The Indian Hotels Company (INDHOTEL) Q1 25/26 earnings summary

Executive summary

• Achieved record performance for the 13th consecutive quarter, with strong double-digit revenue and EBITDA growth despite industry headwinds and geopolitical disruptions.

• Portfolio expanded to 392 hotels (249 operational, 143 pipeline), with 6 new openings in Q1 and international expansion in South Africa; plans for 30+ more in FY26.

• Maintained robust demand across weddings, MICE, and international segments, with double-digit RevPAR growth and resilient margins.

• Taj brand recognized as World's Strongest Hotel Brand and India's Strongest Brand across all sectors by Brand Finance.

• Board approved unaudited standalone and consolidated financial results for the quarter ended June 30, 2025, with statutory auditor review and compliance with SEBI regulations.

Financial highlights

• Consolidated revenue grew 32% year-over-year to ₹2,102 crore; EBITDA up 29% to ₹637 crore; PAT up 19% to ₹296 crore.

• Standalone revenue from operations rose to ₹1,044.59 crore, up from ₹931.27 crore year-over-year; standalone PAT margin at 22.2%.

• Hotel segment revenue and EBITDA grew 14% and 15% year-over-year, with 30 bps margin expansion.

• Air catering revenue up 21% year-over-year to ₹290 crore; EBITDA up 17% to ₹68 crore, though margins impacted by airport levy changes.

• Management fees rose 17% year-over-year to ₹133 crore.

Outlook and guidance

• Confident of achieving double-digit revenue growth for FY26, driven by MICE activity, diplomatic visits, and portfolio expansion.

• Guidance to open 30+ new hotels in the year, with momentum expected to accelerate from September.

• CapEx guidance of over ₹1,200 crore for FY26, with long-term plans for ₹5,000 crore over 4-5 years.

• Expectation of sustained or marginally increased EBITDA margins, with digital and wage cost impacts normalizing over the year.