Indian Hotels Q2 Results: Net profit drops to ₹285 crore; revenue climbs 12%

Tata Group’s hospitality arm, Indian Hotels Company Ltd (IHCL), announced its financial performance for the September quarter (Q2FY26) on November 4, reporting a net profit of ₹285 crore.

The company had posted a profit of ₹555 crore in the same period last year, indicating a 49% year-on-year (YoY) decline. However, the quarter included a one-off exceptional gain of ₹307 crore; excluding this, the net profit would have risen 15% YoY. Sequentially, the net profit declined 13.4% from ₹329 crore in the June quarter.

Revenue from operations, however, grew 12% year-on-year to ₹2,041 crore, compared to ₹1,826 crore in the corresponding quarter last year. At the operating level, EBITDA rose 14.2% to ₹572 crore, with margins expanding 60 basis points to 28%.

Puneet Chhatwal, Managing Director & CEO, IHCL, said, “IHCL continued its accelerated growth momentum in the first half of FY2026 with 46 signings, taking its portfolio to 570 hotels. The company opened 26 hotels, crossing the milestone of 250+ operating hotels in India with over 25,000 rooms.”

He added, “Under our strategic partnership with the Clarks Group, 14 hotels have been successfully onboarded on our sales and distribution network. The remaining portfolio is set to migrate to IHCL’s brandscape in the coming months.”

Ankur Dalwani, Executive Vice President and Chief Financial Officer, IHCL, said, “Planned renovations have been completed in the first seven months of this fiscal across key assets such as Taj Fort Aguada Resort & Spa, Goa, Taj Palace, New Delhi, and The Taj Mahal Palace, Mumbai.”

He further added, “IHCL consolidated continues to maintain a healthy balance sheet with a gross cash balance of ₹2,847 crore as of September 30, 2025.”

Indian Hotels Company share price trend

The company’s shares have remained under pressure since hitting a fresh all-time high of ₹898 apiece. Although the stock showed some recovery in between, it failed to sustain the momentum and is currently trading about 17% below its peak level.

Looking at the company’s long-term performance, the stock has gained 118% over the last three years and delivered an impressive 671% return over the past five years.

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