SAMHI Hotels expects its expansion pipeline to nearly double FY26 revenue by 2031, even as occupancy has held close to 80% despite disruption from the Gulf crisis.
The hotel operator expects its ongoing expansion pipeline to add nearly Rs 1,000 crore to revenue by 2031, nearly doubling its FY26 base, even as near-term occupancy has held close to 80% despite disruptions from the Gulf crisis, Chairman, MD & CEO Ashish Jakhanwala told NDTV Profit.
"If you look at the investments we've made since we went public in September '23... we almost see about 2,000 rooms which will create an impact on our current bases. And if I was to freeze the average rate on occupancies as of FY26, just the delivery of that inventory starting next year and up until 2031 will almost add Rs 1,000 crore to the revenue," Jakhanwala said.
He added that the growth was not dependent on market conditions improving.
"Even if the market... was to freeze at FY26 levels, SAMHI has enough inventory coming its way, which will add almost Rs 1,000 more crores to our top line over the base of Rs 1,280 crore last year," he said, referring to the company's FY26 revenue.
On near-term demand, Jakhanwala said occupancy in SAMHI's largely business-hotel portfolio had stayed close to 80% over the first five months of FY27, despite the Gulf conflict disrupting corporate travel.
"In spite of that problem, occupancy levels have remained almost touching 80% in our portfolio in the last five months," he said, citing the approaching festive season, wedding dates and a packed events calendar as reasons for confidence heading into the second half.
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He said pricing power, hit when the Gulf crisis shortened booking windows, was returning as occupancy held firm, with revenue growth expected to shift from being occupancy-led in the first quarter to an even split between occupancy and average room rates in the second quarter.
On expansion, SAMHI plans to add around 2,120 keys, with upscale inventory targeted to rise from 41% to 60% by 2030. Beyond a small addition at Hyatt Regency Pune this year, its next major opening will be the W Hyderabad in FY28, which Jakhanwala said could add 10-12% to revenue on an FY26 base.
On costs, he said SAMHI was seeing no margin pressure despite wage growth of 8-9%, with the GST impact fading to leave only a residual 100 basis point hit from the third quarter.
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