Indian Hotels maintains rising momentum
Business Standard — July 21, 2006

The Tata group's Indian Hotels appreciated by 9.57 per cent to close at Rs 1,105, after touching a high of Rs 1,106. The stock has moved up by 5.3 per cent over the past one month. The company had posted a 27.9 per cent growth in net sales in FY06 to Rs 1,084.26 crore, while net profit had surged by 73.6 per cent to Rs 183.78 crore. Operating profit in that period also improved by 73 per cent. For FY06, the company had recommended a dividend of 130 per cent compared with 100 per cent dividend in the previous year.

Moreover, the outlook for the hotel sector remains good with the tourist arrival growth rate at 13-14 per cent. The domestic tourist is another growing source of business for the sector.