Financial Performance Summary

Q2 FY27 Financial Highlights (Standalone and Consolidated)

  • Revenue from Operations: INR 249.5 crores, up 8% YoY (from INR 230.3 crores in Q2 FY26)
  • Total Income: INR 258.1 crores, up 10% YoY
  • EBITDA: INR 91.4 crores (INR 87.3 crores in Q2 FY26) with EBITDA margin of approximately 35% on total income
  • Finance Cost: Reduced by 50% to INR 15.3 crores (from INR 30.3 crores in Q2 FY26)
  • Depreciation and Amortization: Reduced to INR 26.7 crores (from INR 29.5 crores in Q2 FY26)
  • Profit Before Exceptional Item and Tax: Increased by 80% to INR 49.4 crores
  • Reported PBT: Increased by 108% to INR 49.4 crores
  • PAT: Increased by 121% to INR 37.2 crores (from INR 16.8 crores in Q2 FY26)

H1 FY27 Financial Highlights

  • Revenue from Operations: INR 499 crores, up 11% YoY
  • Total Income: INR 510 crores, up 10% YoY
  • EBITDA: INR 180 crores, up 4% YoY
  • Profit Before Exceptional Item and Tax: Increased by 51% to INR 94.2 crores
  • Reported PBT: INR 94.2 crores (from INR 41.6 crores in H1 FY26)
  • PAT: Increased by 173% to INR 70.4 crores (from INR 25.8 crores in H1 FY26)

Operational Performance

  • Q2 Average Room Rate (ARR): Increased by 8.6% YoY to INR 11,514
  • Q2 Occupancy: Remained healthy at 75%
  • Key Performance Drivers: Corporate travel and F&B contributed to support hotels across Mumbai, Delhi, and Ahmedabad

Strategic Developments and Expansion

New Hotel Openings

  • Westin Bangalore: Soft opening of Phase 1 (238 rooms) occurred in October 2026
  • Walk-in guests expected post-Diwali, online bookings starting December 15, 2026
  • Expected stabilized revenue: INR 100-125 crores at 38-40% margin in FY28
  • Phase 2 (275 keys) under construction with excavation completed, expected operational by FY29
  • Total development: 513 keys with combined investment of approximately INR 850 crores

Acquisitions

  • Novotel Imagicaa Acquisition: Signed binding MOU with Imagicaa World Entertainment Limited
  • Purchase consideration: Approximately INR 248 crores at INR 80 lakhs per key
  • 287-key operating asset in Khopoli (1.5 hours from Mumbai International Airport)
  • Located on approximately 11 acres with additional development opportunities
  • Expected to start contributing to top line in Q4 FY27
  • Current revenue: INR 60-65 crores, expected to reach INR 80 crores in first year under Juniper
  • Long-term plan: Full renovation and repositioning with upper upscale brand, expecting 35% rate improvement and 100%+ top line increase post-renovation

Greenfield Development Pipeline

1. Grand Hyatt New Delhi: 550 keys on 2.5-acre site, 700,000 sq. ft. development

  • Concept design approved, expected to break ground in Q4 FY27
  • 5-year license fee moratorium, projected ROCE of 21%
  • Will give Company over 1,000 keys in New Delhi

2. Grand Hyatt Guwahati: 277 keys including branded residences

  • Concept designs completed, civil tendering underway
  • Expected to break ground in Q3 FY27

3. Luxury Wildlife Resort Kaziranga: Under development, expected completion by FY30

4. Commercial Tower Mumbai: Expected to break ground in early FY28

5. Total Project Outlay: INR 2,000 crores for all five projects

Balance Sheet and Capital Structure

  • Total Assets (as of September 30, 2026): INR 4,343 crores
  • Equity Base: INR 2,940 crores
  • Gross Borrowings: Reduced to INR 703 crores (from INR 739 crores in March 2026)
  • Cash and Bank Balance: INR 70 crores
  • Net Debt: INR 633 crores (reduced by approximately INR 87 crores)
  • Net Debt to EBITDA: 1.4x
  • Debt Profile: Long-term maturity horizon of 10-12 years
  • Credit Rating: AA- with stable outlook
  • Undrawn Credit Facility: INR 125 crores

ROCE Clarification

  • Reported ROCE: Approximately 8%
  • Adjusted ROCE (excluding land fair value and Ind AS accounting adjustments): Approximately 17%
  • Post-completion ROCE for new projects: Expected at 19%

MPS Compliance

  • Company will proceed with dilution required for minimum public shareholding compliance in Q3
  • Seeking advice from consultants and legal advisors on the best permissible mode

Management Commentary and Outlook

  • H2 is typically stronger, achieving 60% of annual revenue
  • Strong industry tailwinds and increased demand from social and MICE segments expected
  • Grand Hyatt and Andaz to continue driving performance with healthy ARR and occupancy
  • Confident in achieving double-digit growth in FY27 with incremental revenue from Bangalore and Novotel in Q4
  • Target to double inventory and EBITDA by FY30-31 through organic growth and selective acquisitions

Q&A Session Highlights

  • Delhi Performance: Andaz delivered top line of INR 83 crores (7% YoY growth), driven by rate rather than occupancy
  • Expense Increase: Other expenses increased due to higher HLP costs (INR 1.5-2 crores impact from Middle East conflict affecting gas prices) and GST ITC credit impact (INR 2 crores due to rooms sold below INR 7,500)
  • Margin Guidance: Target of achieving 42% EBITDA margin at corporate level for full year FY27
  • Additional Acquisitions: In discussions for approximately 400 more rooms, expected announcements in next financial year
  • ROFO Assets: No specific update provided, shareholders will decide on future course of action if opportunities arise
  • Capex Plan: Intend not to breach debt-to-EBITDA of 2.6x; plan to spend 25-30% of INR 2,000 crores capex in next 18 months