Financial Performance

Q2 FY27 Performance:

  • Revenue: ₹1,272 million, up 17% year-on-year
  • EBITDA: ₹289 million
  • Occupancy: 60% (improved from previous year)
  • Average Room Rate (ARR): ₹6,494, increased 12% year-on-year
  • Total RevPAR: Grew 12% year-on-year

H1 FY27 Performance:

  • Revenue from Operations: ₹2,971 million, up 19% year-on-year
  • EBITDA: ₹910 million, up 15% year-on-year
  • Profit Before Tax: ₹623 million, up 22% year-on-year
  • Operating free cash flow: ₹593 million, up 16% year-on-year

Operating Metrics

  • H1 Occupancy: 68%, increased 500 basis points year-on-year
  • H1 Average Room Rate: ₹7,222, increased 11% year-on-year
  • The company achieved its 27th consecutive profitable quarter

Expansion and Portfolio Growth

  • Opened 7 resorts in Q2 FY27 (highest-ever quarterly expansion)
  • Total portfolio: 83 resorts with over 4,000 keys (crossed 4,000-key milestone)
  • Six additional resort sign-ups during Q2
  • Managed resort business: 42 properties

Managed Resort Business Performance

  • Q2 revenue from managed resorts: ₹379 million, up 67% year-on-year
  • Managed resorts contribution: 23% of enterprise revenue

Balance Sheet and Financial Position

  • Debt-free balance sheet
  • Cash reserves: ₹3,805 million (up 12% sequentially)
  • Strong financial position provides flexibility for resort upgrades, technology investments, guest experience enhancements, and expansion opportunities

Guest Experience and Recognition

  • TripAdvisor rating: 4.63 (improved from 4.60 a year ago)
  • 31 resorts ranked No. 1 in their respective areas
  • Awards received:
  • "Fastest Growing Leisure Hotel Chain" at Today's Traveller Awards 2026 (third consecutive time)
  • "Smart Tech Enabled Platform of the Year 2026 – B2B" for Sterling ONE distribution platform at Indian Travel & Technology Summit & Awards 2026

Management Commentary

Mr. Vikram Lalvani, Managing Director & CEO, SHRL, commented:

  • 27th consecutive profitable quarter reflects resilience of business model
  • Record Q2 revenue achieved despite seasonally weaker leisure quarter
  • Diversified operating model gaining scale and momentum
  • Strong expansion pipeline and debt-free balance sheet enable accelerated growth
  • Focus on building larger, sustainably profitable and capital-efficient hospitality enterprise
  • Optimistic about sustaining growth momentum in seasonally stronger second half
  • Focus on improving revenue productivity across portfolio

Company Overview

Sterling Holiday Resorts Limited operates 83 resorts, hotels and retreats across beaches, hills, jungles, heritage destinations, pilgrimage circuits, waterfronts and drive-to destinations. The company operates across more than 67 destinations catering to leisure travellers, MICE, destination weddings, reunions and group travel. The company is a 100% independently managed subsidiary of Thomas Cook (India) Limited and part of Fairfax Financial Holdings Limited.