Lemon Tree Hotels Q1 PAT jumps 20% YoY to Rs 46 cr
Profit before tax (PBT) climbed 25.85% YoY to Rs 79.11 crore in Q1 FY27.
Net EBITDA increased 7% to Rs 151.9 crore in Q1 FY27, compared with Rs 142.1 crore in Q1 FY26. However, EBITDA margin moderated to 43.8% from 44.8% in the year-ago quarter.
The company reported improvement in key operating parameters during the quarter. Average room rate (ARR) increased 2% YoY to Rs 6,361 from Rs 6,236, while occupancy improved to 75.7% from 72.5%, representing a 314-basis-point increase. Revenue per available room (RevPAR) rose 6% YoY to Rs 4,814.
The company expanded its room inventory by 12% YoY to 11,946 rooms during the quarter.
Patanjali Keswani, executive chairman ? Lemon Tree Hotels, said, ?In Q1 FY27, on the asset-light side, we opened 6 managed and franchised hotels with 334 rooms which we had signed on an average 30 months before In this quarter, we also signed 13 managed and franchised hotels with 1,020 rooms which is over 3x of the inventory we opened.
At Aurika, Shimla, our owned 90-room hotel, we have deployed approximately Rs 108 crore of capital as on 30th June 2026. Finishing work and operational licenses are in the final stage and we expect the hotel to open shortly. At Aurika, Shillong, a leased 165-room hotel, we have deployed approximately Rs 33 crores as on 30th June 2026, with the expected opening in H2 FY28
Network revenue for the quarter grew 16% year on year to Rs 576 crore, with owned hotels contributing Rs 320 crore and managed and franchised hotels contributing Rs 256 crore. So, owned hotels contributed 56% of the network revenue in this quarter. Fees from management and franchise contracts for third party-owned hotels stood at Rs 22.8 crores in Q1 FY27, an increase of 42% year on year. Fees from Fleur Hotels stood at Rs 22.6 crore, up 6% year on year. Total management fees for Lemon Tree stood at Rs 45.4 crore, an increase of 21% year on year.?
Meanwhile, the company?s board approved the execution of a Joint Venture Agreement between its wholly owned subsidiary Carnation Hotels and RJ Corp for Arum Hotels, a special purpose vehicle established for the development and execution of the Aurika Shillong project. Under the agreement, Carnation Hotels will hold a 51% equity stake in Arum Hotels, while RJ Corp will hold the remaining 49%.
Lemon Tree Hotels (LTHL) is one of the largest hotel chains in India and owns/leases/operates/franchises hotels across the upscale, upper-midscale, midscale, and economy segments. The group offers seven brands to meet guests? needs across all levels, viz., Aurika Hotels & Resorts, Lemon Tree Premier, Lemon Tree Hotels, Red Fox Hotels by Lemon Tree Hotels, Keys Prima by Lemon Tree Hotels, Keys Select by Lemon Tree Hotels, and Keys Lite by Lemon Tree Hotels.
Shares of Lemon Tree Hotels declined 1.51% to close at Rs 111.05 on Friday, 7 August 2026.
Powered by Capital Market - Live News