Indian Hotels Q3 net profit rises 43 per cent at Rs 88 crore
The Hindu Business Line — January 24, 2007

Indian Hotels Company has recorded a third quarter net profit of Rs 87.99 crore, an increase of 43 per cent over the same period in the previous fiscal. Revenue from sales and other operating income was up 29 per cent at Rs 409.76 crore, driven by higher average room rates (ARR) eg, the ARR for South Mumbai during the quarter was Rs 9,436 compared with Rs 7,011 for the quarter ended December 31, 2005. According to the managing director and CEO, Raymond Bickson, ARR grew in excess of 30 per cent in most of the metros. Total revenue was Rs 412.33 crore up from Rs 328.5 crore.

Profit before tax was Rs 132.29 crore, representing a 42-per cent increase from the same period in 2005. The occupancy rate for the quarter was 76 per cent. Room sales rose 36 per cent while food and beverage income rose 19 per cent.

Stake in Amalgam Foods

Indian Hotels also announced the acquisition of a 74 per cent stake in Kochi-based Amalgam Foods & Beverages Ltd for Rs 18 crore. Amalgam Foods has a portfolio of frozen ready-to-fry and ready-to-cook foods under the Sumeru brand and was attractive to Indian Hotels, according to Anil Goel, Senior vice-president (Finance), Indian Hotels. During the quarter, the company launched a new Ginger hotel in Pune and commissioned its first Wild Life lodge at Mahua Kothi, Bandhavgarh National Park. The company shares closed at Rs 157.45 on the BSE, an increase of Rs 1.20 over Monday.