Indian Hotels Company Ltd. share price target

We maintain our BUY rating with TP of Rs 835/share, implying upside of 11% from CMP

IHCL reported stellar Q1FY26 results beating our and consensus estimates on all key parameters. The company delivered 13th best ever quarter aided by healthy demand in domestic market and improved operational performance of overseas hotels. Moreover, despite unpresented disruptions, RevPAR growth in domestic market is commendable. The management reiterated healthy double digit RevPAR growth in FY26E, aided by healthy demand, increasing FTA and higher spending on MICE, weddings etc. IHCL's new business are growing at a robust pace and will continue to support consolidated earnings. Net sales increased by...

Indian Hotels (IH) reported strong consolidated revenue growth of 32% YoY in 1QFY26, led by healthy RevPAR growth of 11% (ARR up 12% and OR down 90bp YoY) in its standalone business. Like-for-like consol hotel revenue/TajSATS grew ~13%/20% YoY.

Indian Hotels (IH IN) reported Q1FY26 consolidated revenue of INR 20.4bn and EBITDA of INR 5.8bn (2% above I-sec estimate of INR5.7bn) driven by higher standalone ARR of INR 14,552 (up 12% YoY).

IHCL reported a good start to FY26 delivering strong double-digit revenue and PAT growth. Consolidated revenues grew by 31.7% y-o-y to Rs. 2,041 crore beating ours and the average street’s expectation of Rs. 1,992 crore and Rs. 1,980 crore, respectively.

*over or under performance to benchmark index Founded in 1902, Indian Hotels Company Ltd. (IHCL) is a leading hospitality player with a portfolio of 381 hotels across 14 countries. It owns popular brands like Taj,...

IHCL’s Q4FY25 numbers were strong with consolidated revenues rising 27% y-o-y to Rs. 2,425 crore (in line with expectation of Rs. 2,440 crore) driven by growth across all businesses, EBITDA margin rising 70 bps y-o-y to 35.3% (in line with 35.4% expected) and adjusted PAT growing by 38% y-o-y to Rs. 542 crore (in line with expectation of Rs. 540 crore).

We maintain our BUY rating With TP of Rs. 900/share Implying upside of 13% from CMP.

Indian Hotels (IH) reported strong consolidated revenue growth of 27% YoY in 4QFY25, led by healthy RevPAR growth of 16% (ARR up 14% and OR up 100bp YoY) in its standalone business. Like-for-like consol hotel revenue/TajSats growth stood at ~13% each YoY. Management contract revenue rose 10% YoY to INR1.6b.

Indian Hotels’ (IH) transformational journey over the past decade is marked by bold strategic moves—embracing an asset-light model, reimagining Ginger Hotels, and expanding into new segments.

We recently hosted Indian Hotels’ (IHCL) management for meetings with investors in Singapore. IHCL reiterated its ‘Accelerate 2030’ strategy – doubling operational + pipeline hotels to 700+ over FY24–30; thus, doubling its consol.

BUY

With its hospitality category growing 15.3 y/y and revenue, 29% y/y to Rs25.3bn, Indian Hotels reported a strong Q3. EBITDA rose 31.3% y/y to ~Rs9.6bn with a flat 38% margin y/y

Indian Hotels (IH) reported strong consolidated revenue growth of 29% YoY in 3QFY25, led by healthy RevPAR growth of 15% (ARR up 13% and OR up 120bp YoY) in its standalone business.

Indian Hotels Company Ltd’s (IHCL’s) Q3FY25 numbers were strong with domestic like-for-like (LFL) RevPAR growth at 13% y-o-y, management fees rising 32% y-o-y and new businesses seeing 40% y-o-y growth. Consolidated revenue/adjusted PAT (including Taj SATS) rose 29%/40% y-o-y, respectively.

The company plans to expand its portfolio to 700 hotels (including pipeline), double consolidated revenues to INR150b, and achieve 25%+ of revenues from innovative and reimagined businesses like Ginger, Qmin, and TajSATS.

Consolidated revenues are set to grow by 2x to Rs. 1,5000 crore by 2030; Like-for-like (LFL) RevPar
to grow at CAGR of 8%, management income to clock a 15% CAGR and Re-imagined businesses
contribution to increase to 25% growing at 30% CAGR over the next five years.