Page 4 - Hospitality Industry

In India, just asset-light model doesn't work: IHCL's Puneet Chhatwal

A combination of asset-light and asset-heavy is the right formula, driving absolute returns in its owned portfolio where the operating leverage is currently higher, he said

Barbeque-Nation posts net loss of Rs 12.37 cr in second straight quarter

India's retail inflation remained above the Reserve Bank of India's 2%-6% tolerance for most of the reporting quarter, and eased to 5.02% only in September

Hospitality major EIH Q2 net profit rises over 4-fold to Rs 94.14 cr

Hospitality major EIH Ltd on Friday reported an over four-fold rise in its consolidated net profit to Rs 94.14 crore in the second quarter ended September 30, 2023, driven by higher revenue. The company, which owns and operates hotels and resorts under the Oberoi and Trident brands, had posted a consolidated net profit of Rs 22.35 crore in the year-ago period, EIH Ltd said in a regulatory filing. Consolidated revenue from operations was at Rs 530.57 crore in the quarter under review as against Rs 401.05 crore in the corresponding period a year ago, it added. Total expenses in the second quarter were higher at Rs 426.43 crore as compared to Rs 355.9 crore in the last fiscal. EIH Ltd Executive Chairman Arjun Oberoi said the company achieved "exceptional financial results in the second quarter. We've seen a significant growth in both revenue and profitability." He further said the company is committed to expanding its presence in key markets.

Montana group, KHPL join forces to open Carls Jr restaurants in India

The Montana group, a leading player in the food and beverages industry, has entered into an agreement with Kiscon Hospitality to set up an equal joint venture which will invest USD 10 million for opening more than 50 Carls Jr restaurants. Kiscon Hospitality holds the franchise rights for California-based premium burger chain Carls Jr. This partnership is set to invest USD 10 million with the goal of opening 50-plus new Carls Jr restaurants in three years, the company said on Saturday. Reigniting the brand with the presence of 3,800-plus outlets globally in 39 countries Carl's Jr is serving chargrilled Californian burgers since 1941. The partnership between the Montana group and KHPL signifies a commitment to revitalize and relaunch this brand in the Indian market, the company release said. The collaboration aims to bring the essence of California's culinary excellence to discerning Indian consumers. Monty Singh, founder and Chairman of the Montana group, said, "With our USD 10 mi

Hotel industry to clock double-digit revenue growth in FY24: Report

The hotel industry will report double-digit revenue growth in FY2024, supported by the sustenance of domestic leisure and business travel and an increase in foreign tourist arrivals, rating agency Icra said on Wednesday. The industry has also benefitted from the G20 summit and ongoing ICC World Cup 2023, it added. Icra estimates pan-India premium hotel occupancy at around 70-72 per cent in FY24, after recovering to 68-70 per cent in FY23. Pan-India premium hotel average room rates (ARRs) are expected to be at around Rs 6,000-6,200 in FY2024, it said. According to Icra, the medium-term demand outlook also remains healthy, supported by a confluence of factors, including improvement in infrastructure and air connectivity, favourable demographics, and anticipated growth in large-scale MICE (meetings, incentives, conferences, and exhibitions) events with the opening of multiple new convention centres in the last few years. Icra Vice President and Sector Head Corporate Ratings Vinutaa

Goodricke hopes to return in black this fiscal, looks to diversify

Tea major Goodricke Group Ltd, a part of the UK-based Camellia Plc, is hoping to return in black this fiscal and looking to diversify into the hospitality sector with an aim at offsetting its losses in the plantation business in Darjeeling, Managing Director and CEO Atul Asthana said. The company, however, is expecting a flat growth in tea production this year to around 32 million kgs, including the output of its three subsidiaries, and is likely to witness a de-growth in revenue in the current fiscal as "subdued tea prices" remain a concern for it, he said. The group will look for acquisitions of gardens in Assam in near future, particularly after the industry gets rid of the "current difficult phase", he said. "The Goodricke and its subsidiaries together annually produce around 30 million kgs. There will be a flat growth this year as output is expected to be 32 million kgs. The revenue of the group as a whole was around Rs 1,200 crore last year but we may witness a de-growth in ..

Focus more on niche products to tap market demand: Global Travel Market

The first edition of Global Travel Market (GTM 2023) and expo drew to a close here on Saturday with leading players of travel and hospitality sector calling for stepping up promotional efforts focusing more on niche areas like experiential travel, wellness and heritage to tap the full potential of post-pandemic surge in tourism. The four-day event, which saw a large number of business decisions being clinched during the B2B sessions by stakeholders from around the world, also stressed on firming up sectoral collaborations and government-industry relations to impart a further momentum to the highly promising sector. GTM 2023 was organised by South Kerala Hoteliers Forum (SKHF), Trivandrum Chamber of Commerce and Industries (TCCI), Tavaz Ventures, Metro Media and Citrine Hospitality Ventures, a statement said here on Saturday. GTM CEO Siji Nair said the expo had participants from around 24 countries and more than 20 states, making the event a grand success. Overall, more than 1,000 .

Espire Hospitality plans to have 20 hotels by FY25 with Rs 560 cr capex

Espire Hospitality Group is planning to have 20 operational properties by 2024-25, with a capex of Rs 560 crore under its brands - Zana, Country Inn Express and Country Inn Premier, a top company executive said on Saturday. "Currently, we have 10 hotels in the portfolio under the 5 star luxury boutique resort brand 'ZANA - a Luxury Escapes' and the 4 star brand 'Country Inn Hotels and Resorts', with 780 keys. In this financial year, we are adding 200 more keys (3 ZANA resorts) to reach 13 operational hotels with 980 keys," Espire Hospitality Group Chief Executive Officer Akhil Arora told PTI. The capex, through in-house funding, will also be utilised in phases for renovating, leasing and upgrading the existing hotels, he added. The hospitality group, Arora said, is exploring both green-field as well as brown-field properties in leisure destinations like Goa, Uttarakhand, Rajasthan and Himachal Pradesh. "We are exploring opportunities in leisure destinations as well as tier I cities

Travel and tourism industry's hiring demand up 44% YoY in August: Report

Sales and business development roles have the highest hiring demand in the travel & tourism industry, and demand for gig workers, such as photographers, event planners, etc have increased by 14%

OYO set to report maiden profit of over Rs 16 crore in Q2: Report

Oravel Stays Ltd, which operates travel tech brand OYO, is set to report its first-ever profit after tax of over Rs 16 crore in the current quarter ending September, according to an email sent by OYO's founder and CEO Ritesh Agarwal to the company's top management on Tuesday, sources said. "This year marks the 10th year of OYO, making it momentous and special. I have news to share befitting this occasion. As per the current trajectory in this quarter, Q2 FY24 will mark our maiden profitable quarter with a projected profit after tax (PAT) of over Rs 16 crore," Agarwal said in an email to the company's leadership, seen by PTI. Talking about future growth prospects, Agarwal said: "We see immense potential in future growth markets like the US & UK where we are dedicated to instilling confidence in our patrons and utilizing innovative technologies, such as contactless check-in, to cater to their evolving needs of the customer." He also informed that as per the just-released annual ...

OYO added 2,800 new corporate clients in Jan-July, up 11.75% YoY: Report

Hospitality tech platform OYO has added nearly 2,800 corporate clients during the January-July 2023 period, up 11.75 per cent year-on-year, according to a report. The company in its report titled 'OYO Business Travel Trends Report 2023' revealed that it recorded 20 per cent revenue growth from business travel in January-July 2023 against the year-ago period. "OYO had added 2,471 corporate clients in the same period last year recording nearly 12 per cent YOY (year-on-year) growth," the report said on Friday. The report also said that Hyderabad has emerged as the leading city, adding 660 corporate clients, followed by Gurugram with 593 clients, Delhi with 343 clients, Bengaluru with 315 clients, Mumbai (282 clients), Kolkata (268 clients) and Pune (218 clients). Many other business hubs such as Noida, Lucknow, Kochi, Jaipur, Chennai and Coimbatore have contributed to the growth. Hyderabad has also contributed the most towards revenue growth followed by Pune, Delhi, Gurugram and ...

EIH hits 52-week high as promoter Oberoi Group partners Reliance Industries

Reliance Industries and The Oberoi Hotels and Resorts will jointly manage three properties across India and the UK

Reliance partners with Oberoi Hotels to co-manage hospitality ventures

Reliance Industries on Thursday announced that it has entered into an understanding with The Oberoi Hotels and Resorts (Oberoi) to jointly manage three properties across India and the UK.The trio of properties includes the upcoming Anant Vilas Hotel situated in Mumbai's Bandra Kurla Complex (BKC), the iconic Stoke Park in the UK, and another planned project in Gujarat.Oberoi Hotels was voted the World's Best Hotel Brand at the Travel + Leisure, USA World's Best Awards, 2022.Anant Vilas has been conceived as the first metro-centric property as part of the iconic luxury 'Vilas' portfolio run by Oberoi. Anant Vilas is located in the bustling business district of Bandra Kurla Complex in Mumbai which is fast becoming a mixed-use destination with business, hospitality, shopping, F & B, arts and culture, educational and residential uses and high footfall of citizens and visitors to the city.Anant Vilas seeks to augment the hotel footprint of the business district with an iconic ...

Fully booked, hotels turn to curated menu and security for G20 meet

Five-star hotels across New Delhi are all booked out for the upcoming Leaders' Summit to be held from 9-10 September

Hospitality firm EIH's net profit rises 61% to Rs 106 crore in Q1

Hospitality firm EIH Ltd on Tuesday reported an increase of 61 per cent in its consolidated net profit to Rs 106.03 crore in the June quarter. EIH, the flagship company of the Oberoi Group, had reported a net profit of Rs 65.86 crore in the April-June period a year ago. Its revenue from operations was up 26.32 per cent to Rs 498.10 crore in the first quarter of the current fiscal as against Rs 394.29 crore of the corresponding quarter, EIH said in a BSE filing. EIH's total expenses during the quarter were up 13.77 per cent at Rs 380.74 crore, while its total income was Rs 522.60 crore, an increase of 26.74 per cent as compared to the year-ago period. "We are delighted with the remarkable financial performance for the first quarter of FY24. The significant growth in revenue and profitability reflects the dedication of our team and the enduring trust of our valued guests," EIH Chief Executive Officer and Managing Director Vikram Oberoi said. EIH owns and operates a portfolio of hote

Aditya Birla Group expands its portfolio, adds four restaurant brands

Aditya Birla New Age Hospitality (ABNAH) has added four restaurant brands, namely Hakkasan, Yauatcha, Nara Thai, and CinCin to its portfolio

Peerless Group to invest Rs 1,000 cr in capex; focuses on hospital, realty

The Peerless Group on Monday announced ambitious plans to invest over Rs 1,000 crore in capital expenditure over the next three years, a major portion of which will be channelled into the development of hospital and real estate projects. In the financial year 2022-23, the Peerless Group reported a revenue of Rs 635 crore from operations. This notable increase of 22 per cent over the previous fiscal's revenue of Rs 520 crore has been seen as a successful outcome of the company's transformation efforts undertaken last year, the company said. "While transformation is a long journey, during the last year, we have seen early results. Before Covid, our annual growth rate of revenue for the entire group used to be around 6 per cent. During FY23, we have been able to shift the growth rate to 22 per cent," said Peerless Chairman Partha Bhattacharyya. Profit before tax during FY'23 was Rs 196 crore against Rs 149 crore achieved in FY'22. The group's flagship Peerless General Finance & ...

Demerger of hotel biz will boost capital efficiency ratios of ITC: Analysts

The demerger of the hotels business of ITC Limited into a separate entity will boost the capital efficiency ratios of the diversified conglomerate, equity analysts said on Monday. ITC on Monday announced that the board of the company has accorded in-principle approval to demerge the hotels business into a new entity to be listed pursuant to a scheme of arrangement. "It is a great demerger. It will boost the return on capital of ITC and its capital efficiency ratios will go up by almost 20 percentage points," IIFL analyst Nemkumar said. Under the scheme of arrangement, ITC will hold 40 per cent in the new entity and the balance will be held directly by the company's shareholders proportionate to their holdings. "The demerger process will take around nine to 12 months and every shareholder of ITC holding 100 shares will get 60 scrips of the new entity," Nemkumar said. The market was of course expecting the demerger, he added. Another analyst said that the demerger process will unl

OYO launches 'Spotless Stay' programme; to conduct hotel audits for upkeep

Hospitality technology platform OYO on Thursday said it has launched a 'Spotless Stay' programme as part of which it will conduct audits of hotels to assess them for overall upkeep and maintenance. As a part of the Spotless Stay programme, hotels with high cleanliness ratings from customers will be awarded benefits such as high search rankings, OYO stated. The company's on-field officers will conduct a comprehensive on-ground audit of one property every day, leading to a total of over 3,000 audits each month. This number will be scaled to 6,000 audits per month by October 2023. "The hotels will be carefully assessed for overall upkeep and maintenance of the property, cleanliness, in-room hygiene, maintenance of upholstery and linen, and washroom cleanliness, while also taking into account the customer ratings received during the week prior to the audit. The property owners will be asked to conduct an overhaul and thorough deep cleaning, including replacement of upholstery, linen, .

OYO to add over 1,000 hotels by Dec, to target 100 first gen hoteliers

Hospitality technology platform OYO on Wednesday said it will add over 1,000 hotels to support over 100 first-generation hoteliers by December 2023 as part of its accelerator programme. The company launched its accelerator programme in March this year with a target of supporting 50 first-generation hoteliers. OYO has already added more than 300 hotels operated by 30 hoteliers since the announcement of the plan which is higher than the initial target of adding 200 properties in the first phase of the programme, the company said in a statement. "Since the unveiling of our Accelerator Program, we have been actively engaging with our hotel partners to gather their insights, concerns, and suggestions," OYO Chief Merchant Officer Anuj Tejpal said. The company is also offering financial assistance to facilitate expansion in new markets. It has already extended support worth Rs 10 crore, it added. With the Indian hospitality sector showing signs of promising growth in the next few years,