Chalet Hotels Q3 net profit jumps by 134 pc to Rs 33 crore

Chalet Hotels Ltd on Monday reported a profit after tax of Rs 33.3 crore in the third quarter of current financial (Q3 FY20), marking a growth of 134 per cent over Rs 14.1 crore in the same quarter of previous year.

The owner, developer and asset manager of high-end hotels in key metro cities registered total income for Q3 FY20 at Rs 284.7 crore as compared to Rs 254.9 crore.

Earnings before interest, tax, depreciation and amortisation (EBITDA) was at Rs 118.9 crore as compared to Rs 121.3 crore in the previous year same quarter.

Profit before tax grew to Rs 55.5 crore in Q3 FY20 as compared to Rs 22.7 crore in Q3 FY19, growing by 144 per cent due to superior operating performance, healthy capital structuring and tight cost control.

Revenue per available room increased by 9.9 per cent to Rs 6,863 as compared to Rs 6,245 for the same quarter last year led by room rate growth.

The earnings per share work out to Rs 1.62 compared to Rs 0.83 in the same period.

"Despite the sluggish consumer sentiments continuing in the economy, the hospitality sector continues to show its resilience led by the underlying demand-supply scenario," said Managing Director and CEO Sanjay Sethi.

"Chalet has been leveraging these opportunities along with maintaining a prudent operating environment to deliver superior and sustainable growth," he said in a statement.

The hotel platform has a developmental pipeline of 660 keys across four hotel projects in the markets of Mumbai Metropolitan Region, Hyderabad and Pune.

To optimally utilise available land, the company has embarked on two commercial projects with an area of 1.1 million square feet in Mumbai and Bengaluru adjoining its existing hotels.

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