The Indian Hotels Company Ltd (IHCL) has announced strong first quarter profit of £1.7m after tax and signed a deal for a new 108-room hotel opening at London Heathrow Airport. The Heathrow deal is with the developer Hayre Group and will see a Vivanta brand hotel open opposite terminals 1, 2 &3.
The company also announced it had won the bid for The Connaught in Lutyens’ New Delhi.
IHCL is India’s largest hospitality company and reported its consolidated and standalone financials for the first quarter ending 30 June 2018.
Commenting on Q1 performance, Puneet Chhatwal, IHCL’s MD and chief executive officer, said: “It has been a great start to a historically slow quarter. Demand continues to outpace supply and IHCL witnessed an increase in RevPAR by about 6%, globally driven by growth in the industry in general and our brands gaining market share in particular.
“I am delighted with the 8% growth in revenues and improvement in EBITDA margins. Furthermore, in our endeavour to build a robust pipeline, we signed six new hotels with an inventory of approximately 800 rooms across all our brands in key locations in India and overseas.”
Giridhar Sanjeevi, executive vice-president and chief financial officer at The Indian Hotels Company Limited (IHCL), added: “We are very pleased with the progress we are making in the execution of our strategic plan in driving profitable growth for our company. We delivered a PAT of Rs.15 crores/approximately £1,706,175, and this marks the third consecutive quarter of achieving positive results for IHCL.”
The company has also made a major expansion of Taj Bangalore located across the International Airport with an addition of 220 guest rooms; bringing it to a total of 374 rooms with state-of-the-art conferencing and banqueting facilities.
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 now operates 170 hotels including 25 under development globally.