Indian Hotels Q1 profit rises 21%, RevPAR gains lift margin
Revenue climbs 15% to ₹2,419 crore; EBITDA margin expands 80 bps to 31.1%. Portfolio reaches 645 hotels with 20 signings.
— 2 earlier stories on The Indian Hotels Company Ltd. →What's new
- Consolidated revenue rose 15% to ₹2,419 crore; net profit up 21% to ₹358 crore.
- EBITDA margin increased 80 bps to 31.1%, aided by a 14% RevPAR gain at domestic hotels.
- Signed 20 new hotels during the quarter; total portfolio now 645 including 263 in pipeline.
Why this matters
The results continue IHCL's run of record quarters, driven by strong domestic demand and management fee growth. With a 22% jump in growth businesses and a reiterated double-digit revenue guidance, the near-term trajectory remains intact — though the print contained no surprises for a market that has already factored in the post-pandemic recovery.
What we're watching
- How quickly the 263-hotel pipeline converts to operational assets.
- International RevPAR trends, a quieter part of the portfolio this quarter.
- Cost discipline: the 80 bps margin gain is welcome but sustainability matters more.
The full read
Indian Hotels delivered another clean quarter. Revenue hit ₹2,419 crore, up 15%, and profit rose 21% to ₹358 crore, with EBITDA margin growing 80 bps to 31.1%. The driver: domestic demand. Like-for-like RevPAR rose 14%, management fees jumped 26%, and growth brands like Ginger posted 22% revenue growth. The pipeline grew by 20 signings, taking the total portfolio to 645 hotels. Taj was also named India's strongest brand for the fifth straight year. The results are strong but were widely expected. IHCL has been reporting record quarters for some time, and the market has already priced in the recovery. The open question is whether the next leg of growth comes from conversions of the 263-hotel pipeline or from international markets. The 80 bps gain is welcome, but it will need to hold as competition heats up.
Questions answered
- How does IHCL's Q1 revenue growth compare to its peers?
- The 15% revenue growth is strong but consistent with the broader hotel industry recovery. No peer comparisons were provided in the filing.
- What drove the 80 bps EBITDA margin increase?
- The margin gain was supported by a 14% RevPAR increase at domestic like-for-like hotels and a 26% rise in management fee income, which carry high margins.
- How many hotels did IHCL open versus sign in Q1?
- IHCL opened 11 new hotels and signed 20 during the quarter, bringing its total portfolio to 645 hotels (including 263 under development).
- What is the contribution from growth businesses?
- Growth businesses — Ginger, Qmin, amā Stays & Trails, and Tree of Life — grew revenue by 22% in Q1, outpacing the group average.
- Did IHCL give any new guidance for FY27?
- Management reiterated its full-year guidance of double-digit revenue growth. No other specific numerical guidance was provided.
The Indian Hotels Company Ltd.
Latest quarter · Jun 2026
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All notes on INDHOTEL →- 21 Jul 2026 · 6:03 PM IST Indian Hotels Q1 profit rises 21%, RevPAR gains lift margin
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