SAMHI Hotels (SAMHI) Q2 25/26 earnings summary

Executive summary

• Q2 FY2026 achieved 11.2% year-over-year same-store RevPAR growth to INR 5,026, with total income rising 11% to INR 2,963mn and EBITDA up 14.2% to INR 1,105mn; PAT surged to INR 998mn, driven by operational growth and a one-time reversal of Navi Mumbai land impairment.

• Major developments include the reinstatement and progress of the Navi Mumbai dual-branded hotel project and a new 260-room hotel in Hyderabad's Financial District.

• Balance sheet strengthened with net debt/EBITDA at 2.9x, credit rating upgraded to A+ (stable), and significant capital infusion from GIC affiliate.

• Board approved restructuring within the group, including a demerger of a hotel business between subsidiaries.

• Statutory auditors issued unmodified review reports for both standalone and consolidated results.

Financial highlights

• Q2 FY2026 RevPAR grew 11.2% year-over-year to INR 5,026; consolidated EBITDA margin improved to 37.3%; PAT was INR 997.95 million, boosted by exceptional items.

• Finance costs declined by nearly INR 12 crores year-over-year due to deleveraging and asset sales.

• Exceptional one-time gain of INR 71 crores from Navi Mumbai impairment reversal and Caspia Delhi sale.

• Consolidated revenue from operations for Q2 FY26: INR 2,929.74 million; six months: INR 5,651.85 million.

• Free cash generation improved, supporting growth pipeline funding.

Outlook and guidance

• H2 expected to outperform H1 in RevPAR, occupancy, and total revenue as business travel demand remains robust.

• Guidance maintained for 9%-11% CAGR same-store revenue growth over the next 3-5 years.

• Portfolio to exceed 6,300 rooms with over 1,500 rooms under development or rebranding.

• Majority of future growth to be funded by operating free cash, with no anticipated stress on the balance sheet.

• New investments and capital infusions, including from GIC affiliate, expected to support growth.