Oriental Hotels’ Profit in June Quarter Up by 139.3%
By Ankur Chandra | Published at: Jul 17, 2025 12:01 PM IST
Chennai, July 16, 2025: Oriental Hotels Ltd (NSE: ORIENTHOT, BSE: 500314), a part of the Indian Hotels Company (IHCL) group, reported an increase of 139.3%, year-on-year, in its net profit in the June quarter. Its profit in the quarter stood at Rs 8.71 crore. Revenue increased by 31.5%.
Standalone Financial Highlights (₹ in lakh)
| Particulars | Q1 FY26 | Q1 FY25 | YoY Change | Q4 FY25 | QoQ Change |
|---|---|---|---|---|---|
| Revenue from Operations | 10,695 | 8,136 | +31.5% | 13,229 | -19.2% |
| EBITDA (Est. from PBT & Dep/Fin) | 2,541 | 1,468 | +73.1% | 3,994 | -36.4% |
| Profit Before Tax (PBT) | 1,326 | 421 | +214.9% | 2,629 | -49.6% |
| Net Profit | 871 | 364 | +139.3% | 1,769 | -50.8% |
| EPS (₹, Basic & Diluted, not ann.) | 0.49 | 0.20 | – | 0.99 | – |
Note: EBITDA is estimated by adding depreciation and finance cost back to PBT.
Cost and Margin Performance
- Material costs rose 36.6% YoY to ₹1,088 lakh.
- Employee benefits expanded 13.6% YoY to ₹2,682 lakh.
- Other expenses, including operating and general, rose 14.5% YoY to ₹4,413 lakh.
- Despite input inflation, the company improved operating leverage, translating into a 12.4% standalone net margin versus 4.5% in Q1 FY25.
Consolidated Financial Highlights
| Particulars | Q1 FY26 | Q1 FY25 | YoY Change | Q4 FY25 | QoQ Change |
|---|---|---|---|---|---|
| Revenue from Operations | 10,765 | 8,197 | +31.3% | 13,253 | -18.8% |
| Net Profit (after share of JVs) | 422 | 163 | +158.9% | 787 | -46.4% |
| Total Comprehensive Income | 1,050 | 175 | +500%+ | 1,433 | -26.7% |
The consolidated results indicate that Oriental Hotels absorbed a ₹306 lakh loss from its Joint Venture (TAL Hotels & Resorts) while gaining ₹44 lakh profit from associates. The total comprehensive income was further boosted by benefits from currency translation and equity valuation gains.
Management Commentary
Pramod Ranjan, Managing Director & CEO, stated:
“The Q1 results reflect our continued momentum across key leisure and business travel corridors. While seasonality impacted sequential growth, our focus on premiumisation, operational discipline, and digital engagement continues to deliver results.”
Auditor Review
The limited review of both standalone and consolidated financials was conducted by PKF Sridhar & Santhanam LLP, which provided unmodified opinions on both sets of results. The audit encompassed domestic and international subsidiaries and associates, including OHL International (HK), Taj Madurai, and Lanka Island Resorts.
Strategic Outlook
Oriental Hotels Ltd continues to strengthen its foothold in the luxury and upscale hospitality market, leveraging the strong brand presence of IHCL’s Taj Hotels. The company has not provided segmental disclosure as its entire business falls under the “Hoteliering” category.
The Indian luxury hospitality market is experiencing significant growth, driven by rising disposable incomes, increasing domestic and international tourism, and expanding business travel. The market is also benefiting from strategic hotel chain expansion, government initiatives promoting tourism, and the increasing demand for experiential and wellness tourism. Technology integration, such as smart rooms and AI-powered services, further enhances guest experience and operational efficiency, contributing to the sector’s positive outlook.
Share Price Performance
As of 11:35 AM, the shares of Oriental Hotels were trading at ₹162.94, down by 1.30% or ₹2.14. It remains to be seen at what price the shares close at the end of today’s market session.
About the Company
Oriental Hotels Ltd, listed on NSE and BSE, operates under the Taj Hotels brand with a presence across South India and select international markets. The company is a key subsidiary of the Indian Hotels Company Ltd (IHCL), part of the Tata Group. As of FY25, its equity capital stood at ₹1,786 lakh and other equity at ₹66,397 lakh.
This update is based on Regulation 33 of SEBI (LODR) Regulations, 2015 and reflects the unaudited financials for Q1 FY26 as approved on July 16, 2025..
REF:https://nsearchives.nseindia.com/corporate/TAJORIENTAL_16072025180118_SEBMOutcomesigned.pdf
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