Updated 16 July 2025 at 15:09 IST

ITC Hotels Ltd Share Price: Hotel Stock Jumps 7% After Q1 FY26 Net Profit Soars 54%—Check Details

ITC Hotels Ltd shares surges as much as 7 per cent after reporting a healthy Q1 result. Know the key reasons behind this stock price boost.

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ITC Hotels Ltd Share Price
ITC Hotels Ltd Share Price | Image: ITC Hotels Ltd Share Price

ITC Share Price: Indian hospitality major ITC Hotels Ltd's shares surged as much as 7 per cent  on Wednesday, July 16, after posting a 54 per cent increase in net profit registered in its quarterly results for the April-June period to Rs 133 crore from Rs 80 crore in the same period last year.

The demerged entity from ITC Ltd. on the Indian stock market bourses posted a 15 per cent growth in revenue to Rs 815 crore from Rs 705 crore in the same period previous year.

Meanwhile, the Earnings Before Interest, Time, Depreciation and Amortisation (EBITDA) for the quarter ended June 30, 2025 increased by 19 per cent year-on-year to Rs 246 crore, while margins expanded by 87 basis points to 29.9 per cent from 29.03 per cent previous year.

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The luxury hotel chain operator has incurred Rs 675 crore in expenditure during Q1FY26, as against Rs 596 crore in Q1FY25 and Rs 750 crore in Q4FY25.

This indicates a 13 per cent year-on-year (YoY) increase and a 10 per cent quarter-on-quarter (QoQ) decline. The expenses were primarily under the heads of consumption of food & beverages, employee benefits expense, and finance cost.

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Meanwhile, the segment revenue from its hotel business was reported at Rs 801 crore, up from Rs 690 crore in Q1FY25, however, down from Rs 1,043 crore in Q4FY25.

Presently, ITC Hotels operates 140 Hotels with 13,000 keys with 45 per cent owned. They have a stated target of over 200 hotels with over 18,000 keys by 2030 with 65 per cent salience of Managed Portfolio. ITC Hotels financials reflect the underlying improvement in the Hotel Industry in India. Over the last three years post pandemic, there has been secular growth in the revenue and operating performance of ITC's hotel business.

As of 2:45pm on Wednesday, the share price of ITC Hotels Ltd were trading 5.59 per cent higher at Rs 241 apiece. The stock has risen 10 per cent in the last one month.

Published By : Nitin Waghela

Published On: 16 July 2025 at 15:02 IST