The Indian Hotels Company Limited (IHCL), the country’s largest hospitality firm, reported a strong performance in the first quarter of FY26, with consolidated revenue rising 32% year-on-year to ₹2,102 crore. Profit for the quarter rose 19% YoY to ₹296 crore, up from ₹248 crore last year.

EBITDA for the quarter stood at ₹637 crore, up 29% from ₹496 crore in the same period last year. However, EBITDA margin came in slightly lower at 30.3%, compared to 31.0% in Q1 FY25, marking a contraction of 0.7 percentage points.

Puneet Chhatwal, MD & CEO, IHCL, says Q1 FY26 marks the 13th consecutive quarter of record performance. "In line with our guidance, the company reported a double-digit growth in consolidated revenue. The hotel segment’s revenue at ₹1,814 crore grew by 14% leading to a strong EBITDA margin of 31.4%. This performance was enabled by diversification of our top line across same-store hotels, not like-for-like growth, and New Businesses' consolidated revenue growing by 27% over the previous year. The hospitality sector, despite geopolitical headwinds, continues to show resilience and sustained growth.”

He added that IHCL continued its growth momentum with 12 signings, taking the portfolio to 390+ hotels and opened 6 new hotels in the quarter. "Maintaining its leadership, Taj continues to be an icon in the global hospitality landscape with the brand being recently ranked by Brand Finance UK as the World’s Strongest Hotel Brand 2025 for the fourth time and India’s Strongest Brand across sectors for the fifth time.”

Ankur Dalwani, Executive Vice President and Chief Financial Officer, IHCL, said IHCL recorded a standalone revenue of ₹1,099 crore, up 13% over the previous year, clocking an EBITDA margin of 38.0% and a 17% growth in PAT at ₹245 crore, primarily due to strong domestic demand. "IHCL Consolidated continues to maintain a healthy balance sheet with a gross cash balance of ₹3,073 crore as on 30th June 2025.”

Key Q1 highlights:

Financial Performance: Domestic same-store hotels delivered an 11% consolidated RevPAR growth with a premium of 60% versus the industry. International consolidated portfolio reported an occupancy of 78%, up 460 basis points, resulting in a RevPAR growth of 13%.

Portfolio Growth: IHCL signed 12 hotels across its brandscape with 5 Taj hotels, including 3 Luxury Wildlife Lodges in Kruger National Park, South Africa, two SeleQtions and two Ginger hotels each, and one hotel each under the Gateway, Vivanta, and Tree of Life brands. The quarter saw 6 new hotels opened, including a Taj in Alibaug, 2 SeleQtions resorts in Lakshadweep, a Gateway in Coorg, and a Ginger in Dehradun.

New & Reimagined Business: The Air & Institutional Catering business segment (TajSATS) clocked a revenue of ₹290 crore, 21% growth over the previous year and an EBITDA margin of 23.5%. New Businesses vertical comprising Ginger, Qmin, amã Stays & Trails, and Tree of Life reported an enterprise revenue of ₹212 crore, a growth of 25%, and consolidated revenue of ₹162 crore, a growth of 27%.