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Shares of Chalet Hotels Ltd ended at ₹838.00, down by ₹7.25, or 0.86%, on the BSE.
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Business hospitality company Chalet Hotels Ltd on Wednesday (July 29) reported a consolidated net profit of ₹86 crore for the first quarter of FY27, compared with ₹203 crore in the corresponding quarter last year, registering a 57.6% year-on-year decline.
Revenue stood at ₹512.2 crore during the quarter, compared with ₹894.5 crore in the year-ago period, declining 42.7% year-on-year.
Earnings before interest, taxes, depreciation and amortisation (EBITDA) declined 34.5% to ₹234 crore from ₹357.3 crore in Q1 FY26. EBITDA margin improved to 45.7% from 39.9% during the same period.
Excluding residential business, total income stood at ₹514 crore in Q1 FY27, up 10% year-on-year. EBITDA excluding residential business increased 15% to ₹240 crore, while EBITDA margin expanded by 231 basis points to 46.7%.
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In the hospitality segment, Revenue Per Available Room (RevPAR) increased 6% year-on-year to ₹8,582. The segment reported revenue of ₹418.5 crore, up 9% from Q1 FY26, while EBITDA rose 11% to ₹178.4 crore.
In the commercial real estate (rental/annuity) segment, occupancy stood at 91%, including a Letter of Intent (LOI) signed for 66,000 square feet in Bengaluru in May 2026.
Monthly revenue run-rate increased to ₹29 crore in June 2026 from ₹28 crore in March 2026. Revenue from the segment stood at ₹86.5 crore, up 18% year-on-year, while EBITDA increased 21% to ₹73.5 crore.
Chalet Hotels said construction of CIGNUS® II in Powai, Mumbai is progressing, with substantial completion expected by the end of FY27. The company said construction of Taj Delhi Airport, New Delhi is progressing steadily, with partial opening planned in Q4 FY27, followed by a phased launch.
For Ritz Carlton, Hyderabad, excavation work has been completed, and foundation work has commenced. The company is also evaluating expansion potential and branding options for its Udaipur Resort. Construction activity has also started for Hyatt Regency, Airoli, Navi Mumbai, with foundation and substructure waterproofing work underway.
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Shwetank Singh, MD and CEO, Chalet Hotels Ltd said, "Q1 has set a strong foundation for the full year – overall performance has been resilient despite the challenging geopolitical situation. The demand scenario saw mixed sentiment this quarter – air traffic stayed flat from April to June – indicating some recovery in sentiment following the peak disruption in March.
business remained flat YoY due to the West Asia conflict. The recovery is being fuelled by domestic demand, indicating that overall demand will accelerate as business travel sentiment improves going ahead. Our consolidated financials are not comparable YoY due to the revenue recognition trend in the Residential business.
Our core businesses – Hospitality and Annuity – have witnessed strong momentum, underscoring the strength of our business model. Ex-Residential revenue grew 10% YoY, with margin expansion driving a 15% YoY growth in EBITDA. With two major projects – Taj Delhi Airport, New Delhi; and CIGNUS II, Powai – nearing completion, the current fiscal looks promising.
The domestic hospitality industry continues to enjoy favourable tailwinds, underpinned by strong consumption fundamentals, rising discretionary spending, and growing urban affluence. With our robust operating portfolio and visibility into our future growth pipeline, we remain confident in our ability to capitalise on this long-term growth opportunity."
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Shares of Chalet Hotels Ltd ended at ₹838.00, down by ₹7.25, or 0.86%, on the BSE.
