Indian Hotels Company Ltd JUMP 4% AFTER Q2 RESULT

Shares of Indian Hotels Company Ltd rose more than 4% on Thursday, October 22, after the hospitality major reported strong financial results for the September quarter of FY27, supported by robust revenue growth and improved profitability. The company reported a 19.5% year-on-year (YoY) increase in net profit to Rs 380 crore for the quarter. Revenue grew 21.7% to Rs 2,484 crore, while earnings before interest, taxes, depreciation and amortisation (EBITDA) increased 23.9% compared with the corresponding quarter last year. Indian Hotels’ consolidated revenue and EBITDA rose 22% and 24% YoY, respectively, in the September quarter, exceeding consensus estimates by 5% and 3%, respectively. On a standalone basis, revenue increased 26% to Rs 13.4 billion, while EBITDA surged 41% to Rs 5.2 billion, reflecting improved operating performance during the quarter. Following the strong results, earnings estimates for FY28 were revised upwards by 3% and 5%, respectively. The company’s FY27 standalone revenue per available room growth forecast was also raised to 15% from the earlier estimate of 10%. Additionally, the estimated standalone EBITDA margin for FY27 was revised upwards to 46% from 44%. The updated projections also take into account the consolidation of Oriental Hotel in FY28. The strong quarterly performance and improved business outlook supported investor sentiment towards Indian Hotels shares, driving the stock higher during Thursday’s trading session.