IHCL ANNOUNCES RECORD FINANCIAL RESULTS FOR Q4 AND FY 2022-23

  • FY23 REVENUE AT INR 5,949 CRORES, UP 85% YoY
  • FY23 EBITDA MARGIN AT 32.7%, UP 1523 BPS YoY
  • FY23 PAT AT INR 1,003 CRORES, OFFSETS COVID LOSSES

MUMBAI, APRIL 27, 2023: The Indian Hotels Company Limited (IHCL), India’s largest hospitality company, reported its consolidated financials for the fourth quarter and full ending March 31st, 2023.

 

Commenting on the FY23 performance, Mr. Puneet Chhatwal, Managing Director & CEO, IHCL, said, “IHCL achieved a record setting year with a number of significant accomplishments including the highest ever full year consolidated revenue, an all-time high and industry leading EBITDA margin and PAT of over INR 1,000 crores a historic first for the company. This performance was enabled by consecutive four quarters ofsustained high demand, additionally bolstered by IHCL demonstrating RevPAR leadership across its brandscape in all its key markets.

IHCL crossed 260+ hotels in its portfolio including 36 signings at a rate of 3 hotels a month and 16 openings or a new hotel every three weeks in the year. IHCL’s vast footprint now covers 31 States and Union Territories in India. We were also able to achieve an optimal 50:50 mix between our owned/leased and managed hotels.”

He added, “IHCL’s performance reflects the affection and loyalty of our guests, the continuous guidance and support from our Board and the remarkable passion and commitment of the 28,000-strong IHCL team. The management’s focus remains on value creation for all stakeholders, offering customers a unique hospitality ecosystem across segments, leading the way in engaging local communities in our value chain, pioneering new destinations in the country and delivering continued superior performance.

KEY HIGHLIGHTS

 

TAJ REACHES LANDMARK 100TH HOTEL MILESTONE
  • The iconic brand Taj has reached a portfolio of 100 hotels and has more than doubled its room inventory over the past five years
  • Key signings under the brand:
    • Taj Dhaka, a 230-room hotel in the capital city of Bangladesh
    • Taj Riyadh, a 205-room hotel in the heritage city of Diriyah in Saudi Arabia
    • Two Taj resorts in Lakshadweep, 110 room resort each on Suheli and Kadmat islands
    • Taj added to its presence with a hotel each in key cities of Chennai, Bengaluru and Cochin
    • Taj marked its entry to the state capitals of Raipur and Gandhinagar with a 150-room hotel and 118 room resort and spa respectively
  • Opened three new Taj hotels across Kolkata, Wayanad and Jaipur and an addition to its palace portfolio with Sawai Man Mahal, Jaipur
  • Taj continues to retain the dual honour of World’s Strongest Hotel Brand and India’s Strongest Brand as per Brand Finance Hotels 50 Report 2022 and India 100 Report 2022

RECORD PORTFOLIO GROWTH & ACHIEVES BALANCED PORTFOLIO

  • With a record signing of 36 hotels in FY 2022-2023, IHCL portfolio now stands at 260+ hotels
  • Achieved industry leading performance with 16 new hotel openings this fiscal. This included four hotels each under Taj and SeleQtions brands, three Vivanta and five Ginger branded hotels.
  • In line with its initiative to restructure its portfolio under Ahvaan 2025, IHCL has attained a balanced portfolio mix between its owned/leased and managed hotels

REIMAGINED AND NEW BUSINESSES
  • Ginger hotels has reported a turnaround in FY 2022-23, led by a 50% Lean Luxe portfolio, the company achieved Revenue of INR 307 crores, EBITDA margin of 37.4% and a PBT of INR 48 crores
  • TajSATS captured a market share of 58% in FY 2022-23, clocking a Revenue of INR 641 crores a 53% growth over pre-Covid, EBITDA margin of 19.7% and a PBT of INR 107 crores
  • Under the new businesses, Qmin has now grown to 34 outlets with a presence across 24 cities and amã Stays & Trails has witnessed a 42% growth in portfolio this fiscal reaching 114 bungalows across 50+ locations

DRIVING SUSTAINABLE BUSINESS
  • Paathya - IHCL’s ESG+ framework, key highlights for the year include:
    • IHCL’S FLAGSHIP TAJ MAHAL PALACE, MUMBAI IS NOW 100% GREEN
    • 310 EV charging stations across 129 locations in India
    • 32.5% renewable energy and 42% water recycled usage across operating hotels
    • 20 hotels equipped with bottling plants to eliminate use of single use plastic bottles
    • 16 skilling centres across the country with a presence in Gwalior, Lucknow, Jaipur, Jamshedpur among others

 

Mr. Giridhar Sanjeevi, Executive Vice President and Chief Financial Officer, IHCL said, “Robust demand across markets and segments hasled to all group companiesreporting a full year positive PAT in domestic operations. Growth in same store performance supported by margin enhancing new businesses and asset light growth has led to a record EBITDA margin of 32.7%, an 8.7 percentage points expansion over FY 2019-20. This has been made possible by maximising operating leverage of our owned/leased hotels and margin enhancing fee-based business. IHCL continues to report a healthy consolidated free cash flow of INR 1,017 crores in FY 2022- 23 and remains net cash positive.”

About The Indian Hotels Company Limited

The Indian Hotels Company Limited (IHCL) and its subsidiaries bring together a group of brands and businesses that offer a fusion of warm Indian hospitality and world-class service. These include Taj – the iconic brand for the most discerning travellers and ranked as the World’s Strongest Hotel Brand and India’s Strongest Brand as per Brand Finance Hotels 50 Report 2022 and India 100 Report 2022, respectively; SeleQtions, a named collection of hotels; Vivanta, sophisticated upscale hotels; and Ginger, which is revolutionising the lean luxe segment.

Incorporated by the founder of the Tata Group, Jamsetji Tata, the Company opened its first hotel - The Taj Mahal Palace, in Bombay in 1903. IHCL has a portfolio of 263 hotels including 75 under development globally across 4 continents, 12 countries and in over 100 locations. The Indian Hotels Company Limited (IHCL) is India’s largest hospitality company by market capitalization. It is primarily listed on the BSE and NSE.

ANNEXURE I

AWARDS AND RECOGNITION FOR FY 2022-23

  • BRAND FINANCE HOTELS 50 2022: Taj rated as the World’s Strongest Hotel Brand 2022 by Brand Finance for the second consecutive time
  • BRAND FINANCE INDIA 100 2022: Taj rated as India’s Strongest Brand across sectors by Brand Finance for the second time. Taj has received a brand strength index (BSI) score of 88.9 out of 100 and a corresponding elite AAA brand strength
  • WORLD RESPONSIBLE TOURISM AWARDS: Paathya recognized for Sustaining Employees and Communities through the pandemic and Contributing to the Cultural Heritage of India at the coveted International Convention of World Responsible Tourism Awards
  • GOLDEN PEACOCK AWARD FOR TRAINING: IHCL hasreceived top honoursfor Training at the Golden Peacock Awards, 2023
  • GOLDEN PEACOCK AWARD FOR RISK MANAGEMENT: IHCL has won the prestigious Golden Peacock Award for Risk Management for the year 2021
  • GOLDEN PEACOCK AWARD FOR EXCELLENCE IN CORPORATE GOVERNANCE
  • 22ND ICSI NATIONAL AWARDS FOR EXCELLENCE IN CORPORATE GOVERNANCE
  • ICICI LOMBARD INDIA RISK MANAGEMENT AWARDS – IHCL WON MASTER OF RISKS IN BUSINESS MODEL ADAPTABILITY – LARGE CAP CATEGORY
  • 29TH ANNUAL WORLD TRAVEL AWARDS 2022:
    • India’s Leading Hotel – Taj Mahal, New Delhi
    • India’s Leading Palace Hotel – The Taj Mahal Palace, Mumbai
    • India’s Leading Conference Hotel – Taj Palace, New Delhi
    • India’s Leading Family Resort – Taj Exotica Resort & Spa, Goa
  • CONDE NAST TRAVELLER READERS' CHOICE AWARDS 2022: IHCL hotels featured in the Best Hotels in India list
    • Rambagh Palace, Jaipur
    • Taj Lake Palace, Udaipur
    • Taj Palace, New Delhi
    • Fateh Prakash Palace, Udaipur
    • Umaid Bhawan Palace, Jodhpur
    • The Taj Mahal Palace, Mumbai
  • TRAVEL+LEISURE TOP 500 READER’S BEST AWARDS 2022: IHCL hotels featured in global reader’s choice awards
    • Rambagh Palace, Jaipur (Asia)
    • Taj Holiday Village Resort & Spa, Goa (Asia)
    • Taj Lake Palace, Udaipur (Asia)
    • Taj Palace, New Delhi (Asia)
  • TRAVEL+LEISURE WORLD'S BEST AWARDS 2022 
    • IHCL has been featured in the World’s Best Hotel Brands list
    • Best 100 Hotels in the World
      • Taj Lake Palace, Udaipur
      • Taj Falaknuma Palace, Hyderabad
    • Best 15 Resorts in Asia
      • Taj Palace , Delhi
      • Taj Lake Palace, Udaipur
      • Taj Falaknuma Palace, Hyderabad
      • Rambagh Palace, Jaipur
      • Taj Holiday Village Resort & Spa, Goa
      • Taj Lands End, Mumbai
    • Best 15 City Hotels in Asia
      • Taj Palace , Delhi
      • Taj Lands End, Mumbai
    • Best City Hotels in India
      • Taj Palace , Delhi
      • Taj Lands End, Mumbai
    • Best Resorts in India
      • Taj Lake Palace, Udaipur
      • Taj Falaknuma Palace, Hyderabad
    • Best in New York
      • The Pierre, New York
  • CONDE NAST TRAVELLER HOT LIST 2022
    • Pilibhit House, Haridwar – IHCL SeleQtions
    • Vivanta Sikkim, Pakyong
  • NATIONAL TOURISM AWARDS: IHCL hotels honoured across multiple categories
    • The Taj Mahal Palace, Mumbai
    • Taj Kumarakom Resort & Spa, Kerala
    • The Gateway Hotel, Vijayawada
  • MAKEMYTRIP INDIA’S FAVOURITE HOMESTAYS AWARDS 2022:   Our amã Stays & Trails bungalows have been awarded
    • Villa Siolim, Goa – Villa of the Year
    • Ambika Vilas, Trivandrum – Best Heritage Homestay