ITC Hotels Ltd reported a consolidated net profit of ₹181.91 crore for the quarter ended June 30, 2026, marking a 36% increase from ₹133.71 crore in the corresponding period last year, according to ETHospitalityWorld. Consolidated revenue from operations grew 15% year-over-year to ₹936.02 crore from ₹815.54 crore. Total expenses rose to ₹750 crore from ₹674.9 crore. The hotel segment generated ₹881.06 crore in revenue, up 10% year-on-year, while the branded residences segment contributed ₹37.77 crore. Room revenue rose 8% driven by strong retail demand offsetting high base effects in MICE and wedding segments.
Details of GHK Hospitality Acquisition
ITC Hotels Ltd signed a definitive agreement
to purchase 100% stake in GHK Hospitality and Infrastructures Ltd for an enterprise value of Rs 155 crore on a debt-free and cash-free basis, subject to customary adjustments. The deal includes Welcomhotel Ahmedabad, a 130-room upper-upscale business hotel in Ahmedabad’s commercial hub. The acquisition is expected to close within the current quarter (Q2 FY27). The investment will proceed through primary subscription and secondary purchase of equity shares.
Welcomhotel Ahmedabad Features and Location
Welcomhotel Ahmedabad offers 8,500 square feet of banqueting space, a restaurant serving Indian and global cuisines, and a rooftop swimming pool. Located on Ashram Road, the hotel overlooks the Sabarmati Riverfront and is
near Ahmedabad International Airport and Narendra Modi Stadium. ITC Hotels currently operates the property under an operating services agreement. The acquisition transfers full ownership of the established hotel from a managed contract arrangement.
Strategic Rationale and Official Statements
Anil Chadha, Managing Director of ITC Hotels Ltd, said the acquisition reflects the company’s growth aspirations by adding an owned property in one of India’s fastest-growing urban centres. Chadha remarked, “Transitioning this established 130-room property from a managed contract to full ownership allows us to unlock greater value from the asset.” He described Ahmedabad as a dynamic commercial and industrial centre supported by infrastructure investment and diversified
demand. The deal will expand ITC Hotels’ portfolio across branded hospitality segments and price points in Ahmedabad and is expected to be earnings accretive in the first full year post-acquisition. The transaction will reduce time-to-market and optimize capital efficiency compared to greenfield investments.
Ahmedabad’s Economic and Industry Context
Ahmedabad ranks among India’s top eight urban economies by GDP with strong corporate presence and industrial corridors such as Dholera, GIFT City, and Sanand. The city’s infrastructure includes proximity to Ahmedabad International Airport and the Narendra Modi Stadium. The local hospitality market benefits from year-round demand driven by corporate activities, MICE events, and sports. Despite an April
2026 slowdown due to West Asia conflict-related air travel disruptions, occupancy and room rates recovered swiftly in May and June 2026, underscoring demand resilience in the Indian hospitality sector.
