Lemon Tree Hotels' March Quarter Profit up by 29%
By Ankur Chandra | Updated at: May 31, 2025 10:45 PM IST
Lemon Tree Hotels Ltd delivered its strongest-ever financial performance for the quarter and year ended March 31, 2025, bolstered by consistent demand, improved occupancy, and operational efficiencies.
Q4 FY25 Key Financial Highlights (Standalone & Consolidated)
| Metric | Q4 FY25 | Q4 FY24 | YoY Growth |
|---|---|---|---|
| Total Revenue | ₹379.4 Cr | ₹331.2 Cr | 15% |
| Net EBITDA | ₹205.0 Cr | ₹175.3 Cr | 17% |
| EBITDA Margin | 54.0% | 52.9% | +109 bps |
| PAT | ₹108.1 Cr | ₹84.0 Cr | 29% |
| Cash Profit | ₹143.0 Cr | ₹117.4 Cr | 22% |
| Cost of Debt | 8.57% | 8.86% | -29 bps |
The quarter saw a record-high gross ARR of ₹7,042 with occupancy at 77.6%, boosting RevPAR to ₹5,462 – a 15% YoY increase.
FY25 Full-Year Performance
| Metric | FY25 | FY24 | YoY Growth |
|---|---|---|---|
| Total Revenue | ₹1,288.4 Cr | ₹1,076.8 Cr | 20% |
| Net EBITDA | ₹636.6 Cr | ₹528.9 Cr | 20% |
| EBITDA Margin | 49.4% | 49.1% | +28 bps |
| PAT | ₹243.1 Cr | ₹181.7 Cr | 34% |
| Cash Profit | ₹382.4 Cr | ₹293.8 Cr | 30% |
| EPS | ₹2.48 | ₹1.88 | 32% |
| Gross Debt | ₹1,698.6 Cr | ₹1,889.1 Cr | -10% |
| Debt/EBITDA Ratio | 2.67x | 3.57x | -25% |
Segment-Wise & Operational Highlights
- Inventory: As of March 31, 2025, Lemon Tree operates 111 hotels with 10,269 rooms, and a pipeline of 101 hotels with 6,847 rooms.
- Management Fees: Rose to ₹44.4 Cr in Q4 (up 16% YoY), with ₹149 Cr in FY25 (up 22% YoY).
- Highest Growth: Aurika Hotels & Resorts reported a 25% YoY RevPAR surge; Keys by Lemon Tree saw a 24% jump.
- Top Regional Growth: Mumbai RevPAR rose 20%, while Bengaluru posted 23% YoY growth.
Corporate Updates
- New Signings: 15 new hotel contracts (833 rooms) signed in Q4 FY25.
- Operational Additions: Two new hotels opened during the quarter (121 rooms).
- Debt Reduction: ₹190 Cr reduction in gross debt during the year, leading to improved leverage metrics.
- CAPEX: ₹44 Cr and ₹6 Cr invested in Aurika Shimla and Aurika Shillong respectively.
Management Commentary
“Q4 marked our highest-ever fourth-quarter revenue and profitability. Our consistent performance and sharp execution give us confidence to exceed our five-year growth targets well before CY28,” said Mr. Patanjali Keswani, Chairman & Managing Director.
Strategic Outlook
- CY28 Inventory Target: Already achieved 85% of the 20,000-room target.
- EBITDA Margin Outlook: FY25 margin of 49.4% expected to stabilize at 50% post-renovation cycle.
- Retail Demand Share: Currently at 45%, with a goal to reach 66% by CY28, driven by the relaunched loyalty program, Infinity 2.0.
About Lemon Tree Hotels
Lemon Tree Hotels Ltd is one of India’s leading hotel chains with a presence across upscale to economy segments. Its diversified brand portfolio includes Aurika, Lemon Tree Premier, Lemon Tree Hotels, Red Fox Hotels, and Keys.
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REF: https://nsearchives.nseindia.com/corporate/LEMONTREE_29052025211405_Investor_Presentation.pdf
