ITC Hotels Reports 35.5% Profit Growth in Q1FY27 Earnings

The CSR Journal Magazine

Financial Highlights for Q1FY27

ITC Hotels has demonstrated a robust financial performance for the first quarter of the fiscal year 2027 (Q1FY27). The hospitality corporation announced a consolidated net profit of Rs 180 crore, marking a year-on-year increase of 35.5% from Rs 133 crore in the same quarter last year. The company’s consolidated revenue also showcased substantial growth, rising 14.8% to Rs 936 crore compared to Rs 816 crore in the corresponding period in the previous fiscal year.

Additionally, the operational metrics indicate improvements, with earnings before interest, taxes, depreciation, and amortization (EBITDA) increasing by 19.5%, reaching Rs 292 crore against Rs 245 crore reported in the prior year’s quarter. This rise has contributed to an expansion in the EBITDA margin, which climbed to 31.2% from 30% in Q1FY26.

Other income for ITC Hotels has also recorded an uptrend, rising to Rs 58.5 crore, a notable increase compared to Rs 44.2 crore during the same period last fiscal year.

Market Reaction and Share Price Trends

Following the announcement of its quarterly results, shares of ITC Hotels experienced a significant decline, dropping nearly 5% on Thursday, July 16. This pullback occurred in the wake of the company’s Q1FY27 performance. Over the past year, the share price of ITC Hotels has fallen by 26.65%, and it has decreased by 11.36% year-to-date. The total traded volume for the company on the day stood at 4.12 times its 30-day average, indicating heightened trading activity.

The relative strength index for ITC Hotels was recorded at 47.83. According to Bloomberg data, of the 16 analysts covering the hospitality group, 15 have recommended a ‘buy’ rating, while one analyst has suggested a ‘hold’ position on the stock. The consensus price target over the next 12 months is set at Rs 208.71, suggesting a potential upside of 19.3% from its current levels.

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