Business

IHCL turns Q1 net profit of ₹170 crore

IHCL has reported its best first quarter in the company’s history, says MD and CEO Puneet Chhatwal.

IHCL has reported its best first quarter in the company’s history, says MD and CEO Puneet Chhatwal. | Photo Credit: KAMAL NARANG

Indian Hotels Company Ltd. (IHCL), the hospitality company of the Tata Group, reported first-quarter consolidated net profit stood at ₹170 crore.

The company reported a net loss of ₹277 crore in the year-earlier period.

Revenue more than trebled to ₹1,293 crore.

 “IHCL has reported its best first quarter in the company’s history,” MD and CEO Puneet Chhatwal said. “This performance has been boosted by a surge in demand across markets and segments, with both, occupancy and rates exceeding pre-COVID levels. 

“This has resulted in a milestone EBITDA margin of 31.3%, which is an improvement of 1140 bps over Q1 FY 2019-20. In line with our vision of Ahvaan 2025, IHCL will continue on its trajectory of delivering responsible profitable growth.”

The company’s long-term growth will also focus significantly on digital enablers such as the super app – Tata Neu, the company said.

As a founding member of Tata Neu, IHCL has seen a 50% increase in its loyalty members since the launch of the app, Mr. Chhatwal said.

Giridhar Sanjeevi, Executive Vice President and Chief Financial Officer, IHCL said “The revenue performance in the quarter has been encouraging as it is broad based across key markets and brands. This combined with continued cost-monitoring measures has led to margin expansion across all IHCL group companies.” 

“IHCL Consolidated has thereby reported a strong free cash flow of ₹198 crore for the quarter and continues to be net cash positive,” he said.


Our code of editorial values

  1. Comments will be moderated by The Hindu editorial team.
  2. Comments that are abusive, personal, incendiary or irrelevant cannot be published.
  3. Please write complete sentences. Do not type comments in all capital letters, or in all lower case letters, or using abbreviated text. (example: u cannot substitute for you, d is not 'the', n is not 'and').
  4. We may remove hyperlinks within comments.
  5. Please use a genuine email ID and provide your name, to avoid rejection.

Printable version | Aug 15, 2022 8:19:43 pm | https://www.thehindu.com/business/ihcl-turns-q1-net-profit-of-170-crore/article65746702.ece