Samhi Hotels shares rally 9% after turnaround in Q2FY25: Ebitda up 81%

Samhi Hotels share price scaled up to 9.12 per cent at Rs 204 per share on the BSE in Wednesday’s intraday deals. This came after the company reported strong quarterly earnings for the second quarter of financial year 2024-25 (Q2FY25).

 

Samhi Hotels reported a net profit for the September quarter at Rs 12.6 crore, compared to Rs 88 crore loss in the same period last year. The company’s earnings before interest, tax, depreciation, and amortisation (Ebitda) came in at Rs 92.2 crore, up 81.4 per cent versus Rs 50.8 crore in the same quarter last year. Ebitda margin increased in Q2FY25 to 34.7 per cent versus 23.1 per cent in Q2FY24.

 

The company’s revenue for the quarter stood at Rs 266 crore, reflecting an 20.7 per cent increase from Rs 220 crore in the previous year.  

 

The company informed that revenue per available room (RevPAR) for the quarter reached Rs 4,529, marking a 16.5 per cent Y-o-Y increase in Q2FY25, reflecting strong demand across key markets with a well-established base and ongoing growth in commercial activities. The hotel's occupancy also improved to 75 per cent during Q2FY25, up from 72 per cent in the same quarter last year. 

 

Asset income and Asset Ebitda grew by 20.4 per cent and 28.1 per cent YoY, respectively in Q2FY25.

 

“I am also pleased to announce the signing of a long-term, variable lease in Hitec City, Hyderabad. This agreement aligns with our strategic focus on increasing the proportion of long-term leases to enhance capital efficiency and generate higher risk-adjusted returns. The transactions in Bangalore Whitefield and Hyderabad Hitec City will drive substantial growth in our Upper Upscale and Upscale inventory, contributing to the premiumisation of our existing portfolio and increasing our market share in key office markets,” said Ashish Jakhanwala, chairman & managing director, SamhiHotels. 

 

Looking ahead, Jakhanwala said that the hotel will remain focused on near-term growth driven by strong demand for its existing assets, the strategic re-rating of portions of its portfolio following renovation and rebranding efforts, the addition of new inventory, and continued M&A activity.

Samhi Hotels share price history

The company’s stock has been in  line with the market year to date as it has risen 9.7 per cent, while gaining 25 per cent in the last one year. In comparison BSE Sensex has risen 10 per cent year to date and 22.3 per cent in a year. 

 

The company has a total market capitalisation of Rs 4,177.70 crore. Samhi Hotels shares are trading at a price to earnings multiple of 299.10 times and at an earning per share of Rs 0.63. 

 

At 1:36 PM; the shares of the company pared most of its gains and were trading 2.01 per cent higher at Rs 190.70 a piece. By comparison, the BSE Sensex was up 0.26 per cent at 79,691.51 level.