IHCL Reports Record Q2 FY2027 Performance; revenue up by 21% at INR 2,566 crores, PAT up by 23% at INR 349 crores

The Indian Hotels Company Limited (IHCL), India’s largest hospitality company, reported its consolidated financials for second quarter and half year ending September 30, 2026.

Financial Highlights
- IHCL reported consolidated revenue of INR 2,566 crore in Q2 FY2027, marking an increase of 21% year-over-year.
- The quarter marked IHCL's 18th consecutive record quarter of financial performance.
- EBITDA stood at INR 788 crore with an EBITDA margin of 30.7%.
- Profit After Tax (PAT) reached INR 349 crore, up 23% from the previous year.
- Operating revenue increased 22% year-over-year.
- Operating EBITDA grew 24%, accompanied by a 50-basis-point margin expansion.

Key Growth Drivers
- Domestic same-store hotels recorded a 25% increase in RevPAR.
- Management fee income rose 25%, driven by new hotel openings.
- The Select Service business achieved 25% revenue growth.
- Recent acquisitions of Brij and Atmantan contributed to overall revenue growth.

Upgraded FY2027 Outlook
- IHCL upgraded its FY2027 consolidated revenue growth guidance to 15-17%, from the earlier 12-14%.
- Hotel segment revenue is expected to grow 17-19% during FY2027.
- Growth is expected to be supported by strong demand from social events, MICE business, and non-like-for-like portfolio expansion.

Standalone Performance
- IHCL Standalone reported operating revenue of INR 1,336 crore, up 26% year-over-year.
- Operating EBITDA increased 40% to INR 520 crore.
- Operating EBITDA margin expanded by 400 basis points to 38.9%.
- PAT rose 36% to INR 393 crore.
- Full-service same-store hotels recorded 28% RevPAR growth, supported by marquee events and contributions from renovated assets in Goa, Delhi, Bengaluru, and Udaipur.

Strong Balance Sheet
- IHCL reported a consolidated gross cash position of INR 4,369 crore as of September 30, 2026.
- The company maintained a strong balance sheet while continuing to invest in growth initiatives.

Merger of OHL with IHCL
- IHCL announced the merger of OHL with IHCL during the quarter.
- The merger is expected to simplify the group holding structure.
- The transaction is intended to expand asset management opportunities and accelerate long-term revenue growth.
- The scheme has been filed with stock exchanges with an appointed date of April 1, 2027.

Portfolio Growth
- IHCL signed 47 hotels during the first half of FY2027.
- The company’s portfolio has expanded to 670 hotels.
- The development pipeline comprises 280 hotels with more than 32,000 rooms.
- IHCL is on track to surpass its Accelerate 2030 target of a 700-hotel portfolio ahead of schedule.

Brand-wise Signings
- The first-half signings included four Taj hotels, one Brij property, and one Atmantan property in the luxury segment.
- The company signed 19 hotels under the Ginger and Tree of Life brands.
- Gateway added 12 hotel signings during the period.
- SeleQtions secured eight new hotel signings.

New Hotel Openings
- IHCL opened 20 hotels in the first half of FY2027.
- The operating portfolio increased to 390 hotels.
- Key openings included Taj properties in Frankfurt, Kruger (South Africa), Lucknow, and Tadoba.
- IHCL expanded its presence in Mumbai, Gurugram, Goa, and Hyderabad across multiple brands.

Ginger Brand Milestone
- Ginger opened its 100th operating hotel during the period.
- The achievement makes Ginger the first hospitality brand in India across segments to reach the 100-hotel milestone.

ESG and Sustainability
- IHCL continued to strengthen its ESG+ framework under Paathya, the company's industry-leading sustainability and responsible business platform.
- The framework remains a key pillar of IHCL's long-term growth and value creation strategy.