Brigade Hotel Ventures (BRIGHOTEL) Q2 25/26 earnings summary

Executive summary

• Portfolio includes nine operating hotels with 1,600 keys, blending asset ownership and global management partnerships, with plans to double to 18 hotels (3,300 keys) by FY30 through strategic expansion and CapEx.

• Achieved strong Q2 FY26 with total income up 20% YoY to ₹130 Cr, EBITDA at ₹41 Cr, and PAT at ₹11 Cr, driven by robust operational performance and lower finance costs.

• ARR increased 14% YoY to ₹7,106 and RevPAR rose 13% YoY to ₹5,374, with healthy occupancy at 75.6%.

• Completed IPO and Pre-IPO placement, raising significant equity capital and listing shares on NSE and BSE on July 31, 2025.

• Focus remains on expanding portfolio, enhancing pricing strategies, and optimizing assets to drive RevPAR growth.

Financial highlights

• Q2 FY26 total income: ₹130 Cr, up 20% YoY; EBITDA: ₹41 Cr, up 9%; PAT: ₹11 Cr, up 58%.

• H1 FY26 total income: ₹255 Cr, up 21% YoY; EBITDA: ₹83 Cr, up 16%; PAT: ₹18 Cr, up from ₹1 Cr.

• Operational EBITDA growth would have been 25% YoY excluding a one-time ₹6 Cr property tax expense.

• EPS for Q2 FY26 at ₹0.26, up from ₹0.19 YoY; H1 FY26 EPS at ₹0.48, up from ₹0.02 YoY.

• Consolidated total assets as of September 30, 2025, were ₹140,204 lakhs, up from ₹94,757 lakhs as of March 31, 2025.

Outlook and guidance

• Growth momentum expected to continue in H2 FY26, driven by corporate demand, festival travel, leisure stays, and weddings.

• October expected to be slower due to festivals, but November and December bookings are strong; no concerns for Q3 and Q4.

• ARR growth for stabilized properties projected in mid-teens to high-teens for the next two quarters.

• Significant ARR uplift anticipated as luxury properties are added by FY 2028-2029.

• Management remains confident in the ongoing property tax litigation, expecting a favorable outcome based on legal advice.