Newsletter
ITC Hotels had a blockbuster quarter as Q2 profits soared even as growth in room and dining revenues stayed steady. The stock ended 0.5% higher following the result update.
By the numbers:
- Net profit at ₹133 crore, up 74% YoY vs ₹76 crore last year
- Revenue from operations at ₹839.5 crore, up 8% YoY
- Hotel segment revenue at ₹822.8 crore, up 8% YoY
The how: the profit jump is the result of a few smart plays coming together at the right time.
First, the travel and hospitality boom is real. Second, the company has been tightening costs.
Improved operational efficiency, better procurement management, and leaner staffing structures have helped the company keep expenses in check even as revenues grew only 8%. Essentially, it’s earning more while spending smarter.
Third, a strong performance from flagship properties and food & beverage segments added to the momentum.
Zoom out: going forward, expect ITC Hotels to ride the wedding season and festive travel wave, especially in Q3 and Q4.
If it maintains its efficiency and expands room inventory strategically, the company could easily outpace sector growth in FY26.
