Chalet Hotels Limited reported robust performance for the quarter ended March 31, 2026, with consolidated revenue reaching ₹5,711 million, a 6% year-on-year increase. The company achieved a consolidated EBITDA of ₹2,786 million, reflecting an 8% growth. Despite global macroeconomic challenges impacting occupancy, the company successfully grew its ADR by 8%. Chalet continues its strategic growth trajectory, strengthening its portfolio and expanding its presence in the luxury hospitality segment.
Strong Financial Growth
Chalet Hotels has demonstrated consistent growth, closing the financial year with significant gains. For the full year FY26, consolidated revenue surged by 60% to ₹28,124 million, while annual EBITDA reached ₹12,301 million, marking a 59% increase over the previous year. The company’s focus on operational efficiency and high-potential micro-markets has been central to this performance.
Hospitality Segment Highlights
The hospitality business remains a primary revenue driver, contributing ₹17,311 million for FY26. While occupancy saw temporary impacts due to regional construction and external market pressures, the company maintained strong pricing power. The Average Daily Rate (ADR) for the combined portfolio rose to ₹13,727 in FY26, a 13.5% increase. The company’s premium resort brand, Athiva, has begun to show positive customer feedback and stabilization, further diversifying its luxury offerings.
Strategic Portfolio Expansion
Chalet Hotels is aggressively pursuing expansion, with its total portfolio now crossing 5,000 keys. Key developments include:
- Hyderabad: A new 330-key luxury hotel (Greenfield) is in development.
- Udaipur: The acquisition of Inder Residency Resort & Spa (144 keys) for ₹1,710 million marks a strategic entry into the leisure market.
- Pipeline: The company currently has 7 projects in its pipeline, totaling approximately 1,655 keys, reflecting a robust long-term growth strategy.
Commercial Real Estate and ESG Commitment
The commercial real estate segment continues to provide stable returns, with a total revenue of ₹3,061 million for FY26, up 55% year-on-year. Furthermore, the company has reinforced its commitment to sustainability, achieving a DJSI score of 82 and placing 2nd in the world among peers. Chalet Hotels has set a firm commitment to achieve Net-Zero Greenhouse Gas emissions by 2040.
Source: BSE
