Sterling Holiday Resorts reported its strongest-ever Q4 and full-year financial performance for FY26, driven by sustained growth in domestic leisure travel, rising occupancies and aggressive resort expansion across India’s emerging tourism markets.
The hospitality company posted record Q4 revenue of ₹1,409 million, up 14% year-on-year, while EBITDA rose 10% to ₹348 million and Profit Before Tax reached ₹206 million. Sterling also marked its 25th consecutive profitable quarter, reflecting continued operating discipline and improving scale efficiencies.
For the full financial year FY26, the company reported revenue of ₹5,487 million and EBITDA of ₹1,701 million, maintaining a strong EBITDA margin of 31%. Profit Before Tax stood at ₹1,142 million for the year.
Sterling said its resort business remained the primary growth engine during the year, contributing 85% of total revenue compared to 79% in the previous year. Resort revenue grew 15% year-on-year to ₹4,678 million, supported by strong growth in room revenue and food & beverage operations.
During Q4 FY26, room revenue rose nearly 40% to ₹672 million, while occupancy improved to 64% from 58% a year earlier. Average Room Rate (ARR) increased 12% to ₹6,347 and total RevPAR grew 16%, despite a significant increase in inventory.
The company also continued its rapid expansion strategy, crossing 78 resorts, hotels and retreats across 65 destinations with over 3,800 rooms. Sterling added 31 resorts over the last 24 months and expects to cross 95 resorts and 4,500 rooms in 2027, with more than 20 sign-ups currently in the pipeline.
The company remains focused on Tier II and Tier III business-cum-leisure destinations, reflecting the growing demand for experiential domestic travel beyond traditional metro markets.
Sterling maintained a debt-free balance sheet during FY26, with operating free cash flow rising 49% year-on-year to ₹1,140 million and cash reserves reaching nearly ₹3,400 million.
The company also strengthened its digital and customer engagement capabilities through Sterling ONE, its proprietary platform powered by Distributed Ledger Technology and AI, which currently connects over 7,000 travel partners and 360 corporate clients.
Commenting on the performance, Vikram Lalvani, Managing Director & CEO of Sterling Holiday Resorts, said FY26 marked a defining year for the company with simultaneous growth across scale, profitability and balance sheet strength.
The company also secured multiple industry recognitions during the year, including TripAdvisor “Best of the Best” awards, Booking.com Traveller Review Awards and hospitality excellence accolades across its resorts and dining outlets.
