ITC Hotels clocked its highest ever quarter in Oct-Dec 2025, with revenue rising 21% to ₹1,231 crore and profit surging 42% to ₹307 crore. The hospitality company attributed this to strong demand in the luxury and upscale segments, thanks to festive and MICE business. ITC Hotels also expanded its presence considerably, opening new hotels in Tier-II and Tier-III cities as part of its ‘asset-right’ strategy.
The hospitality major, ITC Hotels, registered unprecedented financial achievements during the October-December 2025 quarter, which marked the highest revenue and profit for the company. This was driven by a strong 21% growth in consolidated revenue from operations, touching ₹1,231 crore, and a substantial 42% rise in profit to ₹307 crore.
Demand Drivers Fuel Record Performance:
The company’s outstanding performance was due to robust demand in the luxury, upper upscale, and upscale markets during the peak travel quarter. The increased occupancy levels and average daily rates (ADR) were major factors, coupled with significant festive spending, weddings, and MICE business. The revenue from rooms increased by 12%, while the Food & Beverage revenue experienced an 8% boost, mainly driven by banqueting and corporate business.
Strategic Expansion and Market Outlook:
Notwithstanding the record performance, ITC Hotels shares closed 2.6% lower at ₹180.3 on the BSE on Tuesday, as the market fell 1.3%. Looking ahead, ITC Hotels is aggressively implementing its ‘asset-right’ strategy. This includes collaborating with asset owners to increase its footprint in Tier-II and Tier-III cities, as it meets the growing demand for luxury hospitality. The company has signed 28 new hotels with 2,790 keys in 2025, marking a 26% jump from the previous year. It also broke the 150-operational hotels milestone, boasting over 14,000 keys. The outlook for the hospitality industry remains positive, with ITC Hotels also expecting the structural supply-demand mismatch to continue. The consumption trends and broad-based growth are expected to drive future performance.
