Indian Hotels Co

Revenue up 31.7% YoY, Net Profit up 19.3% YoY in Q1FY2026

On consolidated basis

Quarter ended June 2025 compared with Quarter ended June 2024.

Net sales (including other operating income) of Indian Hotels Co has increased 31.66% to Rs 2041.08 crore.  

Operating profit margin has declined from 29% to 28.22%, leading to 28.12% rise in operating profit to Rs 576.03 crore.  Raw material cost as a % of total sales (net of stock adjustments) increased from 7.37% to 10.20%.   Employee cost decreased from 29.70% to 29.28%.   Other expenses fell from 33.92% to 32.30%.   

Other income rose 32.69% to Rs 61.09 crore.  PBIDT rose 28.54% to Rs 637.12 crore.  Provision for interest rose 9.41% to Rs 54.55 crore.  

PBDT rose 30.69% to Rs 582.57 crore.  Provision for depreciation rose 21.71% to Rs 142.75 crore.  

Profit before tax grew 33.89% to Rs 439.82 crore.  Share of profit/loss was 61.89% lower at Rs 9.9 crore.  Provision for tax was expense of Rs 120.4 crore, compared to Rs 94.28 crore.  Effective tax rate was 26.77% compared to 26.60%.

Minority interest increased 179.24% to Rs 32.95 crore.  Net profit attributable to owners of the company increased 19.32% to Rs 296.37 crore.  

Promoters? stake was 38.12% as of 30 June 2025 ,compared to 38.12% as of 30 June 2024 .  

Full year results analysis.

Net sales (including other operating income) of Indian Hotels Co has increased 23.13% to Rs 8334.54 crore.  

Operating profit margin has jumped from 31.87% to 33.23%, leading to 28.38% rise in operating profit to Rs 2,769.33 crore.  Raw material cost as a % of total sales (net of stock adjustments) increased from 7.69% to 9.28%.   Employee cost decreased from 26.67% to 25.80%.   Other expenses fell from 33.77% to 31.68%.   

Other income rose 25.99% to Rs 230.46 crore.  PBIDT rose 28.19% to Rs 2999.79 crore.  Provision for interest fell 5.38% to Rs 208.38 crore.  Loan funds rose to Rs 3,084.27 crore as of 31 March 2025 from Rs 2,736.23 crore as of 31 March 2024.  Inventories rose to Rs 135.47 crore as of 31 March 2025 from Rs 116.44 crore as of 31 March 2024.  Sundry debtors were higher at Rs 650.88 crore as of 31 March 2025 compared to Rs 476.46 crore as of 31 March 2024.  Cash and bank balance rose to Rs 2,181.56 crore as of 31 March 2025 from Rs 1,485.50 crore as of 31 March 2024.  Investments rose to Rs 2,278.76 crore as of 31 March 2025 from Rs 2,261.20 crore as of 31 March 2024 .  

PBDT rose 31.68% to Rs 2791.41 crore.  Provision for depreciation rose 14.06% to Rs 518.16 crore.  Fixed assets increased to Rs 10,208.27 crore as of 31 March 2025 from Rs 8,904.54 crore as of 31 March 2024.  Intangible assets increased from Rs 662.32 crore to Rs 1,342.48 crore.  

Profit before tax grew 36.49% to Rs 2,273.25 crore.  Share of profit/loss was 40.27% lower at Rs 76.84 crore.  Provision for tax was expense of Rs 616.8 crore, compared to Rs 463.94 crore.  Effective tax rate was 23.23% compared to 25.86%.

Minority interest increased 83.36% to Rs 130.50 crore.  Net profit attributable to owners of the company increased 51.51% to Rs 1,907.59 crore.  

Equity capital stood at Rs 142.34 crore as of 31 March 2025 to Rs 142.34 crore as of 31 March 2024.  Per share face Value remained same at Rs 1.00.  

Promoters? stake was 38.12% as of 31 March 2025 ,compared to 38.12% as of 31 March 2024 .  

Cash flow from operating activities increased to Rs 2,194.37 crore for year ended March 2025 from Rs 1,935.14 crore for year ended March 2024.  Cash flow used in acquiring fixed assets during the year ended March 2025 stood at Rs 1,074.12 crore, compared to Rs 636.96 crore during the year ended March 2024.  

Q1 Performance :

Domestic same store hotels delivered a 11% Consolidated RevPAR growth with a premium of 60% vs industry.

International Consolidated portfolio reported an occupancy of 78%, up 460 basis points, resulting in a RevPAR growth of 13%.

Management Fee income grew by 17% to Rs 133 crores on the back of not like for like growth.

The company signed 12 hotels across its brandscape with 5 Taj hotels including 3 Luxury Wildlife Lodges in Kruger National Park, South Africa, 2 SeleQtions and Ginger hotels each and one hotel each under Gateway, Vivanta and Tree of Life brands.

In Q1FY2026 6 new hotels were opened including a Taj in Alibaug, 2 SeleQtions resorts in Lakshadweep, a Gateway in Coorg and a Ginger in Dehradun

Management Commentary

Commenting on the performance, Mr. Puneet Chhatwal, Managing Director & CEO, IHCL, said, ?Q1 FY2026 marks the thirteenth consecutive quarter of record performance. In line with our guidance, the company reported a double-digit growth in consolidated revenue. The hotel segment?s revenue at INR 1,814 crores grew by 14% leading to a strong EBITDA margin of 31.4%. This performance was enabled by diversification of our top line across same store hotels, not like for like growth and New Businesses consolidated revenue growing by 27% over the previous year. The hospitality sector, despite geopolitical headwinds continues to show resilience and sustained growth.?

He added, ?IHCL continued its growth momentum with 12 signings taking the portfolio to 390+ hotels and opened 6 new hotels in the quarter. Maintaining its leadership, Taj continues to be an icon in the global hospitality landscape with  the brand being recently ranked by Brand Finance-UK as the World?s Strongest Hotel Brand 2025 for the fourth time and India?s Strongest Brand across sectors for the fifth time.?

Mr. Ankur Dalwani, Executive Vice President and Chief Financial Officer, IHCL said ?On the back of strong domestic demand, IHCL Standalone reported a revenue of INR 1,099 crores, an increase of 13% over the previous year, clocking an EBITDA margin of 38.0% and a 17% growth in PAT at INR 245 crores. IHCL Consolidated continues to maintain a healthy balance sheet with a gross cash balance of INR 3,073 crores as on 30th June 2025.?

Indian Hotels Co : Consolidated Results

Quarter ended Year ended Particulars 202506 202406 Var.(%) 202503 202403 Var.(%) Net Sales (including other operating income) 2,041.08 1,550.23 31.66 8,334.54 6,768.75 23.13 OPM (%) 28.22 29.00 -78 bps 33.23 31.87 136 bps OP 576.03 449.60 28.12 2,769.33 2,157.13 28.38 Other Inc. 61.09 46.04 32.69 230.46 182.92 25.99 PBIDT 637.12 495.64 28.54 2,999.79 2,340.05 28.19 Interest 54.55 49.86 9.41 208.38 220.22 -5.38 PBDT 582.57 445.78 30.69 2,791.41 2,119.83 31.68 Depreciation 142.75 117.29 21.71 518.16 454.3 14.06 PBT 439.82 328.49 33.89 2273.25 1665.53 36.49 Share of Profit/(Loss) from Associates 9.9 25.98 -61.89 76.84 128.65 -40.27 PBT before EO 449.72 354.47 26.87 2350.09 1794.18 30.98 EO Income 0 0 - 304.8 0 - PBT after EO 449.72 354.47 26.87 2654.89 1794.18 47.97 Taxation 120.4 94.28 27.70 616.8 463.94 32.95 PAT 329.32 260.19 26.57 2038.09 1330.24 53.21 Minority Interest (MI) 32.95 11.8 179.24 130.5 71.17 83.36 Net profit 296.37 248.39 19.32 1907.59 1259.07 51.51 P/(L) from discontinued operations net of tax 0 0 - 0 0 - Net profit after discontinued operations 296.37 248.39 19.32 1907.59 1259.07 51.51 EPS (Rs)* 2.08 1.75 19.32 11.88 8.85 34.32 * EPS is on current equity of Rs 142.34 crore, Face value of Rs 1, Excluding extraordinary items. # EPS is not annualised bps : Basis points EO : Extraordinary items Figures in Rs crore Source: Capitaline Corporate Database

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