Leela Palaces Hotels & Resorts (THELEELA) Q3 25/26 earnings summary

Executive summary

• Achieved over 20% year-over-year growth in both RevPAR and EBITDA for Q3 FY26, with five consecutive quarters of double-digit growth and positive PAT, and cumulative YTD PAT of ₹2,313 Mn.

• Room revenues grew 20%, website-driven revenue up 153%, and F&B revenue up 29% year-over-year, supported by new restaurant launches and increased non-resident footfalls.

• Market share increased by 15 points (April–November 2025), maintaining a RevPAR premium of ₹4,700–₹5,000 over the luxury segment and consistently outperforming the industry in RevPAR growth.

• Expanded operational footprint to 14 hotels with 4,090 keys and a pipeline of 9 hotels, targeting over 5,100 keys.

• Secured high-profile awards and recognitions, including Condé Nast Traveler Readers' Choice Awards and Michelin Keys.

Financial highlights

• Q3 FY26 consolidated operating revenues rose 21% year-over-year to ₹4,574.31 million; consolidated EBITDA increased 23% to ₹2,512.51 million, with a 52% margin.

• PAT for Q3 FY26 was ₹1,478.85 million, up 162% year-over-year; 9MFY26 PAT reached ₹2,313 million, reversing a prior year loss.

• Nine-month operating revenues up 16% year-over-year to ₹10,429 million; operating EBITDA up 22% to ₹4,772 million; EBITDA margin expanded by 231 bps to 46%.

• Over 60% of incremental revenue converted to EBITDA, reflecting strong operating leverage.

• Finance costs and depreciation declined significantly year-over-year, supporting margin expansion.

Outlook and guidance

• On track to achieve long-term EBITDA target of ₹20,000 million by FY30, driven by same-store growth, international expansion, and new F&B and spa outlets.

• Confident in sustaining mid to high teen EBITDA growth over the next 2–3 years, with Q4 expected to deliver double-digit growth in both ADR and RevPAR.

• Targeting 9–10% annual ADR growth and 75–78% occupancy for city hotels, 65% for resorts in stabilized years.