ITC Hotels on Friday reported nearly 74 per cent rise in consolidated net profit for the second quarter ended September at Rs 133.29 crore, on higher revenue from operations.
Image: ITC Maratha, Mumbai. Photograph: Kind courtesy, ITC Hotels
The company, which listed on the stock exchanges earlier this year post its demerger from ITC Limited, had posted a net profit of Rs 76.63 crore a year ago.
In a statement, ITC Hotels observed that the hospitality sector remains well-positioned for expansion, backed by robust domestic travel, evolving consumer preferences, and continued government focus on tourism infrastructure.
The outlook for the second half of FY25-26 remains positive, with strong fundamentals and rising discretionary spending expected to drive business in the hospitality sector, ITC Hotels said.
Recent policy measures, including GST rate rationalization and monetary easing, are expected to boost consumer spending going forward, it observed.
However, according to ITC Hotels, supply-demand mismatch in the hospitality sector is expected to persist in the medium to long term, with demand — particularly in premium and leisure segments — outpacing available inventory.
“The hospitality sector faced seasonal softness in the quarter, which was further impacted by heavy monsoon rains that dampened travel sentiment and leisure mobility in July and August.
“A lower number of auspicious dates in the quarter also affected the wedding segment. However, demand rebounded in September with longer weekends and early festive activity, reaffirming the sector’s medium to long-term resilience,” ITC Hotels stated.
It also announced the launch of its new premium brand, ‘Epiq Collection – Member ITC Hotels’ Group’.
“This strategic addition to the portfolio is designed to accelerate the company’s premiumization journey by focusing on the conversion of high-quality hotels with new owned and managed properties,” ITC Hotels said.
The initial Epiq Collection projects are under development in Puri and Tirupati.
“With this new brand launch, ITC Hotels aims to add about 1,000 keys under Epiq Collection over medium term, reinforcing its commitment to offering elevated hospitality experiences across India,” the company said.
ITC Hotels has a portfolio of 207 hotels – with 146 operational and 61 in the pipeline.
During Q2, the company’s revenue from operations stood at Rs 839.48 crore during the quarter under review as against Rs 777.95 crore in the year-ago period.
Total expenses also rose marginally to Rs 699.72 crore from Rs 671.29 crore in the corresponding July-September quarter of last year.
In a regulatory filing, ITC Hotels also informed the exchanges that Sudhir Gupta, who was the Head – Procurement of the company, has been elevated as vice president – procurement (senior management).
