ITC Hotels Reports 51% Surge in Q2 Net Profit
ITC Hotels has announced a remarkable 51.4% increase in net profit for Q2, driven by strong revenue growth and strategic acquisitions.
Net profit rose to Rs 201 crore, up from Rs 133 crore year-on-year.
Revenue increased by 25.6% to Rs 1,054 crore in the September quarter.
EBITDA margin expanded to 32%, reflecting robust operational efficiency.
ITC Hotels Ltd. has reported a significant increase in its net profit for the second quarter of FY27, achieving a 51.4% rise to Rs 201 crore compared to Rs 133 crore in the same period last year. This growth was fueled by a 25.6% increase in revenue, which reached Rs 1,054 crore, as outlined in the financial statements approved by the company's board on Monday.
The company's earnings before interest, taxes, depreciation, and amortization (EBITDA) also saw a substantial increase of 37.3%, amounting to Rs 337 crore. This growth elevated the EBITDA margin to 32%, a notable rise from 29.3% in the previous year. The hotel segment alone experienced a profit increase of 46.4%, supported by a 17.4% rise in revenue, indicating strong performance across its core business operations.
In addition to the core hotel business, ITC Hotels benefited from its branded residences segment, which contributed Rs 71 crore in revenue and Rs 23 crore in profit, marking a significant addition since it was not operational in the same quarter last year. The company’s recent acquisitions, including Kerala Luxury Resorts Pvt. and GHK Hospitality & Infrastructures Ltd., further bolstered its financial results, although these figures are not directly comparable to previous periods due to the timing of the acquisitions.
The consolidated results reflect a robust performance, with the hotel segment generating Rs 966 crore in revenue, up from Rs 823 crore a year ago. The profit from this segment rose to Rs 206 crore from Rs 141 crore. On a standalone basis, excluding the newly acquired subsidiaries, revenue grew by 16.3% to Rs 885 crore, and net profit increased by 36.8% to Rs 207 crore.
Following the announcement of these results, shares of ITC Hotels saw a positive response in the market, trading at Rs 160.20, up 2.53% from the previous close. The company’s strong performance signals a healthy outlook for the upcoming quarters, as it continues to expand its portfolio and enhance operational efficiencies.
