Indian Hotels Company Reports 14.7% Profit Increase in Q4
Indian Hotels Company Q4 results: Profit rises 14.7% at ₹645 crore
Business Standard
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Indian Hotels Company Ltd (IHCL), owned by Tata Group, reported a 14.7% increase in consolidated net profit to ₹645.43 crore for Q4 of FY 2025-26. Revenue from operations rose to ₹2,765.29 crore, reflecting strong growth across various segments despite rising expenses.
- 01IHCL's net profit increased by 14.7% to ₹645.43 crore in Q4 FY 2025-26.
- 02Revenue from operations grew to ₹2,765.29 crore, up from ₹2,425.14 crore in the same quarter last year.
- 03Total expenses rose to ₹2,014.91 crore, impacting overall profitability.
- 04The company plans to issue a dividend of ₹3.25 per share pending approval.
- 05Growth was driven by a 9% increase in revenue per available room (RevPAR) and strong performance in catering and new business segments.
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Indian Hotels Company Ltd (IHCL), the largest hospitality player in India and part of the Tata Group, reported a 14.71% year-on-year increase in consolidated net profit for the fourth quarter of FY 2025-26, reaching ₹645.43 crore compared to ₹562.66 crore in the same period last year. Revenue from operations surged to ₹2,765.29 crore, up from ₹2,425.14 crore in Q4 of the previous fiscal year. Despite this positive growth, total expenses also increased to ₹2,014.91 crore, up from ₹1,764.26 crore in Q4 FY 2025. The company's Board of Directors has recommended a dividend of ₹3.25 per share, subject to approval at the upcoming Annual General Meeting. Ankur Dalwani, Executive Vice President and Chief Financial Officer of IHCL, noted that the company experienced broad-based revenue growth, with a 9% increase in revenue per available room (RevPAR) from existing hotels, a 16% rise in airline and institutional catering, a 25% increase in new businesses, and a 22% growth in management fees.
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The profit increase and revenue growth indicate a strong recovery in the hospitality sector, which could lead to more job opportunities and improved services for customers.
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