KOZHIKODE: Lulu Shopping Mall Calicut Pvt Ltd, formerly Lulu Convention Centre Calicut Pvt Ltd, has reported a net loss of Rs9.51 crore during the five months ended August 31, 2025 (5MFY26), against a loss of Rs16.45 crore for the full FY25.
Though the company remains in the early stage of operations, the improvement in its core profitability indicates that the mall’s business momentum is gathering pace.
Lulu Calicut Shopping Mall, part of the UAE-based Emke (Lulu) Group, began commercial operations in September 2024. During FY25, it posted a total operating income of Rs36.91 crore and a profit before interest, lease, depreciation, and taxes (PBILDT) of Rs13.31 crore.
In just five months of FY26, profit before interest, lease, depreciation and taxes (PBILDT) has already risen to Rs17.23 crore on an income of Rs26.13 crore, underscoring the steady improvement in operating efficiency and cash flow generation.
The mall achieved an occupancy rate of 99.76 per cent as of June 30, 2025, supported by its central location in Kozhikode city and a strong tenant mix. The property currently houses 54 tenants, including brands such as Starbucks, Skechers, Levi’s, Louis Philippe, Allen Solly, and Jockey. Its proximity to educational institutions, hospitals, and IT hubs ensures a consistent visitor base from across North Kerala.
High fixed overheads and interest costs continue to weigh on the bottom line, keeping the financial risk profile moderate. The company has a term loan exposure of Rs232.52 crore and a negative net worth owing to accumulated losses.
To streamline operations, the group has consolidated its hypermarket business under Lulu International Shopping Malls Pvt Ltd (LISM), which now occupies about 83 per cent of Lulu Calicut’s leasable area and pays rentals to LCPL. The remaining space is leased to third-party brands, providing a diversified income stream.
CARE Ratings (CareEdge) has reaffirmed the term loan rating at CARE BBB with a Stable outlook, citing strong brand equity, high occupancy, and continued promoter support. Sustained growth in operating income and improvement in the debt service coverage ratio above 1.3 times could support an upgrade, while any drop in occupancy or reduction in promoter backing may exert downward pressure.
