ITC Hotels Limited has reported a strong set of Q4FY26 consolidated results, with revenue and profit both growing at a healthy clip in its second full financial year as an independently listed entity following the demerger from ITC Limited effective January 1, 2025.
Consolidated revenue from operations for Q4FY26 came in at ₹1,253.70 crore, up 18.18% year on year from ₹1,060.62 crore in Q4FY25 and up 1.87% sequentially from ₹1,230.68 crore in Q3FY25. Gross revenue from sale of products and services for the quarter stood at ₹1,243.88 crore against ₹1,052.24 crore a year ago. Total consolidated income including other income was ₹1,306.45 crore against ₹1,098.81 crore.
Consolidated profit for the quarter came in at ₹317.43 crore against ₹257.85 crore in Q4FY25, a year-on-year increase of 23.10%. Profit before tax stood at ₹418.36 crore against ₹353.52 crore, with an exceptional gain of ₹3.83 crore in Q4FY26. Profit attributable to owners of the parent was ₹315.89 crore against ₹256.90 crore.
EBITDA for the quarter was approximately ₹470 crore, with EBITDA margin at 37.5% against 39.3% in Q4FY25 — a contraction of 180 basis points year on year, reflecting the addition of real estate development costs of ₹84.34 crore in Q4FY26 that had no corresponding line item in Q4FY25, and higher employee costs of ₹202.60 crore versus ₹181.97 crore.
The segmental results are particularly revealing. Hotel Services revenue for Q4FY26 stood at ₹1,103.95 crore against ₹1,042.81 crore a year ago, with segment results of ₹322.21 crore versus ₹313.03 crore — demonstrating steady operating momentum across the hotel portfolio. The real estate segment — Branded Residences — contributed ₹129.38 crore in revenue and ₹37.98 crore in segment results for Q4FY26, a new contribution line with no year-ago equivalent that reflects the maturing of ITC Hotels’ branded residences business. Hotel segment assets stood at ₹8,751.67 crore as of March 31, 2026.
For the full year FY26, ITC Hotels reported consolidated revenue from operations of ₹4,139.40 crore, up 16.28% from ₹3,559.81 crore in FY25. Full-year consolidated profit was ₹821.26 crore against ₹637.64 crore in FY25, a 28.81% increase. Total comprehensive income for the year was ₹937.35 crore against ₹758.58 crore. Full-year hotel segment revenue was ₹3,859.83 crore against ₹3,491.95 crore, with segment results of ₹943.33 crore versus ₹802.66 crore — both robust year-on-year improvements reflecting RevPAR growth across ITC’s portfolio of luxury and upper-upscale properties.
On a standalone basis, revenue from operations for Q4FY26 stood at ₹1,026.32 crore against ₹981.49 crore, with standalone PAT of ₹281.35 crore versus ₹264.05 crore. Full-year standalone PAT was ₹829.26 crore against ₹698.41 crore — a 18.74% increase.
The full-year exceptional item of ₹80.17 crore in the consolidated results comprises two components: a ₹54.19 crore one-time past service cost recognition related to the new Labour Codes notified by the Ministry of Labour and Employment in November 2025, and a net loss of ₹25.98 crore on account of inventory and capital work-in-progress damaged due to Cyclone Ditwah in Sri Lanka — where ITC Hotels operates through its subsidiary WelcomHotels Lanka (Private) Limited — net of insurance claims receivable.
In a landmark corporate milestone, the board has recommended ITC Hotels’ first-ever final dividend of ₹1 per equity share of ₹1 each for FY26, with a record date of Thursday, May 21, 2026. The dividend, subject to shareholder approval at the 3rd AGM on August 6, 2026, will be paid between August 10-14, 2026, with a total cash outflow of ₹208.30 crore. This is the first dividend declared by ITC Hotels Limited since its incorporation and listing — a signal of the board’s confidence in the company’s standalone cash generation.
The board also recommended the appointment of Mr. Ramakrishnan Chander as a Non-Executive Director representing the Life Insurance Corporation of India for a three-year term from the date of the AGM.
Net cash from operating activities for FY26 stood at ₹1,109.85 crore on a consolidated basis against ₹801.06 crore in FY25 — a strong 38.5% increase in operating cash generation that underpins the dividend decision.
Disclaimer: This article is for informational purposes only and does not constitute investment advice. Please consult a SEBI-registered financial advisor before making investment decisions.