Leela Palaces Hotels & Resorts (THELEELA) Q2 25/26 earnings summary

Executive summary

• Delivered strong Q2 FY26 results with 11% revenue growth and 17% EBITDA growth, maintaining four consecutive quarters of positive PAT.

• Outperformed the luxury hospitality industry with RevPAR growth three times the segment average and a Net Promoter Score of 86 in H1 FY26.

• Strategic expansion into Dubai's Palm Jumeirah and Mumbai BKC, including a 25% stake in a Dubai beachfront resort and a restructured BKC Mumbai project, both in partnership with Brookfield.

• Unaudited standalone and consolidated financial results for the quarter and half year ended September 30, 2025, were approved and reviewed by the Board and auditors on October 14, 2025.

• Completed IPO in June 2025, raising ₹25,000 million and listing on BSE and NSE.

Financial highlights

• Q2 FY26 revenue rose 11% YoY to ₹3,334 million; EBITDA up 17% to ₹1,607 million with a 48.2% margin.

• H1 FY26 revenue increased 18% YoY to ₹6,348 million; EBITDA up 34% to ₹2,887 million, margin expanded to 45.5%.

• Q2 PAT at ₹747 million; H1 PAT at ₹834.83 million, reversing a loss of ₹126 million YoY.

• Room revenue for Q2 was ₹1,470 million (vs. ₹1,300 million YoY); F&B revenue at ₹1,200 million (vs. ₹1,130 million YoY).

• Standalone basic earnings per share for H1 FY26 was ₹2.24; consolidated basic EPS was ₹2.35.

Outlook and guidance

• On track for mid-to-high-teens EBITDA growth for FY26, supported by strong H2 seasonality and robust bookings.

• Targeting ₹20,000 million EBITDA by FY30, driven by same-store growth, new verticals, pipeline expansion, and international forays.

• H2 FY26 expected to see strong same-store growth, focus on direct business, optimal channel mix, and healthy RFP rates.

• Financial results for the quarter and half year are not indicative of the full year's performance due to sector seasonality.

• Confident of sustaining double-digit RevPAR growth in H2 FY26.