Brigade Hotel Ventures (BRIGHOTEL) Q2 26/27 earnings summary

Executive summary

• Q2 FY27 total income rose 10% YoY to ₹142.36 Cr; EBITDA was ₹52.2 Cr at a 36.7% margin, and PAT more than doubled to ₹21.95 Cr.

• Rate-led growth lifted Q2 RevPAR 10% YoY to ₹5,922; occupancy was 75.2%, with September recovery following August rains.

• Expansion plans include 1,700 upcoming keys and a targeted portfolio of ~3,300 keys, with a growing luxury and upper-upscale mix.

Financial highlights

• Q2 consolidated revenue was ₹138.24 Cr versus ₹125.72 Cr YoY; PAT was ₹21.95 Cr versus ₹10.60 Cr.

• Q2 EBITDA rose 26% YoY to ₹52.2 Cr, with margin up 490 bps to 36.7%; GST 2.0 impacted margin by 1.4%.

• H1 total income increased 7% to ₹273.2 Cr; EBITDA rose 18% to ₹97.8 Cr at a 35.8% margin, and PAT increased 122% to ₹39.3 Cr.

• Q2 room and F&B revenue each grew 10% YoY to ₹87 Cr and ₹46 Cr, respectively.

• Q2 finance costs fell to ₹9.7 Cr from ₹13.5 Cr YoY; H1 costs declined to ₹18.4 Cr from ₹32.4 Cr.

Outlook and guidance

• October trends and enquiries indicated a strong Q3, supported by festive, wedding, conference and MICE demand.

• H2 RevPAR growth is expected to improve from H1's 9% to the mid-teens; FY27 revenue guidance was maintained.

• A 45-key Courtyard by Marriott Chennai World Trade Centre is scheduled to open in FY27; two Fairfield by Marriott hotels are targeted for late FY28.

• Planned expansion CapEx is ₹3,600 Cr for 1,700 upcoming keys; about 60% is expected to be debt-funded, with the balance from internal accruals.

• Three luxury hotels are in the FY29 pipeline; luxury is expected to reach ~22% of keys, with ADRs of ₹30,000–40,000. Longer term, luxury and upper-upscale share is projected at 38%.