Viceroy Hotels Ltd — Q4 FY26 earnings call
Summary generated by AI from the official transcript Viceroy Hotels Ltd filed with BSE on 01 Jun 2026. Every statement cites a verbatim quote from that document — open any citation to read it. This is a record of what management said, not a recommendation. How we check these summaries
The short read
Viceroy Hotels reported Q4 FY26 revenue of Rs 49.5 crore, up 35.3% year-on-year, with EBITDA growing 43.7% and margin expanding by 183 basis points to 31.4%. Management attributed the growth primarily to the consolidation of Marriott Executive Apartments, Hyderabad, acquired on January 1, alongside efficiency gains from the completed first phase of renovation at Courtyard by Marriott. Profit after tax declined due to higher depreciation and finance costs linked to renovation and acquisition-related borrowing, and management discussed ongoing renovation phases, ADR trends, occupancy patterns, and future expansion plans including a new Courtyard property in Madhapur.
Numbers mentioned
Total revenue: INR 49.5 crores (Q4 FY26)
p. 4
“For Q4 FY26, total revenues stood at INR 49.5 crores as compared to INR 36.6 crores in Q4 FY '25, reflecting a robust growth of 35.3% year-on-year.”
P. V. Krishna Reddy, page 4 of the filed PDF · View the filing
Operating EBITDA: INR 15.6 crores (Q4 FY26)
p. 4
“Operating EBITDA for the quarter stood at INR 15.6 crores, registering a growth of 43.7% year-on-year, while EBITDA margin improved by 183 basis points to 31.4%.”
P. V. Krishna Reddy, page 4 of the filed PDF · View the filing
Profit after tax: INR 6 crores (Q4 FY26)
p. 5
“Profit after tax for the quarter stood at INR 6 crores, which was impacted during the quarter primarily due to the higher depreciation and finance costs arising from ongoing renovation, expansion, and acquisition-related investments undertaken by the company as part of its long-term growth strategy.”
P. V. Krishna Reddy, page 5 of the filed PDF · View the filing
Total revenue: INR 149.7 crores (FY26)
p. 5
“On a full-year basis, total revenues stood at INR 149.7 crores as against INR 140.8 crores in FY '25, reflecting a growth of 6.3% year-on-year.”
P. V. Krishna Reddy, page 5 of the filed PDF · View the filing
EBITDA: INR 44.6 crores (FY26)
p. 5
“EBITDA for FY '26 increased by 20.6% year-on-year to INR 44.6 crores, while EBITDA margin improved significantly by 353 basis points to 29.8%, reflecting continued focus on operational efficiencies and disciplined execution across properties.”
P. V. Krishna Reddy, page 5 of the filed PDF · View the filing
Combined ADR: Rs 7,605 (Q4 FY26)
p. 5
“For Q4 FY '26, ADR stood at INR 7,423 at Marriott and INR 8,010 at Courtyard, with combined ADR at Rs 7,605.”
P. V. Krishna Reddy, page 5 of the filed PDF · View the filing
Combined RevPar: Rs 4,931 (Q4 FY26)
p. 5
“Combined RevPar for the quarter stood at Rs 4,931, which was primarily impacted by softer occupancy trends during the period.”
P. V. Krishna Reddy, page 5 of the filed PDF · View the filing
Room revenue: Rs 20.5 crores (Q4 FY26)
p. 5
“Room revenues across Marriott and Couryard properties remained stable at Rs 20.5 crores during Q4 FY '26, while food and beverage revenues stood at Rs 13.4 crores, supported by banqueting, events and corporate activity.”
P. V. Krishna Reddy, page 5 of the filed PDF · View the filing
Marriott Executive Apartments ADR: Rs 16,578 (Q4 FY26)
p. 5
“Marriott Executive Apartments, which became part of the company's reported financial performance during the quarter, recorded encouraging initial operating metrics with ADR increasing by 6.9% year-on-year to Rs 16,578 and RevPar increasing by 3.2% year-on-year to Rs 13,438 in Q4 FY '26, supported by steady traction across corporate and long-stay demand segments in Hyderabad.”
P. V. Krishna Reddy, page 5 of the filed PDF · View the filing
Marriott Executive Apartments room revenue: Rs 9 crores (Q4 FY26)
p. 5
“In its first quarter of contribution, the property reported room revenues of Rs 9 crores, along with food and beverage revenues of Rs 3.7 crores, reflecting healthy initial operating momentum.”
P. V. Krishna Reddy, page 5 of the filed PDF · View the filing
Consolidated borrowings: INR 264 crores (as of 31st March 2026)
p. 10
“Hi, you see, as of 31st March 2026, our borrowings are at INR 264 crores(on a consolidated basis).”
P. V. Krishna Reddy, page 10 of the filed PDF · View the filing
Marriott Bonvoy occupancy share: about 65%
p. 13
“in fact, as we speak, currently the percentage of occupancy in our hotel is about 65% from Marriott Bonvoy members.”
Pradyumna Kodali, page 13 of the filed PDF · View the filing
What management said it would do
A record of statements made on the call, in the words management used. Parakho does not forecast, endorse or assess them, and their presence here is not a view on whether they will happen.
Phase 2 renovation completion (Marriott Hyderabad) — completion of second phase · FY '27
stated firmly by Anirudh Reddy
p. 4
“Building on this progress, the second phase of renovation at Marriott Hyderabad commenced in the first week of April and is expected to be completed during FY '27, while the third phase is targeted for completion during FY '28.”
Anirudh Reddy, page 4 of the filed PDF · View the filing
Revenue growth — double-digit growth
stated firmly by Anirudh Reddy
p. 7
“So, you won't see a jump as this big. But yes, on year-on-year growth, we will have a double-digit growth as we have explained in our previous call as well.”
Anirudh Reddy, page 7 of the filed PDF · View the filing
Convention center renovation completion — completion by end of this year · FY27
stated firmly by Anirudh Reddy
p. 11
“The convention center went into renovation this year from first week of April. We look to finish this renovation by the end of this year.”
Anirudh Reddy, page 11 of the filed PDF · View the filing
Convention center investment payback — recoup investment · one and a half year
stated as an aspiration by Anirudh Reddy
p. 11
“And we look to recoup the investment made into this in a period of one and a half year.”
Anirudh Reddy, page 11 of the filed PDF · View the filing
Madhapur Courtyard opening — opening date · FY '29 or FY '30
stated as an aspiration by Anirudh Reddy
p. 11
“So, we would say we are targeting the opening date to be FY '29 or FY '30.”
Anirudh Reddy, page 11 of the filed PDF · View the filing
Dividend payment — good outcome from next year · next year
stated as an aspiration by Anirudh Reddy
p. 12
“So, mostly the board also discussed this issue several times, and we expect to give you a good outcome from next year.”
Anirudh Reddy, page 12 of the filed PDF · View the filing
ADR growth — 25% to 30% growth
stated as an aspiration by Pradyumna Kodali
p. 13
“So, in combination of all three, as and when the new inventory comes in, I think we can expect anywhere between 25% to 30% growth in ADR.”
Pradyumna Kodali, page 13 of the filed PDF · View the filing
ADR target level — 9,000 to 9,500 · more immediate basis
stated as an aspiration by Pradyumna Kodali
p. 13
“So, the current levels of 7,000 odd is something that we aim to target reaching 9,000 to 9,500 in a more immediate basis.”
Pradyumna Kodali, page 13 of the filed PDF · View the filing
ADR long-run target — closer to the 10,000 mark · long run
stated as an aspiration by Pradyumna Kodali
p. 13
“But in the long run, we want both of those hotels as a complex to be running closer to the 10,000 mark, which is what a lot of hotels in that current comp set are able to achieve.”
Pradyumna Kodali, page 13 of the filed PDF · View the filing
Marriott Bonvoy direct channel share — 80%-85%
stated as an aspiration by Pradyumna Kodali
p. 13
“And the target for them, I believe, should at least should be to take that up to 80%-85% and significantly reduce what the OTAs are contributing.”
Pradyumna Kodali, page 13 of the filed PDF · View the filing
Leverage/debt levels — current debt level
stated firmly by Pradyumna Kodali
p. 10
“No, we are very comfortable with the current debt levels and we wish to maintain this at this level.”
Pradyumna Kodali, page 10 of the filed PDF · View the filing
EBITDA growth — twofold increase · FY27
stated firmly by Anirudh Reddy
p. 14
“We are going to see a substantial twofold increase in the EBITDAs because of this addition.”
Anirudh Reddy, page 14 of the filed PDF · View the filing
Q&A highlights
Management's answers to analyst questions, in Parakho's words rather than a transcript. Each row names who answered and carries the verbatim quote it was drawn from.
Management said many opportunities are being evaluated based on asset quality, performance and location, but nothing has materialized yet.
Answered by Anirudh Reddy
Asked by Pahal Sharma: Are there specific NCLT distressed asset opportunities under evaluation and how is risk-return assessed?
p. 6
“Yes, we have shown an expression of interest to a lot of these assets, but nothing has materialized as of yet.”
Anirudh Reddy, page 6 of the filed PDF · View the filing
Management attributed the increase mainly to the addition of Marriott Executive Apartments portfolio acquired in January.
Answered by Anirudh Reddy
Asked by Suhani Singh: What drove the 35.3% year-on-year revenue growth in Q4 and is it sustainable?
p. 6
“The main contributor for the revenue increase is the adding of the portfolio of Marriott Executive apartments.”
Anirudh Reddy, page 6 of the filed PDF · View the filing
Management explained the decline was due to a prior-year deferred tax adjustment and additional financing costs from the acquisition.
Answered by Anirudh Reddy
Asked by Suhani Singh: Why did PAT fall despite strong revenue and EBITDA growth?
p. 7
“The main reason why it came down, point number one, is because of the deferred tax element which we took last year, wherein we had booked our losses because the company, Viceroy, had come out of NCLT three years back.”
Anirudh Reddy, page 7 of the filed PDF · View the filing
Management attributed the rise to debt taken on to fund the Marriott Executive Apartments acquisition and said no further increase is expected.
Answered by Anirudh Reddy
Asked by Santosh Shetty: Why did finance costs rise sharply and what is the plan for managing debt?
p. 10
“So, the major increase was because of the debt being loaded on the company for purchasing the asset of Marriott Executive Apartments for a total consideration of around INR 215 crores.”
Anirudh Reddy, page 10 of the filed PDF · View the filing
Management said the dip was due to renovation and that occupancy has returned to normal.
Answered by Anirudh Reddy
Asked by Santosh Shetty: Why did Courtyard occupancy drop sharply in FY26?
p. 11
“So, the temporary dip in this year, you have seen it because of the massive renovation that happened to courtyard.”
Anirudh Reddy, page 11 of the filed PDF · View the filing
Management said the property is in the land conversion permission stage and targeted for opening in FY29 or FY30.
Answered by Anirudh Reddy
Asked by Varun Mishra: What is the expected opening date for the new Courtyard at Madhapur?
p. 11
“We are currently in the permission stage, land conversion permission stage.”
Anirudh Reddy, page 11 of the filed PDF · View the filing
Management said the board has discussed the matter and expects a positive outcome from next year after completing convention center renovation.
Answered by Anirudh Reddy
Asked by Dhiren Roy: When will the company start paying dividends?
p. 12
“By the end of this year, we will be completing the renovation of the convention center where a lot of capital has been reinvested in the property to uplift it.”
Anirudh Reddy, page 12 of the filed PDF · View the filing
Management said actual new supply timelines are likely later than announced and demand growth should outpace supply, protecting ADRs.
Answered by Anirudh Reddy
Asked by Suhani Singh: How will planned new hotel supply in Hyderabad affect ADR and demand?
p. 12
“So, we see that in no way affecting our ADRs, and our ADRs are still going to be strongly improving because the supply will be less.”
Anirudh Reddy, page 12 of the filed PDF · View the filing
Management estimated organic growth of 5-7% annually plus 20-22% from refurbishment, together yielding 25-30% ADR growth.
Answered by Pradyumna Kodali
Asked by Pahal Sharma: What ADR growth is expected and how much comes from organic growth versus refurbishment?
p. 13
“Apart from that, particularly in the case of our Marriott and Courtyard, we expect growth of at least 20% to 22% from the refurbishment.”
Pradyumna Kodali, page 13 of the filed PDF · View the filing
Risks flagged
Geopolitical tensions and West Asia conflict disrupted travel sentiment and softened operating environment
p. 3
“The hospitality industry witnessed a relatively softer operating environment during the later part of the quarter, particularly in March, impacted by geopolitical tensions, the ongoing West Asia conflict and temporary disruptions in travel sentiment.”
Anirudh Reddy, page 3 of the filed PDF · View the filing
Inflationary pressures across commodities, energy and operating costs
p. 3
“The sector also continued to face inflationary pressures across commodities, energy and operating costs during this period.”
Anirudh Reddy, page 3 of the filed PDF · View the filing
Softer occupancy and room rates in certain hospitality segments due to broader operating environment
p. 4
“While certain hospitality segments witnessed temporary moderation in their occupancy and room rates due to the broader operating environment, the company continued to maintain healthy business momentum across its portfolio.”
Anirudh Reddy, page 4 of the filed PDF · View the filing
ADR dip due to ongoing war
p. 7
“So, the thing is, I mean, like you mentioned that we did see a slight dipin terms of ADR because of the ongoing war.”
Pradyumna Kodali, page 7 of the filed PDF · View the filing
Rising costs impacting new hotel project openings across the sector
p. 12
“So, we are still very protected in the – because there is very less supply, and the growing costs, which we see across the sectors, have impacted all these openings, which are deeply now cost-consuming, and the costs have really gone up.”
Anirudh Reddy, page 12 of the filed PDF · View the filing
Generated by claude-sonnet-5. Source: the transcript as filed with BSE. We link to the exchange's copy; we do not host transcripts. Parakho is a data and screening tool, not an investment adviser — nothing here is a recommendation to buy, sell or hold.