Indian Hotels witnessed a sharp rebound in Q2FY22; revenue reached 72% of pre-Covid levels.
Key triggers for future price performance
- Indian Hotels' revenues for Q2FY22 were up 184% YoY, 111% QoQ to Rs. 728.4 crore. EBITDA came in at Rs. 72.8 crore and net loss reduced to Rs. 120.6 crore vs. loss of Rs. 230 crore last year and loss of Rs. 277 crore last quarter
- Domestic segment recovered to 86% of pre-Covid revenues while international portfolio reached 62% of pre-Covid levels
- With the object of becoming debt free, the board has approved a fund raising of Rs. 4000 crore
- The ongoing crisis would restrict overall room supply in the industry in next three to four years, auguring well for branded players like Indian Hotels
- Expect business to recover to 97% of pre-Covid levels with EBITDA surpassing pre-Covid levels by FY23E; margins are seen at over 24% in FY23E, which has the potential to further expand to 30%+
- Improved cash flows, equity infusion and divestment of non-core assets are expected to help the company become debt free
For details, click on the link below: Link to the report
Shares of The Indian Hotels Company Limited was last trading in BSE at Rs. 204.90 as compared to the previous close of Rs. 213.90. The total number of shares traded during the day was 764515 in over 7861 trades.
The stock hit an intraday high of Rs. 224.65 and intraday low of 202.95. The net turnover during the day was Rs. 160745825.00.
Source : Equity Bulls