Lemon Tree Hotels' consolidated net loss stood at Rs 19.02 crore in Q4 March 2020 compared with net profit of Rs 33.67 crore in Q4 March 2019.
Consolidated net sales jumped 17% to Rs 176.13 crore in Q4 March 2020 as against Rs 150.53 crore in Q4 March 2019. Consolidated pre-tax loss stood at Rs 13.46 crore in Q4 March 2020 compared with pre-tax profit of Rs 14.25 crore in Q4 March 2019. The result was released after market hours on Friday, 29 May 2020.
EBITDA grew 30.7% to Rs 64 crore in Q4 March 2020 from Rs 49 crore in Q4 March 2019. EBITDA margin improved to 36.3% in Q4 FY20 as against 32.5% in Q4 FY19.
As of 15 May 2020, operational portfolio comprised of 80 hotels and 8,006 rooms: 4,214 owned, 978 leased and 2,814 managed rooms. Pipeline portfolio includes of 748 owned/leased and 1,949 managed rooms. Lemon Tree Hotels plans to operate 108 hotels with 10,703 rooms across 66 cities by CY22.
Commenting on the Q4 FY20 performance, Patanjali Keswani, the chairman & managing director of Lemon Tree Hotels, has said that: "We began Q4 FY20 on a robust note, witnessing healthy occupancy and increase in ADRs across all segments in the months of January and February. However, the growing concerns around the spread of COVID-19 followed by the nation-wide lockdown announced by the central government impacted the operating environment for hotels significantly. Despite these challenges, on a consolidated basis we have reported better than expected results, with our Q4FY20 revenue from operations increasing by 17% y-o-y led by a 2.8% increase in the ADR and 45.5% increase in the operational inventory. Our EBITDA in Q4 FY20 increased by 12.4% y-o-y on old accounting basis."
"In the current environment, our major priority is preserving liquidity. Accordingly, we are going to take some immediate steps to strengthen our balance sheet, details of which are given ahead in this presentation. These, we believe, will adequately strengthen our balance sheet and will provide us comfort in continuing our asset light expansion. We are looking at the future in an optimistic and positive manner. While we are currently operating at sub-optimal levels, in the near-term there should be a gradual bounce back as travel restrictions and consumer sentiments are restored. We are confident that our fundamentally strong business model, significant liquidity, our asset-light approach, and our established brand in the hospitality industry will help us successfully weather these challenging times," he added.
Lemon Tree Hotels (LTH) is the largest mid-priced hotel sector chain, and the third largest overall, on the basis of controlling interest in owned and leased rooms, as of 30 June 2017, according to the Horwath Report.
Shares of Lemon Tree Hotels advanced 4.74% to Rs 18.80 on BSE. The stock hovered in the range of Rs 18.75 to Rs 18.80 so far.
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