IHCL posts Q3 revenue of Rs 2,842 crore, PAT at Rs 954 crore

Tata Group backed Indian Hotels Company (IHCL) has reported revenue from operations of Rs 2842 crore for quarter three of this fiscal, up 12% year on year. The chain reported a net profit of Rs 954 crore, up from Rs 632 crore in the corresponding of the previous fiscal.

The company said the net profit is after exceptional Items which mainly include profit on sale of entire equity stake in a joint venture company of Rs 327 crores (net of tax) and an impact on account of new labour codes of Rs 37 crores (net of tax). The chain said the hotel segment reported a revenue of Rs 2,579 crore, resulting in the best ever quarterly EBITDA of Rs 1,050 crore.

IHCL MD and CEO Puneet Chhatwal said quarter three of financial year 2026 marks the fifteenth consecutive quarter of ‘record performance’ with an EBITDA of Rs 1,134 crore and an EBITDA margin of 39.1%.

“The revenue in the quarter was driven by a strong same store performance, not like for like growth, supported by a 17% growth in airline and institutional catering and 31% growth in new businesses. The hotel segment reported a revenue of Rs 2,579 crore resulting in the best ever quarterly EBITDA of Rs 1,050 crore,” he added.

He said IHCL continued its growth momentum in financial year 2026 with 239 signings to reach a portfolio of 617 hotels and opened and onboarded 120 hotels, led by ‘strategic’ partnerships and acquisitions.

Chhatwal said under Accelerate 2030, the chain expanded its brandscape with the acquisition of a controlling stake in Atmantan, an integrated wellness brand and entered into definitive agreements to acquire 51% stake in Brij, a boutique experiential leisure offering and scaled the Ginger brand with 51% acquisition in ANK & Pride Hospitality.

“IHCL consolidated continues to maintain a healthy balance sheet with a gross cash balance of Rs 3,877 crores as on December 31, 2025. IHCL is well placed to deliver sustained performance enabled by a diversified topline across brands, geographies and contract types,” he added.

He said the chain’s pipeline is as high as the number of rooms in operations.

“IHCL is probably the only company across sectors that is growing and still maintaining an increase in EBITDA and maintaining the EBITDA margins. We are scaling and we are scaling profitably,” he added. He said the agreements for the first 25 hotels to migrate from the ANK portfolio have either been executed or agreed upon.

"So, when we report quarter one figures, you will see very different numbers for brands such as Ginger," he added.

For nine months ended December 31, the chain posted revenue from operations of Rs 6924 crore, up from Rs 5909.4 crore. IHCL posted a net profit of Rs 1602 crore for nine months ended December 31, 2025, up from Rs 1475.4 crore.

Ankur Dalwani, executive vice president and chief financial officer, IHCL said during the nine months ending December 2025, IHCL consolidated generated cash of about Rs 1,600 crore and undertook capital expenditure to the tune of Rs 750 crore towards greenfield projects at Ekta Nagar, Taj Frankfurt, brownfield expansion at Taj Ganges Varanasi and the upcoming Taj Bandstand project along with renovations to key hotels such as Taj Palace Delhi, Taj Fort Aguada Goa, President Mumbai and St James Court London among others.