Don’t miss the latest developments in business and finance.

Indian Hotels reports Q1 net loss of Rs 280 cr

Image
Capital Market
Last Updated : Aug 07 2020 | 1:04 PM IST

Indian Hotels Company reported consolidated net loss of Rs 280 crore in Q1 June 2020 compared with net profit of Rs 6 crore in Q1 June 2019.

Consolidated net sales tanked 85.9% to Rs 143.61 crore in Q1 June 2020 over Q1 June 2019. Pre-tax loss stood at Rs 336.22 crore in Q1 June 2020 compared with pre-tax profit of Rs 27.74 crore in Q1 June 2019. Current tax expense for the quarter tanked 99.2% at Rs 0.14 crore as against Rs 18.54 crore in Q1 June 2019. The Q1 result was declared post market hours yesterday, 6 August 2020.

Commenting on the Q1 performance, Puneet Chhatwal, the managing director (MD) and chief executive officer (CEO) of Indian Hotels Co. (IHCL), stated: "The global travel and tourism industry was at a virtual standstill in the last three months, which had a big impact on the hospitality sector. While over 50% of IHCL hotels were closed for most part of Q1 due to government lockdowns, we implemented R.E.S.E.T 2020, a strategy to mitigate the impact of COVID-19; and several revenue enhancement and spend optimization measures initiated have started yielding results. We remain confident, given the strength and power of our brand and our market leadership, that we will weather this disruption and emerge stronger."

The hotel-chain adopted R.E.S.E.T 2020, a comprehensive five-point strategy, which provides a transformative framework to help the company overcome the COVID-19 related challenges and achieve revenue growth while optimizing expenditure and strengthening balance sheet and at the same time, continuing on its path of excellence.

IHCL reported consolidated net debt of Rs 2,328 crore as on 30 June 2020, higher than Rs 1,915 crore as on 31 March 2020.

IHCL and their subsidiaries are collectively known as Taj Hotels Resorts and Palaces and are recognized as one of Asia's largest and finest hotel company.

More From This Section

Shares of IHCL rose 0.39% to Rs 78 on BSE. The stock hovered in the range of Rs 77.30 to Rs 78.35 so far.

Powered by Capital Market - Live News

Also Read

First Published: Aug 07 2020 | 12:08 PM IST

Next Story