EIH Ltd (EIHOTEL) Q2FY26 Concall Summary - Sep-2025 Qtr
Performance Overview
- The company's performance in Q2 was impacted by several external factors, including geopolitical disruptions like 'Operation Sindoor' and the Middle East conflict, which affected international travel.
- Domestic travel was also subdued due to the sentimental impact of an Air India crash in June, adverse weather conditions with excess rainfall across key regions, and a 2-2.5% decline in domestic air passenger traffic.
- Despite these challenges, the company demonstrated resilience by achieving a 7% growth in Average Room Rate (ARR) for its Oberoi Hotels portfolio, outperforming the industry average of 5-7%.
- On a like-to-like basis (excluding The Oberoi Grand and Mumbai Airport Lounge), Q2 revenue grew by 9%, though EBITDA declined by 3%. Management suggests that the H1 performance, with a 14% revenue growth and 12% EBITDA growth, is a more accurate reflection of the business momentum.
- The company maintains a strong financial position with a cash reserve of INR 1050 crores as of September 2025, which is earmarked for future expansion projects.
Financial Metrics
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Operating Performance / Business Segments
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Key Discussions & Insights
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Outlook and Guidance
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Challenges / Concerns
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Industry / Competitive Landscape
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Overall Summary
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