Jul 22, 2000|
1Q tourist arrivals up 9% YoY
Tourist arrivals continue to grow buoyantly in the current financial year. For the 1QFY01 they have reported a strong growth of 8.7% YoY to 4,99,114 tourists as compared 4,59,020 tourists for the 1QFY00.
This growth in the first quarter is a good beginning for FY2001, as during FY2000 arrivals grew by an average of only 4.6% YoY to 2.5 m tourists.
If this trend continues it would be a good year for both the hotel and tourism industry. Occupancy rates in metro city hotels have already started to improve and number of rooms occupied this year has been higher than what it was for the same period in the previous year.
The economic recovery and political stability over the past year have contributed to the growth in arrivals, as business sentiment is stronger now than it has been for a long time. Normally business travel picks up significantly after October, which marks the beginning of the peak season. As arrival growth is already buoyant in the first half, it is expected that this would contribute to higher tourist inflows for the current financial year.
Hotel companies have seen an erosion in their profit margins due to poor economic conditions from FY97 to FY2000, however FY2001 onwards they should be able to report higher profits on the back of strong GDP growth. The upcoming new room capacity additions in Mumbai and Delhi does not seem to be a huge concern atleast for the next two to three years as most projects are delayed and are facing cost overruns.
On valuation terms, Indian Hotels Company Ltd is trading at a price to earnings multiple of 8.3x and EIH Ltd is trading at 9.1x (both on FY00 earnings). This is low as compared to multiples of 20x-25x they traded at few years ago and negativity's facing the hotel industry all seem to be in the price.
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Oct 17, 2016
Indian Hotels has reported a 5.6% YoY increase in the consolidated topline and a consolidated loss of Rs 1,695 m for 1QFY17.
Mar 28, 2016
Indian Hotels has reported a 13.2% YoY increase in the consolidated topline and a standalone net profit of Rs 1.2 m for the quarter ended December 2015.
Nov 24, 2015
Indian Hotels has reported a 13.2% YoY increase in the standalone topline and a standalone net profit of Rs 1.2 m for the quarter ended September 2015.
Aug 28, 2015
Indian Hotels has reported a 10.2% YoY increase in the consolidated topline and a consolidated net profit of Rs 348 m for the quarter ended June 2015.
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