EIH Ltd, a member of the Oberoi Group, has reported a net profit of Rs 27.04 crore in the final quarter of the fiscal 2012-13 compared to Rs 45.13 crore in a year ago period, showing a dip of 40.08%.
Net sales for the quarter under review stood at Rs 342.56 crore as against Rs 323.55 crore, a growth of 5.88%.
Net profit for the full financial year tanked by over 58% to 50.96 crore.
S S Mukherji, vice chairman and chief executive officer said, "The performance of the hotel industry is directly connected with global and domestic economic growth. The global economic growth rate reduced to 3.5% in 2012 compared with 4% in 2011. The situation in India mirrored this global trend. India's growth rate fell to 5.5% driven by lower industrial production in core sectors, slow internal investment, reduced urban consumption and high inflation".
Company's total revenue, including other income, during the financial year was Rs 1,177.01 crore compared to Rs 1,162.21 crore in the previous fiscal, showing growth of 1.27%.
The kolkata based company said in a statement that Trident, Hyderabad consisting of 326 keys is scheduled to open in June 2013. The Company will manage the hotel. The 252 key, The Oberoi, Dubai is scheduled to open in June 2013. The Oberoi, Dubai will be managed by a wholly owned subsidiary.
However, Mukherji later added that long term confidence on the Indian hospitality industry is positive.
