Hospitality company EIH limited, part of the Oberoi group has recorded a net profit of Rs 16.6 crore for the quarter ended September 30, against a loss of Rs 14.97 crore in the corresponding quarter of the previous year.

The revenue from the hotel business saw a rise from Rs 202.51 crore for the quarter in FY11 to Rs 222.94 crore this year.

The company's net sales for the quarter under review increased 8.7 per cent to Rs 216.99 crore, as against Rs 199.46 crore in the corresponding quarter last fiscal.

The company's half-yearly results saw profits at Rs 32.04 crore, as against a loss of Rs. 30.9 crore for the corresponding period last year. The company said that while the hotel occupancy rate had increased, the Average Room Rate remained stable during the period.

Nita Ambani on board

Meanwhile, EIH appointed Ms Nita Ambani as an Additional Director on the board of the hospitality chain, a little over a year after Reliance Industries Ltd had picked up over 14 per cent stake in EIH.

RIL, through its wholly owned subsidiary, holds 14.80 per cent in EIH. The RIL investment is significant with tobacco-to-hospitality major ITC holding 14.98 per cent in EIH.

Mr Analjit Singh holds four per cent stake in EIH. Along with Ms Ambani, the EIH board has also appointed Ms Renu Sud Karnad, Mr Manoj Harjivandas Modi and Mr Robert Henry Burns as Additional Directors. Further, a filing to the Bombay Stock Exchange by EIH said that both Ms Nita Ambani and Mr Modi have been appointed as non-executive and non-independent directors. After attending her first EIH board-meeting, Ms Ambani told mediapersons that the involvement was a long- term financial investment.

The shares of EIH closed at Rs 94 on the BSE, up 2.79 per cent from the previous close on the BSE.

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