Financial Performance Overview

Standalone Performance (Q2 FY27):

  • Total Income: INR395 crores, up 4% YoY
  • EBITDA: INR124 crores vs INR141 crores last year (down 12%)
  • PAT: INR43 crores vs INR52 crores last year (down 16%)

Holiday Club Resorts Oy (HCRO) International Operations:

  • Revenue: EUR 36.5 million, up 8% YoY
  • EBITDA: EUR 1.7 million vs EUR 1.3 million last year
  • Net Loss: EUR 0.3 million (same as last year)
  • HCRO loss in Indian books (including interest and forex): INR18 crores vs INR27 crores last year

Consolidated Performance (Q2 FY27):

  • Total Income: INR819 crores, up 9% YoY
  • EBITDA: INR194.8 crores, up 5% YoY
  • PAT: INR19.7 crores, up 17% YoY

Key Business Metrics and Operational Highlights

Sales Performance:

  • Total Sales Value (including upgrades): INR141 crores, up 6% YoY
  • Upgrade Value: INR83 crores, up 26% YoY
  • Average Unit Realization (including upgrades): INR13.4 lakhs, up 43% YoY
  • Member Base: 3,03,000 members as of September 2026
  • Organic and Digital contributed 66% of member additions in the quarter

Resort Operations:

  • Occupancy: 75.6%, up 220 basis points YoY
  • Resort Revenue: Grew 15% YoY (highest in 8 quarters)
  • TRevPAR: INR8,777 per room, up 6% YoY
  • Network: 5,762 keys across 106 resorts (net reduction of 103 keys in Q2)
  • Keys under renovation: 442 keys (expected to return in Q3 and Q4)

Portfolio Transformation:

  • 2 properties transformed and opened in Q2
  • 5 transformations currently underway
  • 6 resorts exited during the quarter
  • On track to exit ~650 keys in FY27 (exited ~400 keys in FY26)

Expansion Strategy and Capital Allocation

Capacity Expansion:

  • Target: 10,000 keys by FY30
  • Current visibility: 85% of target
  • 8 ongoing greenfield and brownfield projects
  • Plan to add ~1,000 gross keys in next 6 months

Capital Expenditure:

  • H1 Capex: INR312 crores (vs INR166 crores last year)
  • Capital allocation: 70% towards new resorts, 30% towards improving existing portfolio
  • Expected to spend similar amount in next 6 months to complete ongoing projects

Project Timelines:

  • Ganpatipule: Expected opening Q3 end/Q4 beginning
  • Kumbhalgarh: Expected completion Q3
  • Poovar: Recently opened
  • Jaisalmer: Expected opening Q3
  • Gir: Expected opening Q4 end/Q1 early

Strategic Initiatives

Keystone Product Performance:

  • 10-year Ivory product most preferred (80% of portfolio with 5-year product)
  • Showing good upgrade momentum (25-27% growth YoY)

Luxury Segment Development (Signature Resorts):

  • Targeting luxury segment with ARR of ~INR20,000
  • Positioning: "luxury resort for family and Tribe"
  • Focus on experience-forward and discovery-based offerings

Technology and AI:

  • Implementing paperless check-ins, WhatsApp billing
  • Using AI to anticipate guest needs and improve service
  • AI-based tool to scan customer verbatims and rank resorts

Balance Sheet Position

  • Deferred Revenue: INR5,828 crores as of September end
  • Cash Balance: INR1,329 crores as of September end
  • Funding: Relying on internal accruals for future expansion and transformation

Outlook and Guidance

H2 Focus Areas:

1. Adding capacity (1,000 keys)

2. Accelerating Keystone sales and upgrades

3. Working on operating efficiency

Seasonality:

  • Q2 typically the worst quarter
  • H2 usually more profitable (60-65% of revenue in second half)
  • Non-member business strongest in Q3/Q4

HCRO Outlook:

  • Strategic review in progress
  • Q4 typically strongest quarter in Finland
  • Seasonal business with Q1 weak, Q2 strong (school holidays), Q3 soft, Q4 big

Other Business Aspects

Inventory Allocation:

  • Algorithmic approach based on member booking patterns
  • Typical full-year occupancy between 80-81%

Non-member Business:

  • Corporate and MICE segment showing growth
  • Still small fraction but potential growth area

Cost Structure:

  • Cost of acquisition as percentage has reduced YoY
  • Investments in capabilities (loyalty program, experience ecosystem, non-member business)
  • Growth capital investment ~INR9-15 crores per quarter across three areas: capabilities, renovation revenue loss, new property losses