Tata's IHCL posts 17th straight record quarter as profit hits Rs 390 crore

Indian Hotels Company (IHCL) reported an 18% increase in consolidated net profit to Rs 390 crore for the first quarter of fiscal 2027. Earnings before interest, taxes, depreciation, and amortisation rose to Rs 753 crore, with the margin expanding 80 basis points to 31.1%.

The Tata Group subsidiary’s core hotel operations drove the gains, with domestic like-for-like revenue per available room (RevPAR) climbing 14%. Management fee income grew 26%, while revenue from the company's broader growth businesses increased 22%.

Within those growth units, which include brands like Ginger, Qmin, amã Stays & Trails and Tree of Life, enterprise revenue surged 65% year-on-year to reach Rs 350 crore. On a standalone basis, profitability was even more pronounced, with the EBITDA margin widening by 380 basis points to 41.8% and net profit reaching Rs 337 crore.

Chief Financial Officer Ankur Dalwani pointed to recently renovated properties in key markets such as Goa, Delhi and Bengaluru as primary contributors to the standalone performance. As of June 30, 2026, the company held consolidated gross cash of Rs 4,439 crore.

The operator is simultaneously expanding its footprint to capture demand. IHCL opened 11 hotels during the quarter, including international Taj locations in Frankfurt and South Africa's Kruger National Park. It also signed 20 new deals, bringing its total portfolio to 645 hotels with a further 263 in the pipeline.

Additionally, 15 hotels acquired from ANK Hotels and Pride Hospitality were integrated into the IHCL brand portfolio during the period. Managing Director and Chief Executive Officer Puneet Chhatwal noted that Q1 FY27 marked the company's "17th consecutive best-ever quarter."

Chhatwal attributed the sustained outperformance to a diversified portfolio of brands and businesses that successfully offset macroeconomic headwinds. He indicated the company intends to maintain its current pace of expansion in the coming quarters.