Mahindra Holidays Q4 profit rises 46% on increased occupancy

Mahindra Holidays & Resorts witnessed surge in its fourth-quarter profit, registering a 46 per cent rise driven by higher occupancy rates and robust membership growth. This comes as a result of a resurgence in tourism, benefiting hospitality companies like Mahindra Holidays as they rebound from the impact of the COVID-19 pandemic.

The renowned hospitality brand, known for its flagship resorts under the 'Club Mahindra' brand, operates 110 resorts across India and overseas, including a unit in Europe with 33 vacation properties spanning Finland, Sweden, and Spain.

For the quarter ending March 31, Mahindra Holidays reported a consolidated net profit of Rs 82.36 crore, marking an increase from Rs 56.42 crore reported in the same period last year. Revenue rose nearly 13 per cent to Rs 800 crore, while total expenses increased by 9.5 per cent.

During the fourth quarter, resort occupancies surged to 87.3 per cent, up from 85 per cent the previous year, demonstrating a strong recovery in demand. Additionally, the value of membership sales grew by 18 per cent year-on-year, reflecting sustained interest and engagement from customers.

Mahindra Holidays further expanded its portfolio during the quarter, adding resorts in domestic locations such as Sikkim and Assam, as well as international destinations like Turkey, Kenya, Thailand, and Georgia.

Quarterly upgrades also witnessed a notable increase of 18 per cent, amounting to Rs 66 crore, as customers opted to enhance their membership privileges.

Shares of Mahindra Holidays rose 1.5 per cent on Friday ahead of earnings announcement.

(With Reuters inputs)