidiary Hardcastle Restaurants Pvt. Ltd.

Westlife Development Limited (WDL) is a part of the Mumbai-based B.L. Jatia Group. WDL is one of the fastest growing players in India’s quick service restaurant (QSR) sector, focusing on putting up and operating QSR in India through its wholly owned subsidiary Hardcastle Restaurants Pvt. Ltd. (HRPL). Westlife Development operates a chain of McDonald’s restaurants in west and south India through its subsidiary Hardcastle Restaurants Pvt. Ltd. (HRPL).

HRPL operates many McDonald’s restaurants across many cities in the states of Maharashtra, Karnataka, Telangana, Gujarat, Tamil Nadu, Kerala, Chhattisgarh, Andhra Pradesh, Goa and parts of Madhya Pradesh, and provides direct employment. McDonald’s operates through various formats including standalone restaurants, drive-thru’s, mall food courts, McDelivery and dessert kiosks. It also has three thriving brand extensions - McDelivery, McCafe and McBreakfast.

Business area of the company

The company operates in the QSR sub-segment of the informal eating-out industry. Under the master franchisee arrangement with McDonald’s Corporation, the Company is responsible for financing all business operations and paying real estate interests, while McDonald’s Corporation offers technical, operational and business support.

Awards and Recognition

2015

  • WDL has been recognized for their contribution to the industry with several awards such as -‘Make In India’ Awards for excellence in the QSR category 2015. 
  • The Economic Times Awards for excellence in Supply Chain & Logistics 2015, among the elite set of the 10 greatest value creators in India. 
  • WDL was also awarded as one of Fortune India Next 500 companies in 2015.

2016

  • Ranked 9th globally as the most valuable brand by Forbes’2016 Brand Ranking.
  • Presented with the ‘Great Place to Work’ award for the best Company to Work For in the retail industry.

2018

  • Ranked 11th globally as the most valuable brand as listed on Forbes’2018 Brand Ranking.

2019

  • Recognized as one of the best brands in the QSR industry by The Economic Times – Brand Equity.
  • Ranked as one of the top 30 companies by ‘Great Places to Work’ under the retail segment.

Milestones

2013

  • Westlife Development opening of the 1st restaurant in Mysore by Hardcastle Restaurants Pvt. Ltd., Companys subsidiary Company.
  • Opening of the 1st restaurant in Kochi by Hardcastle Restaurants Pvt. Ltd.
  • Westlife Development - McCafe Launches In India.
  • McDonald’s unveils its ‘Masaaledaar’ Grilled Burger -Westlife Development has splits its face value from Rs 10/- to 2/- 2014.
  • New Store Launch at Nadiad - November 25th 2014.
  • Westlife Development December 2014 New Store Launch at Mangalore.
  • Westlife Development Has Launch New Store at Aurangabad,Belagavi.
  • Westlife Development - McDonald's expands its McCafe footprint in India.
  • Westlife Development - McDonald's launching first restaurant in Rajkot, Gujarat.

2015

  • Westlife Development titled '’McDonald’s brings the Golden Arches to Hubli'’.
  • Westlife Development Bengaluru First Stop on McCafe's Southward Journey in India - McDonald’s Announces Launch of 3 McCafe'.
  • Westlife Development -McDonald's launching first McCafe in Kolhapur, Maharashtra.
  • Westlife Development - McDonald’s opens its First Gold Standard Drive-Thru restaurant in Bharuch.
  • Westlife Development - McDonald's opens its first outlet in Solapur.
  • Westlife Development - McDonald's enters the state of Chhattisgarh with its first ever restaurant in Raipur.

2016

  • Westlife Development launches new McDonald in AP.

2017-18

  • McDonalds introduces McFizz drinks to beat the heat.
  • McDonald’s India and Baahubali come together to walk the ramp for six talented designers.
  • Westlife Development has announced the launch of its second restaurant in Goa.

2018-19

  • McDonald’s Introduces Whole Wheat Buns.
  • McDonald’s inaugurates its first restaurant in Kakinada.
  • McDonald’s expands its footprint in Kerala with its first outlet in Thiruvananthapuram.

2020

  • Westlife Development has resumed new store openings across its markets. The company has opened four new stores post March 2020 as it steadily continues to move towards pre-COVID levels of business.
  • Hardcastle Restaurants (HRPL), a Master Franchisee for West & South India operations of McDonald’s restaurants and a subsidiary of the Westlife Development, has launched new packaging ‘EatQual’ designed for its specially abled customers.
  • Westlife Development, the company that owns and operates McDonald’s restaurants in West and South India has elevated its already world-class safety and hygiene practices across its delivery, take-out, drive-thru and dine-in service platforms.
  • Hardcastle Restaurants (HRPL), a Master Franchisee for West & South India operations of McDonald’s restaurants and a subsidiary of the Westlife Development, has launched a Contactless Delivery service to deliver happiness to the customers’ doorstep.
  • Hardcastle Restaurants (HRPL), a Master Franchisee for West & South India operations of McDonald’s restaurants and a subsidiary of the Westlife Development, has partnered with online restaurant guide, food ordering and delivery platform Zomato for further expanding the availability and accessibility of McDelivery for the Northern and Eastern region.
Puchho Befikar
SEBI Registered: Investment Adviser - INA000013323

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