ITC Hotels, now a standalone entity after its demerger from the ITC group, posted an impressive financial performance in Q4 FY25. This is the second quarterly result since its spin-off, showcasing continued strength in the hospitality sector.
Market Performance
The hospitality sector saw solid momentum in Q4 FY25, and ITC Hotels Q4 numbers reflect that trend. The company delivered strong growth in profitability and revenue, with an optimistic outlook on future expansion.
ITC Hotels Q4 Highlights
Net Profits
- Standalone net profit rose to ₹264 crore, marking a 16% YoY growth from ₹227.87 crore.
- On a sequential basis, profit jumped 43.7% from ₹183.66 crore in Q3 FY25.
- Consolidated net profit stood at ₹257 crore, a 20% YoY rise from ₹215 crore.
Total Income
- Standalone income reached ₹1,016.66 crore, up 7% YoY from ₹950 crore.
- On a QoQ basis, income surged nearly 17% from ₹871 crore.
- Consolidated revenue from operations came in at ₹1,061 crore, a 4.5% increase YoY.
EBITDA
- EBITDA for Q4 stood at ₹413 crore, reflecting an 8.4% YoY growth.
- EBITDA margin improved by 140 basis points, reaching 38.9% compared to 37.5% in Q4 FY24.
Expansion & Growth Strategy
ITC Hotels is not just focusing on profitability but also aggressive expansion:
- Capital Expenditure Approved: ₹328 crore for a new hotel project in Visakhapatnam, Andhra Pradesh.
- The hotel will feature 200 keys.
- Completion expected by 2029.
- Entire funding from internal accruals.
- Current Portfolio:
- Operates 140 hotels with 13,000 keys.
- 45% of properties are owned.
- Future Plans:
- Aim to exceed 200 hotels and 18,000 keys by 2030.
- Focus on management contract model, targeting 65% of portfolio under this asset-light structure.
Summary
The ITC Hotels Q4 results highlight a period of strong financial and operational performance, backed by strategic expansion plans. With growing profitability, a rising top line, and a clear roadmap for scaling operations, ITC Hotels continues to make significant strides as a demerged entity in India’s hospitality space.
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