EIH LimitedUnclassifiedEIHOTEL
Q1 FY27 earnings callEIH Limited
Strong domestic demand drove healthy revenue growth, but EBITDA margins were pressured by a ramp-up hotel, higher marketing and IT spend, and renovations.
Numbers
| Metric | This quarter | Change | Five-quarter trend |
|---|---|---|---|
| Consolidated Revenue | Rs 698 crores | 15% | |
| Consolidated EBITDA | Rs 207 crores | 6% | |
| Net PAT | Rs 120 crores | — | |
| All Hotels RevPAR | Rs 12,801 | — | |
| Owned Hotels RevPAR | Rs 15,000 | — | |
| RGI (vs Competition Set) | 125% | — |
Financials
| Quarter | Revenue | Net profit (PAT) | Basic EPS |
|---|---|---|---|
| Q3 FY25 | ₹800.17 Cr+7.9% YoY+35.9% QoQ | ₹278.83 Cr+21.3% YoY+110.1% QoQ | ₹4.23+20.5% YoY+103.4% QoQ |
| Q2 FY25 | ₹588.99 Cr+11% YoY+11.9% QoQ | ₹132.70 Cr+41% YoY+37.2% QoQ | ₹2.08+39.6% YoY+41.5% QoQ |
| Q1 FY25 | ₹526.54 Cr+5.7% YoY-29% QoQ | ₹96.75 Cr-8.8% YoY-60.9% QoQ | ₹1.47-11.4% YoY-58.7% QoQ |
| Q4 FY24 | ₹741.34 Cr+16.4% YoY0% QoQ | ₹247.59 Cr+168.7% YoY+7.7% QoQ | ₹3.56+163.7% YoY+1.4% QoQ |
| Q3 FY24 | ₹741.26 Cr+26.4% YoY+39.7% QoQ | ₹229.94 Cr+54.6% YoY+144.3% QoQ | ₹3.51+51.3% YoY+135.6% QoQ |
TL;DR
- Revenue grew 15% YoY to Rs 698 crores, but EBITDA growth of 6% lagged due to several factors.
- RevPAR grew to Rs 12,801 (all hotels) and Rs 15,000 (owned hotels), led by robust domestic demand offsetting lower foreign arrivals.
- Oberoi brand RevPAR grew 8.2% (13.2% industry), impacted by new Oberoi Rajgarh and lower foreign guests; Trident grew 13.8% (9.2% industry).
- Management is executing a 30-property expansion plan with 23 managed hotels expected in the next five years.
- Q2 outlook is positive with strong business on books and upcoming large events (BRICS, air show).
Said on the call
“We continue to grow our revenue as well as our EBITDA and PAT.”
From the Q&A
| Topic | What management said |
|---|---|
| EBITDA Margin Pressure | Management attributed the gap between revenue and EBITDA growth to Oberoi Rajgarh ramp-up, higher marketing spend to secure domestic bookings, IT/AI expenditure, and write-offs from renovations (Rs 7.5 crores). Power and fuel costs also increased. |
| RevPAR Trends and Outlook | Strong May-June RevPAR growth (22%) was noted. For Q2, business on books is 'very positive' year-on-year, with expected benefits from large events like BRICS and an air show having a ripple effect across cities. |
| Flight Catering (OFS) Business | OFS revenue was Rs 154 crores, driven by new flights and higher business from international airlines. It was profitable and did not significantly impact overall margins. |
| Oberoi Rajgarh Ramp-up | The hotel is in stabilization and impacted Q1 performance, especially as summer is a slow season for the location. It typically takes 3 years for a leisure hotel to stabilize, with winter months expected to perform better. |
| Project Delays (Kolkata) | The Oberoi Grand Kolkata opening is delayed to 2029 due to extensive restoration needs for safety compliance and a 2-month city-wide construction halt following a tragic incident. Delays lead to cost impacts and revenue deferral. |
| Renovation Impact | Renovations in Mumbai (Oberoi, Trident) and Bangalore are scheduled for low-occupancy summer months to minimize revenue loss, with most to be completed by September/October. The associated write-offs impacted Q1 P&L. |
Guidance
- Expect foreign tourist arrivals to return to normalcy in Q3 and Q4.
- Business on books for Q2 is very positive compared to the same time last year.
- Expansion pipeline includes 23 managed hotels (1,833 keys) expected in the next five years, plus seven owned/associate properties.
- Hebbal development (Bangalore) includes over 1.3 million square feet of commercial space and two hotels, seen as a significant future EBITDA driver.
Source
Summary written from the transcript filed by EIH Limited for the call held on 17 Aug 2026; published 18 Aug 2026, 19:51 IST.