TajGVK Hotels shares zoom 9% after posting 76% jump in profits in Q2

TajGVK Hotels and Resorts share price surged 9.50 per cent at Rs 335.85 a piece on the BSE in Monday’s intraday deals. This came after the company reported strong net profits in its second quarter of financial year 2024-25 (Q2FY25).

 

The hotel company’s revenue from operations stood at 105.17 crore in Q2FY25, rising 17.6 per cent year on year, compared with Rs 89.42 crore in the corresponding quarter of the previous year. On a quarterly basis, the revenue surged 13.3 per cent versus Rs 92.81 crore recorded in the June quarter of FY25. 

 

The company reported a profit after tax (PAT) of Rs 19.65 crore in the September quarter of FY25, jumping 76.55 per cent Y-o-Y against Rs 11.13 crore in the same quarter last year. Sequentially the profits soared 54.6 per cent compared to Rs 12.71 crore registered in Q1FY25.

 

The earnings before interest, tax and depreciation (Ebitda) margin came in at 28 per cent improving from 24.18 per cent in the September quarter of FY24. The company’s total expenses rose 9.3 per cent Y-o-Y to Rs 81.52 crore, compared with Rs 74.52 crore in the year ago period. 

 

TajGVK Hotels & Resorts Limited was incorporated on February 2, 1995, in Andhra Pradesh, India. The company is a joint venture between the Indian Hotels Co. Ltd., a Tata Group company, and the Hyderabad-based GVK Group. It operates in the hospitality and tourism industry, with current locations in Hyderabad, Chandigarh, and Chennai.

 

TajGVK Hotels share price history

The company’s stock has outperformed the market year to date as it has risen 43.4 per cent, while gaining 45.6 per cent in the last one year. In comparison BSE Sensex has risen 8.9 per cent year to date and 22.3 per cent in a year. 

 

The company has a total market capitalisation of Rs 2,072.91crore. Its shares are trading at a price to earnings multiple of 26.02 times and at an earning per share of Rs 11.79. 

 

At 1:17 PM, the stock price of the company was up 9.28 per cent at Rs 335.15 a piece on the BSE. By comparison, the BSE’s Sensex was down 1.51 per cent to 78,518.56 level.