The Indian Hotels Company Limited Earnings Summary — Q1 FY2027
IHCL Reports Strong Q1 Performance with 15% Revenue Growth and Robust Margin Expansion
Quarterly Business Intelligence
AI Quarterly Scorecard™
Computed deterministically from the last 10 reported quarters.
Quarterly Business Momentum
- Revenue declined 15.4% sequentially in Q1 FY2027.
- Revenue of ₹2,339 Cr is 14.6% higher year-on-year.
- Revenue has compounded at 9.5% annualised over the last 10 quarters.
- Net profit of ₹358 Cr is 20.8% above the same quarter last year.
- Profit growth is outpacing revenue growth, pointing to positive operating leverage.
- Net profit has compounded at -6.6% annualised across the period.
- Operating margin stands at 28.8% in Q1 FY2027.
- Operating margin expanded by 54 bps year-on-year.
- Over the last two years operating margin has contracted by 24 bps.
- PBT margin is 22.8%.
- Expense growth of 13.7% remained below revenue growth of 14.6%.
- Operating profit of ₹673 Cr is 16.8% higher year-on-year.
- Operating leverage has been under pressure recently.
- 6 of the last 6 measured quarters delivered year-on-year revenue growth.
- Overall quarterly business momentum scores 61/100 (Healthy) on the latest 10 quarters.
- Business momentum remains positive heading into the next quarter.
Quarterly Financials
Last 10 Reported Quarters • All figures in ₹ Crore • Margins in %
| Metric | Trend | Latest Q1 FY2027 | Q4 FY2026 | Q3 FY2026 | Q2 FY2026 | Q1 FY2026 | Q4 FY2025 | Q3 FY2025 | Q2 FY2025 | Q1 FY2025 | Q4 FY2024 |
|---|---|---|---|---|---|---|---|---|---|---|---|
| Revenue | Improving | 2,339 | 2,765 | 2,842 | 2,041 | 2,041 | 2,425 | 2,533 | 1,826 | 1,550 | 1,905 |
| Expenses | Improving | 1,666 | 1,793 | 1,766 | 1,471 | 1,465 | 1,568 | 1,571 | 1,325 | 1,101 | 1,246 |
| Operating Profit | Volatile | 673 | 973 | 1,076 | 570 | 576 | 857 | 962 | 501 | 450 | 660 |
| Operating Margin | Stable | 28.8% | 35.2% | 37.9% | 27.9% | 28.2% | 35.3% | 38.0% | 27.4% | 29.0% | 34.6% |
| Other Income | Volatile | 80 | 79 | 334 | 83 | 61 | 59 | 59 | 371 | 46 | 46 |
| Interest | Stable | 57 | 55 | 56 | 56 | 55 | 54 | 52 | 52 | 50 | 52 |
| Depreciation | Improving | 163 | 167 | 150 | 145 | 143 | 142 | 134 | 125 | 117 | 120 |
| Profit Before Tax | Volatile | 533 | 830 | 1,203 | 453 | 440 | 720 | 834 | 696 | 328 | 535 |
| Tax | Volatile | 142 | 205 | 269 | 137 | 120 | 180 | 220 | 122 | 94 | 142 |
| Net Profit | Volatile | 358 | 600 | 903 | 285 | 296 | 522 | 582 | 555 | 248 | 418 |
| Net Margin | Volatile | 15.3% | 21.7% | 31.8% | 14.0% | 14.5% | 21.5% | 23.0% | 30.4% | 16.0% | 21.9% |
Key Takeaways
- Revenue grew 14.6% YoY to ₹2,339 crore, driven by sustained domestic demand and portfolio expansion.
- Integrated 51% acquisition of Brij Hospitality for ₹222 crore, adding to the boutique luxury portfolio.
- Standalone RevPAR led the industry with 12% growth, contributing to a standalone EBITDA margin of 49.5%.
- New business vertical (Ginger, Qmin, Ama) grew 25% YoY, now contributing 10% to enterprise revenue.
- International markets remained subdued due to geopolitical conflicts, impacting London and Dubai assets.
- Strong balance sheet maintained with gross liquidity exceeding ₹4,300 crore for future investments.
Management Guidance
Management expects double-digit revenue growth (12-14%) for FY27, supported by 60+ new hotel openings and incremental revenue of ₹250 crore from recent acquisitions. The Ginger brand is targeted to reach 250 hotels by the end of FY27.
Sentiment Shift
Stable
Consistent record performance for the 16th consecutive quarter despite global macroeconomic headwinds.
Outlook
Favorable industry fundamentals with limited supply and resilient domestic MICE and leisure demand; international travel remains a 'hidden upside' awaiting normalization.
From the Annual Report (Key Quotes)
“Our business today is structurally more diversified with leadership positions across both luxury and mid-scale segments.”
“Asset management was, is and remains a key focus area for the asset-heavy part of our portfolio.”
“We remain fairly confident that we will again deliver double-digit growth between 12% and 14% in the FY '27 fiscal.”
Official Quarterly Documents
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This summary is AI-generated from The Indian Hotels Company Limited's latest quarterly filing and earnings call. For informational purposes only — not investment advice.