Indian Hotels Company Ltd. (IHCL) reported a strong start to FY2027, posting a 21 per cent year-on-year rise in consolidated profit after tax (PAT) to ₹358 crore for the quarter ended June 30, 2026, backed by sustained domestic travel demand, portfolio expansion and growth across its management and ancillary businesses.
Consolidated revenue for the quarter rose 15 per cent to ₹2,419 crore, while EBITDA increased to ₹753 crore, with margins expanding 80 basis points to 31.1 per cent. The company marked its seventeenth consecutive best-ever quarter, underscoring the resilience of India’s hospitality sector despite broader macroeconomic headwinds.
Domestic operations remained the key growth engine, with like-for-like hotels reporting a 14 per cent increase in Revenue Per Available Room (RevPAR). Management fee income grew 26 per cent to ₹168 crore, reflecting higher contributions from newly added managed properties and recent acquisitions.
IHCL accelerated its expansion strategy during the quarter by signing 20 new hotels, taking its total portfolio to 645 properties, including an industry-leading pipeline of 263 hotels. Seventeen of the signings were under the Gateway, Ginger and Tree of Life brands, with expansion into emerging destinations such as Bharatpur, Trichy, Sindhudurg, Jawai and Wayanad, alongside established markets including Mumbai, Goa, Agra and Kolkata.
The Taj brand crossed a significant milestone with a portfolio of 150 hotels after signing three new properties in Dharamshala, Meghalaya’s Barapani and Maharashtra’s Kusur Valley. During the quarter, IHCL also opened 11 hotels, including Taj properties in Frankfurt and South Africa’s Greater Kruger National Park, besides SeleQtions hotels in Ayodhya and Mumbai.
The company also completed the migration of 15 hotels from the ANK Hotels and Pride Hospitality portfolios into IHCL’s brand ecosystem, a move expected to strengthen its multi-brand strategy and management business in the coming quarters.
Growth businesses continued to outperform the core portfolio. Enterprise revenue from Ginger, Qmin, amã Stays & Trails and Tree of Life rose 65 per cent to ₹350 crore, while consolidated revenue from these businesses increased 22 per cent to ₹198 crore.
Ginger remained the strongest performer within the segment, recording enterprise revenue of ₹301 crore, up 68 per cent year-on-year, with an EBITDAR margin of 37 per cent. Qmin expanded its network to more than 100 outlets across formats, generating enterprise revenue of ₹60 crore, a 23 per cent increase. amã Stays & Trails and Tree of Life registered enterprise revenue growth of over 55 per cent to ₹18 crore and ₹14 crore, respectively.
IHCL’s aviation catering joint venture, TajSATS, reported revenue of ₹300 crore with an EBITDA of ₹62 crore and a margin of 20.6 per cent, reflecting steady recovery in air travel and institutional catering demand.
On a standalone basis, IHCL reported revenue of ₹1,298 crore and PAT of ₹337 crore. EBITDA margin improved sharply by 380 basis points to 41.8 per cent, aided by the performance of renovated assets in Goa, Delhi and Bengaluru.
The company’s financial position also remained robust, with gross cash reserves of ₹4,439 crore as of June 30, 2026.
During the quarter, Taj was named India’s Strongest Brand across sectors in the Brand Finance India 100 2026 report for the fifth consecutive year, reinforcing the brand’s leadership in the country’s premium hospitality market.
Commenting on the performance, Managing Director and CEO Puneet Chhatwal said diversified brands, strong domestic demand across business and leisure travel, higher management fee income and contributions from recent acquisitions helped offset macroeconomic uncertainties. He added that the company remains on track to deliver double-digit revenue growth for the full financial year.
With an expanding pipeline, international openings, continued asset-light growth and strong momentum across lifestyle, luxury and lean-luxe segments, IHCL enters the remainder of FY2027 with one of the strongest expansion pipelines in the Indian hospitality industry.
