The Indian Hotels Company Limited (IHCL) reported robust financial results for the second quarter of FY2027, with consolidated revenue soaring by 21% to ₹2,566 crore. The company achieved its 18th consecutive record quarter and upgraded its FY2027 revenue growth guidance to 15-17%. IHCL also highlighted significant portfolio expansion, reaching 670 hotels, with an accelerated pipeline of 700 hotels expected well ahead of schedule.
IHCL Reports Strong Q2 FY2027 Financials
The Indian Hotels Company Limited (IHCL) has announced its consolidated financial results for the second quarter and half-year ending September 30, 2026. The company posted a consolidated revenue of ₹2,566 crore, marking an increase of 21% over the previous year. This performance represents the 18th consecutive record quarter for IHCL.
Key Financial Highlights (Q2 FY2027)
- Revenue: ₹2,566 crore (up 21% YoY)
- EBITDA: ₹788 crore (up 21% YoY)
- EBITDA Margin: 30.7%
- PAT: ₹349 crore (up 23% YoY)
The operating revenue and operating EBITDA grew by 22% and 24% respectively, with a margin expansion of 50 basis points. Revenue drivers included a 25% rise in RevPAR from domestic same-store hotels, a 25% increase in management fee income due to new openings, and 25% revenue growth in the Select Service Business. Contributions from recent acquisitions of Brij and Atmantan also bolstered performance.
Upgraded Revenue Guidance and Portfolio Growth
Building on its strong first-half performance, IHCL has upgraded its consolidated revenue growth guidance for FY2027 from 12-14% to 15-17%. The company anticipates 17-19% growth in hotel segment revenue, driven by seasonally strong quarters ahead, high demand from social and MICE events, and strong non-like-for-like growth.
IHCL also announced significant portfolio expansion, with 47 signings in the first half of FY2027. The company’s portfolio now stands at 670 hotels, and it is on track to achieve its ‘Accelerate 2030’ guidance of a 700-hotel portfolio well ahead of schedule.
Standalone Performance
On a standalone basis, IHCL reported an operating revenue of ₹1,336 crore, a 26% increase year-over-year. Operating EBITDA grew by 40% to ₹520 crore, resulting in a strong operating EBITDA margin of 38.9%, an expansion of 400 basis points. Profit After Tax (PAT) increased by 36% to ₹393 crore. This standalone performance was supported by a 28% RevPAR growth in full-service same-store hotels, driven by marquee events and contributions from renovated assets in key markets.
Strategic Developments
The company also mentioned the announcement of the merger of OHL with IHCL, which aims to simplify the group holding structure, expand asset management opportunities, and accelerate long-term revenue growth. The scheme has been filed with the Stock Exchanges with an appointed date of April 1, 2027.
Industry Recognition and ESG+ Framework
IHCL’s brands continue to receive accolades, with Taj recognized as India’s Strongest Luxury Hotel Brand and India’s Strongest Brand. The company also highlighted its commitment to sustainability through its ‘Paathya’ ESG+ framework, focusing on areas like water recycling, renewable energy, and EV charging stations.
Source: BSE
