ITC Hotels Ltd reported a consolidated net profit of ₹181.91 crore for the first quarter of fiscal year 2027, representing a 36% increase over ₹133.71 crore in the same period last year. Revenue from operations rose 15% year-on-year to ₹936.02 crore, up from ₹815.54 crore. Total expenses increased to ₹750 crore from ₹674.9 crore. The company posted an EBITDA of ₹292.3 crore with a margin of 31.2% during this period.
In a related development, ITC Hotels signed a definitive agreement to acquire 100% ownership of GHK Hospitality and Infrastructures Ltd, which holds Welcomhotel Ahmedabad. The transaction is valued at an
enterprise value of Rs 155 crore on a debt-free and cash-free basis, subject to customary adjustments. The acquisition is expected to close within the current quarter. Welcomhotel Ahmedabad is a 130-room upper-upscale business hotel currently operated by ITC Hotels under an operating agreement.
Welcomhotel Ahmedabad is situated along Ashram Road overlooking the Sabarmati Riverfront, close to Ahmedabad International Airport and Narendra Modi Stadium. The hotel offers 8,500 square feet of banqueting space, a restaurant serving Indian and global cuisines, and a rooftop swimming pool. Anil Chadha, Managing Director of ITC Hotels Ltd, stated the acquisition will add an owned property
to ITC’s portfolio in a rapidly growing urban center. He noted that shifting the asset from management contract to ownership enables unlocking greater value. Ahmedabad’s commercial and industrial growth, supported by infrastructure investments and diversified demand from corporates and industrial corridors like Dholera, GIFT City, and Sanand, underpins the investment.
The acquisition will expand ITC Hotels’ owned asset portfolio across all branded hospitality segments in Ahmedabad. The city ranks among India’s top eight urban economies by GDP, with a significant corporate presence and demand for year-round hospitality services. The Welcomhotel property is positioned to enhance yields and cash flow given
its established brand and consistent occupancy levels. ITC Hotels’ hotel business revenue for Q1 FY27 reached ₹881.06 crore, a 10% increase year-over-year, with room revenue growing 8% driven by strong retail demand.
ITC Hotels’ share price declined 5.28% to ₹173.80 following the acquisition announcement and was trading 4.71% lower at ₹174.85 on the Bombay Stock Exchange at 2:30 PM. The company recently acquired The Zuri Kumarakom Resort & Spa in Kerala, reinforcing its strategy to strengthen presence in key commercial and leisure markets nationwide.
