ITC Hotels Q2 FY26 Earnings Results: PAT Rises 74% and Revenue Rises 8% YoY

ITC Hotels Limited has released its Q2 FY26 results on October 24, 2025. The Board has approved unaudited financial statements, segment results, and related disclosures for the quarter and six months ended September 30, 2025. The report highlights major numbers, management updates, and structural changes post-demerger.

ITC Hotels Financial Performance: Revenue and Profit Trends

For Q2 FY26, ITC Hotels Limited posted consolidated revenue from operations of ₹832.04 crore, compared to ₹771.35 crore in Q2 last year, an increase of approximately 7.83%. Profit after tax stood at ₹133.29 crore, significantly higher than the ₹76.63 crore in the corresponding previous period, representing a rise of approximately 74% in profit after tax. Earnings per share for the quarter were ₹0.64. 

Total comprehensive income for Q2 FY26 reached ₹217.25 crore, reflecting both operational strength and cost discipline. The company’s standalone revenue for Q2 FY26 was ₹754.43 crore, with net profit after tax at ₹151.63 crore. Operating cash flows remained robust, aided by higher occupancy rates and cost efficiencies.

Strategic Developments and Board Resolutions

The Board recommended setting a limit of 2% of issued share capital under a new Employee Stock Appreciation Rights Scheme. There was a notable management elevation, with Mr Sudhir Gupta appointed as Vice President (Procurement Senior Management). The company reported its ongoing commitment to the employee stock option plan, issuing over 10,48,176 equity shares during the quarter and expanding its issued share capital.

Read More:ITC Hotels Launches 98-Key Welcomhotel in Bodh Gaya to Strengthen Tourism!

Balance Sheet Highlights and Demerger Update

As of September 30, 2025, total consolidated assets stood at ₹12,821.90 crore. The equity share capital increased to ₹208.27 crore, showing growth post-demerger. The Board reaffirmed the company’s strong asset base and operational focus, maintaining a single-segment strategy in hotel services. The financials also included effects from the demerger with ITC Limited, with the company operating independently since January 1, 2025.

Cashflow Position and Segment Overview

Operating cash flow for H1 FY26 was ₹292.87 crore (consolidated), showing strong cash generation from core hotel operations. The company continues to focus on domestic and international expansion, with premium branded residences in Colombo noted as a significant upcoming revenue contributor. 

Segment-wise, hotel services contributed nearly all operating revenue. The subsidiary and associate portfolio includes WelcomeHotels Lanka, Gujarat Hotels, and others, showing diversification within hospitality.

ITC Hotels Share Price Performance

On October 24, 2025, ITC Hotels share price opened at ₹222.30 on NSE, above the previous close of ₹220.76. During the day, it surged to ₹224.90 and dipped to ₹218.00. The stock is trading at ₹219.19 as of 2:40 PM. The stock registered a moderate decline of 0.71%.

Over the past week, it has moved up by 0.95%, over the past month, it has declined by 3.97%, and over the past 3 months, it has declined by 11.27%.

Conclusion

ITC Hotels Limited reported resilient Q2 FY26 financial performance, supported by higher revenues, improved profitability, and a robust balance sheet. Strategic management changes and ongoing expansion in premium segments reinforce its leadership in the Indian hospitality market post-demerger.

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