SAMHI Hotels (SAMHI) Q1 25/26 earnings summary

Executive summary

• Q1 FY26 revenue grew 13% year-over-year to INR 2,873 million, with consolidated EBITDA up 19% to INR 1,056 million and PAT surging 353.8% to INR 192 million, supported by reduced finance costs and strong same-store and new hotel performance.

• Balance sheet strengthened by GIC capital infusion and asset recycling, enabling further growth and capital-efficient expansion.

• Results reflect the impact of recent acquisitions, divestments, and a significant private equity investment.

• Growth was temporarily impacted by geopolitical events in May, but no long-term concerns identified.

• Board approved unaudited financial results, with auditor review confirming compliance and no material misstatements.

Financial highlights

• Same-store portfolio revenue grew 9.1% year-over-year, with new openings contributing INR 7.3 crore in incremental revenue.

• RevPAR rose 10.3% YoY to INR 4,760 on a same-store basis.

• EBITDA margin held at 36.8%-37% in a seasonally weak quarter.

• Net debt reduced to INR 13,695 million as of June 30, 2025, with Net Debt/EBITDA at 3x-3.9x trailing 12 months.

• Finance costs dropped 30% year-over-year, from INR 195 crore to INR 135 crore.

Outlook and guidance

• Expecting same-store growth of 9%-11% and significant impact from new openings over the next few years.

• Projected investable surplus of over INR 17,000 million in five years, supporting further M&A and expansion.

• Annualized capital expenditure estimated at INR 175-200 crore per year through FY28.

• Revenue base expected to expand to INR 15,300 million installed capacity, with further growth potential.

• Interest rates expected to decline further, targeting 8.3%-8.35% by FY26 and 8.1% by FY27.