Indian Hotels Company's consolidated net loss in the first quarter declined 43 per cent year-on-year to Rs 19.9 crore, helped by a rise in other income. The company had posted a net loss at Rs 33.36 crore for the corresponding period in the previous fiscal.
The earlier loss was after taxes, minority interest and share of profit/loss in associates. The company said consolidated net sales in the April-June quarter were up seven per cent year-on-year to Rs 909 crore.
A pick-up in occupancies in the US market, which accounts for a substantial part of its international business, has helped the company in the first quarter ended June 30, 2013.
Anil Goel, CFO, said in a post earnings conference call that three US hotels had reported encouraging results. While the hotels in Boston and San Francisco had touched 80 per cent growth in occupancies, the Pierre in New York reported 77 per cent occupancy against 65 per cent in the earlier quarter.
Total income from operations of Rs 397 crore for the quarter ended June 30, 2013, was in line with the total income reported for the corresponding quarter of the preceding year.
The company now has a standalone debt of Rs 2,500 crore, while at a consolidated level its debt stands at Rs 3,800 crore. The operator of the Taj brand of luxury hotels said that its financing costs were lower by 23 per cent at Rs 23 crore. The standalone profit after tax at Rs 10 crore was also higher than the PAT of Rs 4 crore reported in the corresponding quarter of the previous year.
amritanair.ghaswalla@thehindu.co.in