ITC Hotels reported a strong growth performance for the quarter ended December 31, 2025, with consolidated revenue from operations reaching ₹1,231 crore, up 21% year-on-year. EBITDA stood at ₹467 crore, reflecting a 23% increase, while PAT rose sharply by 42% to ₹307 crore, according to a company release.

The growth was driven by higher occupancy and average daily rates (ADR) across key markets. Targeted digital campaigns and loyalty initiatives contributed to revenue scaling, while cost management measures covering procurement efficiencies and energy optimisation supported healthy margins. Room revenue grew 12%, propelled by robust performance in corporate, wedding, and MICE segments. Overall RevPAR expanded 13%, maintaining a 48% premium over the industry, highlighting ITC Hotels’ strong brand standing.

Food & Beverage revenue rose 8%, led by banqueting and corporate events, supported by innovative culinary offerings. EBITDA margin for the quarter stood at 39%, expanding 110 basis points on a comparable basis due to revenue growth, higher management fees, cost control, and operating leverage.

Active asset management remained central to ITC Hotels’ strategy, with planned renovations completed across key properties to enhance guest experience through modernised amenities, refreshed interiors, and contemporary design.

Internationally, ITC Ratnadipa and Sapphire Residences in Colombo, Sri Lanka, maintained market leadership in RevPAR and achieved EBITDA positivity for the nine months ended December 31, 2025. Apartment handovers have commenced, reflecting progress in the residential segment.

In India, ITC Hotels secured a land parcel at Yashobhoomi, Dwarka, New Delhi, for a premium 5‑star hotel on a 91‑year lease. The property, slated for completion by 2030, will feature contemporary banqueting and signature cuisine, enhancing Yashobhoomi as a global destination for conventions and exhibitions.

Aligned with its asset-right strategy, ITC Hotels expanded in Tier‑II and Tier‑III cities, opening new properties in Bodh Gaya, Rishikesh, Siliguri, Sirmaur, Dungarpur, and Jaipur during the quarter. In CY2025, the company signed 28 hotels with 2,790 keys, a 26% growth over CY2024, and crossed the milestone of 150 operational hotels with over 14,000 keys.

With these results, ITC Hotels reinforces its growth trajectory, driven by strategic expansion, operational excellence, and consistent focus on premium hospitality offerings across India and beyond

As the Union Budget 2026 draws closer, voices from the hospitality industry are growing stronger, calling for focused policy measures and enhanced financial support to drive sustainable growth. Sharing his pre-budget views, Vishal Vithal Kamat, Executive Director at Kamat Hotels India Ltd, highlighted the need for greater attention to the hospitality sector and its wider economic impact.

Kamat emphasised that hospitality goes far beyond hotels, encompassing tour operators and a broad network of allied services that collectively play a vital role in boosting tourism and employment across the country. He noted that the sector has been seeking targeted benefits and supportive policies for several years to help streamline operations and improve ease of doing business.

“We have strong expectations from the Union Government to enhance budgetary allocations for the hospitality sector as a whole. Hospitality extends beyond hotels to include tour operators and a wide network of allied services that collectively drive tourism and employment. The industry has long been seeking targeted benefits and policy support to streamline operations, improve ease of doing business, and strengthen India’s tourism ecosystem. We are hopeful that the forthcoming budget will address these long-standing concerns in a meaningful way,” he said.

Industry leaders believe that well-structured budgetary support can strengthen India’s tourism ecosystem, encourage investments, and create more employment opportunities. With Budget 2026 on the horizon, the hospitality sector remains optimistic that its long-pending demands will finally find place in national policy planning.

Sharing his expectations from the Union Budget 2026, Sanjay Manohar Vazirani, Chairman and Managing Director of Foodlink F&B Holdings (India) Limited, said the hospitality and foodservice sector today mirrors India’s evolving consumption story, shaped by rising disposable incomes, experiential spending, and renewed momentum in tourism and events.

Vazirani noted that sustained focus on infrastructure development, tourism promotion, and improved urban connectivity would create a strong multiplier effect for hospitality-led businesses. He said such measures would help India strengthen its positioning as a global destination for premium culinary and lifestyle experiences.

From an industry standpoint, he highlighted the importance of GST rationalisation, clearer compliance frameworks, and continued support for skill development. According to Vazirani, these steps would not only improve operating efficiencies but also reinforce employment generation across the hospitality and foodservice value chain.

He further added that measures aimed at easing access to credit, simplifying trade processes, and supporting Indian hospitality brands expanding globally would benefit the sector while contributing to a stronger, services-driven economy.

Vazirani emphasised that a growth-oriented Budget, one that balances fiscal discipline with consumption-led and tourism-driven growth, has the potential to significantly accelerate India’s hospitality and experiential economy in the years ahead.