Viceroy Hotels Q2 Results: Consolidated Profit Rises 409%, Revenue Jumps 56%

Viceroy Hotels Ltd reported its unaudited financial results for the quarter and half year ended September 30, 2026. The Board of Directors approved the standalone and consolidated financial results at its meeting held on November 12, 2026. The meeting commenced at 11:16 AM and concluded at 12:30 PM. The results were reviewed by the company's statutory auditors, M S K C & Associates LLP, which issued limited review reports without any adverse observations.

On a consolidated basis, revenue from operations increased 56.5 per cent year-on-year to Rs 4,820.37 lakh in Q2FY27 compared with Rs 3,079.69 lakh in Q2FY26. Total income rose to Rs 4,879.47 lakh from Rs 3,186.12 lakh in the corresponding quarter of the previous financial year.

Total expenses increased to Rs 4,778.19 lakh in Q2FY27 compared with Rs 2,756.56 lakh in Q2FY26. Employee benefit expenses stood at Rs 982.95 lakh against Rs 658 lakh, while finance costs increased to Rs 579.27 lakh from Rs 109.70 lakh. Depreciation expenses rose to Rs 608.21 lakh from Rs 342.74 lakh, and other expenses increased to Rs 2,277.91 lakh compared with Rs 1,273.85 lakh.

Profit before Tax declined 76.4 per cent year-on-year to Rs 101.28 lakh from Rs 429.56 lakh in Q2FY26. However, after accounting for total tax income of Rs 121.74 lakh, the company reported a consolidated net profit of Rs 223.02 lakh, compared with Rs 438.19 lakh in the corresponding quarter last year. The basic and diluted earnings per share stood at Rs 0.34 each.

For the first half of FY27, consolidated revenue from operations stood at Rs 9,310.56 lakh compared with Rs 5,616.64 lakh in H1FY26. Total income increased to Rs 9,398.91 lakh from Rs 5,831.43 lakh. Profit before tax stood at Rs 238.96 lakh, while profit after tax increased to Rs 367.88 lakh compared with Rs 135.89 lakh in the corresponding period last year. The company reported an EPS of Rs 0.55 for the half year.

On a standalone basis, revenue from operations increased 13.9 per cent year-on-year to Rs 3,506.63 lakh in Q2FY27 from Rs 3,079.69 lakh in Q2FY26. Total income increased to Rs 3,872.15 lakh from Rs 3,186.12 lakh. Total expenses rose to Rs 3,830.18 lakh compared with Rs 2,756.56 lakh in the year-ago quarter.

Standalone profit before tax declined to Rs 41.97 lakh from Rs 429.56 lakh in Q2FY26. However, the company reported a net profit of Rs 177.51 lakh compared with Rs 438.19 lakh in the corresponding quarter last year, supported by deferred tax income of Rs 135.54 lakh. Basic and diluted EPS stood at Rs 0.28 each.

For H1FY27, standalone revenue from operations increased to Rs 6,780.55 lakh from Rs 5,616.64 lakh in H1FY26. Profit before tax stood at Rs 151.54 lakh, while profit after tax increased to Rs 292.88 lakh compared with Rs 135.89 lakh in the corresponding period last year.

The company's consolidated balance sheet showed total assets of Rs 66,766.94 lakh as of September 30, 2026, compared with Rs 56,164.01 lakh as of March 31, 2026. Total equity increased to Rs 37,590.42 lakh from Rs 26,679.55 lakh. Consolidated borrowings included non-current borrowings of Rs 24,377.50 lakh and current borrowings of Rs 1,826.21 lakh. Cash and cash equivalents stood at Rs 11,054.73 lakh.

On a standalone basis, total assets increased to Rs 61,055.42 lakh from Rs 50,386.63 lakh as of March 31, 2026. Total equity stood at Rs 37,077.81 lakh, while cash and cash equivalents increased to Rs 10,799.43 lakh.

During the quarter, Viceroy Hotels successfully completed a rights issue of 92,03,008 fully paid-up equity shares of face value Rs 10 each at an issue price of Rs 115 per share, including a premium of Rs 105 per share. The issue aggregated Rs 10,583.46 lakh, and the shares were allotted on September 15, 2026. The proceeds were raised for repayment of debt and general corporate purposes. The company adjusted issue expenses of Rs 57.07 lakh against the securities premium account.

As part of another key development, a novation agreement was executed on September 29, 2026, concerning the operating agreement for Marriott Executive Apartments (MEA), Hyderabad. Under the agreement involving Viceroy Hotels Private Limited, its wholly owned subsidiary SLN Terminus Hotels and Resorts Private Limited, and Marriott, the wholly owned subsidiary was replaced by the holding company as the owner. Accordingly, from October 1, 2026, the operations of MEA will be carried out in the name of the holding company.

The consolidated results for Q2FY27 and H1FY27 include the financial performance of SLN Terminus Hotels & Resorts Private Limited, a wholly owned subsidiary. However, the corresponding consolidated results for Q2FY26 and H1FY26 did not include the subsidiary's financial performance. Therefore, the consolidated financial results for the current and comparative periods are not directly comparable. The company operates in a single reportable segment, namely hoteliering.

During H1FY27, the company generated net cash of Rs 1,809.63 lakh from operating activities. Net cash used in investing activities stood at Rs 1,877.78 lakh, while financing activities generated Rs 9,180.55 lakh, primarily supported by proceeds from the rights issue.

The company also submitted its statement of deviation or variation in the utilisation of rights issue proceeds under Regulation 32 of SEBI (Listing Obligations and Disclosure Requirements) Regulations, 2015. The Audit Committee reviewed the statement on November 12, 2026, and the company confirmed that there were no deviations or variations in the utilisation of the proceeds from the stated objectives. The objectives included repayment of secured and unsecured loans and investment in its wholly owned subsidiary. The Audit Committee reported no comments, and the auditors also had no comments.

The company's standalone and consolidated financial results for the quarter and half year ended September 30, 2026, are available on its website and the websites of BSE and NSE.

Disclaimer: The article is for informational purposes only and not investment advice.