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ITC Hotels Ltd reported a 36% year-on-year increase in consolidated net profit to INR 181.91 crore for the quarter ended 30 June 2026, supported by higher revenues across its hospitality business. Consolidated revenue from operations rose to INR 936.02 crore from INR 815.54 crore a year earlier, while hotel business revenue reached INR 881.06 crore. The company also recorded revenue from its newly launched branded residences business. Alongside its financial results, the board approved the acquisition of GHK Hospitality & Infrastructures Ltd at an enterprise value of INR 155 crore. The acquisition will enable ITC Hotels to expand its owned hotel portfolio in Ahmedabad by acquiring GHK, which owns the 130-key Welcomhotel Ahmedabad, currently operated by the company under an operating services agreement.
ITC Hotels Ltd reported a 36% increase in consolidated net profit for the first quarter ended 30 June 2026, while its board approved the acquisition of GHK Hospitality & Infrastructures Ltd for an enterprise value of INR 155 crore to strengthen its owned hotel portfolio in Ahmedabad. The company announced the financial results and the proposed acquisition during the past week through a regulatory filing.
The hospitality company posted a consolidated net profit of INR 181.91 crore for the April–June quarter, compared with INR 133.71 crore in the corresponding period of the previous financial year. Consolidated revenue from operations increased to INR 936.02 crore from INR 815.54 crore recorded in the year-ago period, reflecting growth across its operating businesses.
Total expenses during the quarter also increased, rising to INR 750 crore from INR 674.90 crore in the corresponding quarter last year. Despite higher operating costs, the company reported improved profitability on the back of higher revenues generated across its hotel portfolio.
The core hotel business remained the principal contributor to earnings, generating revenue of INR 881.06 crore during the quarter, compared with INR 800.57 crore in the same period of the previous year. ITC Hotels also reported revenue of INR 37.77 crore from its branded residences business, a relatively new vertical that complements its hospitality operations by extending the company's presence into premium residential offerings linked to its hotel brands.
Alongside the quarterly results, the board approved the acquisition of GHK Hospitality & Infrastructures Ltd. ITC Hotels said the transaction would enable it to expand its portfolio of owned hospitality assets in Ahmedabad by acquiring an established property that is already being managed by the company under an operating services agreement.
GHK Hospitality & Infrastructures owns the 130-key Welcomhotel Ahmedabad, which currently operates under the ITC Hotels brand. By acquiring the company, ITC Hotels will convert the existing management arrangement into direct ownership, strengthening its asset base in one of Gujarat's key hospitality markets.
The company stated that the investment in GHK will be executed through a combination of a primary subscription to new equity shares and the secondary purchase of existing equity shares. Upon completion, the acquisition is expected to enhance ITC Hotels' presence across different market segments in Ahmedabad while increasing the proportion of owned assets within its hospitality portfolio.
Source - PTI
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