Rising income levels, improved infrastructure and connectivity, and the development of new tourist spots are expected to sustain healthy demand
ROHL is aggressively expanding presence, and, under Vision 2030, it is targeting 3x reach in hotel properties and 2.3x reach in hotel keys
Over the long term, LMNT plans to strengthen its presence in India’s mid-market hotel segment, aiming to scale up to 30,000-40,000 keys
With a new brand architecture, a revamped loyalty rewards programme as well as property additions in key marquee markets, ROHL is well positioned to strengthen its presence in the hotel industry
The demand momentum remains strong and LMNT has lined up aggressive inventory addition plans.
After the strengthening of the balance sheet as well as the turnaround in operations post the Initial Public offer (IPO) in September 2023, SAMHI is now set to add/renovate inventory to boost growth.
Given the weak sentiment, the benchmark indices may extend their southward journey in the upcoming session. Below are some trading ideas for the near term.
Robust cash flow generation will ensure that SAMHI is able to largely fund the capex via internal accruals and without stretching the balance sheet
We expect a pick-up in occupancies for LMNT from H2FY25. A seasonally strong period (more holidays, greater arrival of foreign tourists, and pleasant weather conditions) would drive growth
With the balance sheet in shape and healthy cash-flow generation, SAMHI’s focus has now shifted to tapping growth by addition of new room inventory & improving profitability by renovating/refurbishing the existing inventory.
The hotelier is seeing demand traction at present and expects a double-digit growth in revenues for the current fiscal
The company would largely complete renovations by FY26, and we expect a strong increase in ARRs after that. With a new and upgraded overall room portfolio, LMNT is likely to report much stronger results from H2FY26.
To tap the strong demand momentum in the industry,ROHL aims to add about 1,925 keys to its room inventory, which is about a 30 percent increase from the current level.
Apart from the management contract route, ROHL is looking to sign hotels under revenue-sharing/leased/jointly owned operations to accelerate top-line growth
IHCL has big expansion plans across its product portfolio to tap the growth momentum. The scale-up of new businesses provides an additional growth lever