Chalet Hotels (CHALET) investor relations material

Executive summary

• Consolidated revenue grew 27% year-on-year to INR 5,892 million, with EBITDA up 29% to INR 2,726 million and margin rising to 46.3%.

• Hospitality business saw RevPAR up 12% and ADR up 16% year-on-year, with occupancy impacted by new inventory and renovations.

• Commercial real estate revenue rose 29% year-on-year to INR 744 million, with EBITDA margin at 83.5% and occupancy at 83%.

• Strategic focus remains on upper upscale and luxury segments, with continued expansion in leisure and business hotels.

• Board approved unaudited financial results for the quarter and nine months ended 31 December 2025, reviewed by statutory auditors.

Financial highlights

• Q3 FY26 consolidated revenue was INR 5,892 million, up 27% year-on-year; EBITDA was INR 2,726 million, up 29% year-on-year, with a margin of 46.3%.

• 9M FY26 consolidated revenue was INR 22,414 million, up 84% year-on-year; EBITDA was INR 9,514 million, up 85% year-on-year, with a margin of 42.4%.

• Q3 FY26 profit after tax was INR 1,241 million, up 29% year-on-year; 9M FY26 profit after tax was INR 4,820 million.

• Basic EPS for Q3 FY26 was INR 5.67; for 9M FY26, EPS was INR 22.05.

• Net debt stood at INR 20,104 million YTD FY26; cost of debt reduced to 7.5%.

Outlook and guidance

• Expect occupancy and margin improvement as new inventory in Bangalore and Khandala stabilizes over the next 2–3 quarters.

• Healthy growth pipeline with ~1,180 rooms and 0.9 msf commercial space under construction or in planning.

• CapEx of INR 25 billion planned over FY 2027–FY 2029, primarily funded through internal accruals.

• Commercial real estate monthly rentals expected to ramp up to INR 280–300 million in FY 2027.

• Management monitoring regulatory changes, including new labour codes and tax law amendments.