IHCL Q4 Results: Firm posts revenue of Rs 872 crore, clocks profit of Rs 72 cr

The chain reported revenue from operations of Rs 872 crore in Q4 compared to Rs 615 crore in the corresponding period of the previous fiscal.

It has reported a profit of Rs 72 crore compared to a loss of Rs 98 crore in quarter four of the fiscal year 2020-21. On an annual basis, it reported revenues of Rs 3056 crore in fiscal 2021-22, up from Rs 1575 crore in fiscal 2020-2021.

Its annual losses narrowed down to Rs 265 crore from Rs 796 crore in fiscal 2020-21. The chain said it has recorded the highest number of new hotel signings in India for the second consecutive year, totalling 19 new hotels.

IHCL has also raised Rs 4000 crore, Rs 2000 crore by way of the rights issue and an additional Rs 2000 crore through QIP. Roots Corporation, which operates the Ginger brand, is now IHCL’s wholly-owned subsidiary.

During the last quarter, IHCL signed five new hotels including two SeleQtions hotels in Manali and Udaipur, two Vivanta hotels in Nashik and Thane, and a Ginger hotel in Agra. It opened five new hotels in quarter four of the financial year 2021-22 across brands including Taj Exotica Resort & Spa, The Palm, Dubai; Raajkutir, Kolkata – IHCL SeleQtions; Vivanta Turbhe; Ginger Greater Noida and Ginger Kochi.

The chain said its homestays portfolio under the brand amã Stays & Trails grew to over 80 bungalows across the country. Qmin, IHCL’s culinary and food delivery platform, expanded to over 20 locations with 15 outlets and ‘multiple’ food trucks.

For the year ending March 31 2022, the chain’s board of directors have recommended an equity dividend of 40% amounting to Rs 0.40 per share.

Puneet Chhatwal, MD and CEO of IHCL, said: “IHCL reported a 192% increase in EBITDA in the fourth quarter as compared to the same quarter last year. Despite the third wave’s impact in January 2022, the company posted its highest-ever EBITDA margin of 25.3%.”

He further said that the business outlook is positive with April and May trending ahead of 2019. “Our industry-leading pipeline along with scaling up of high margin new business like Ginger, amã Stays & Trails and Qmin will provide further impetus,” he added.

Giridhar Sanjeevi, executive vice president and CFO of IHCL said the year has seen significant progress on the shape of the P&L and balance sheet. “The successful raising of Rs 4000 crore demonstrates continued investor confidence in IHCL.

Overall, top-line recovery, focus on asset-light growth through management contracts and other revenue initiatives, together with the tight cost controls have enabled us to achieve industry-leading margins,” he added.