The Indian Hotels Company

“Looking ahead, we remain confident of sustaining management fee growth at a high teens CAGR, supported by a strong pipeline of hotel openings and incremental contributions from newly added hotels.”

“What do you mean can be, it will be better.”

“I would say we will change that guidance also maybe end of next quarter.”

“we will have to end up doing much higher than that to arrive at that because it's not just -- we have to balance the hospitality growth with the somewhat slowness in the TajSATS.”

“We also have to keep in mind that there is a base which we have to sort of keep in mind, especially we had a high base of Q4 last year. So that's keeping in mind, we have given this overall full year guidance.”

“Of the over 34,800 keys in our pipeline, 94% are capital-light, comprising 81% under management contracts and 13% under capital-light leases.”

“we've already crossed 675 hotel portfolio, and we are at 392 hotels opened as of yesterday with 4 more openings for the remainder of this month.”

“Consolidated Hotel segment operating revenue and EBITDA grew by 25% and 30%, respectively, driven by the strength of our diversified brandscape and unique portfolio.”

“A strong example is Taj Palace, New Delhi, where room revenue grew 132% in Q2 FY27 versus last year. In September, the hotel crossed INR100 crores in monthly revenue for the first time while delivering a very high CGOP margin.”

“Consolidated revenue of Ginger stood at INR193 crores, delivering 25% growth year-on-year with an EBITDA margin of 40%.”

“I would say, optimistic on TajSATS going back to where it was and actually even improving upon it in the second half. Of course, we have no control over any further activities on the war front in West Asia.”

“I think we are also expecting to do much better in the third quarter in our international portfolio, especially London, Pierre, San Francisco and anything else that we're opening.”

“This translated into market share gains with occupancy increasing from 75% in Q2 last year to 82% this year.”

“Our continued focus on efficient revenue management and operational excellence enabled us to achieve 28% growth in stand-alone RevPAR and 25% growth in consolidated domestic hotel RevPAR.”

“It's not purely ARR-led growth, so which means that our hotels have gained market share in key markets, both on a stand-alone basis as well as the domestic consol numbers, both in both the markets, we've increased occupancy by roughly by 6% to 7%.”

“The good thing is MICE is a structural story. It's not a one-quarter story.”

“See, you're right, the wedding calendar for next year is actually more of 95 wedding nights as opposed to normal 65-odd 60, 65 wedding nights. So there is clearly potential to sort of grow the social MICE business next year.”

“Operating EBITDA grew 24% year-on-year to INR706 crores, yielding operating EBITDA margin of 28.4%, an expansion of 50 basis points.”

“On the stand-alone basis, we continued to deliver strong performance with operating revenue growing 26% year-on-year to INR1,336 crores and operating EBITDA growing by 40% to INR520 crores, yielding operating EBITDA margin of 38.9%.”

“See, there was no one-off in this quarter. In fact, this quarter, we had a normal payroll increase in stand-alone, which was not the case in the previous quarter.”

“basically, we are saying we will have a positive outlook on margins without giving a specific guidance on the numbers.”

“yielding operating EBITDA margin of 38.9%. That represents an expansion of 400 basis points. Our stand-alone PAT margin stood at a healthy 27%.”

“Our balance sheet continues to be healthy with gross cash reserves of over INR4,350 crores.”

“The all-stock transaction with a share exchange ratio of 25 IHCL shares for every 117 OHL shares is expected to drive 6% to 7% upside in our stand-alone operating revenue in FY28.”

“So the guidance that we are providing of 300 basis point increase in the total revenue for the year does not include revenues from OHL. That will come on top next year.”

“The scheme of arrangement has been filed with the stock exchanges.”

“completed 75 signings, close to 75 signings, out of which 30 have already sort of come on board as Ginger.”

“Coming to OHL, it is still sometime -- we expect it to close sometime in next financial year with an effective appointed date of April 1.”

“But I guess this year is a year of consolidation for TajSATS. They were at a pretty high base as far as the catering business was concerned. And therefore, we think from here, it can only look better.”

“And then specifically, there was a property tax waiver, which was there in London, which got also removed in this quarter.”

“Ongoing geopolitical tensions in West Asia resulted in elevated fuel prices, leading to reductions in airline capacity and higher airfares, which moderated travel demand, particularly in certain international and long-haul corridors.”

“And secondly, on your point on TajSATS, what was different between Q1 and Q2 was that the curtailment of schedule in airlines happened primarily in June.”

“London and U.S., both the markets did get impacted by the Western Asia crisis on the cost side, apart from some impact on the revenue, but cost side, the fuel and power actually has gone up there.”

“Our consolidated operating revenue grew 22% year-on-year to INR2,484 crores.”

“Our bottom line grew by 23% to INR349 crores.”

“During the quarter, management fee income grew by 25% to INR156 crores from INR125 crores in the corresponding period last year.”

“If you adjusted for this, this would have been a normalized 8% to 9% growth without the assets which have come on board early this year.”

“It remains absolutely on track, and IHCL now uses 41% energy from renewable sources and has installed over 361 EV charging stations across 170 locations in India.”