Royal Orchid Hotels Limited · NSE:ROHLTD
Royal Orchid Hotels — Q2 FY2023-24 Earnings Presentation
40 slides from Royal Orchid Hotels's earnings presentation, Nov 7, 2023
Slide 1: Cover letter to stock exchanges
Regd. Office : 1, Golf Avenue, Adjoining KGA Golf Course, HAL Airport Road, Kodihalli, Bangalore - 560 008, India. ROYAL ORCHID HOTELS LTD., T +91 80 41783000, F : +91 80 252 03366 www.royalorchidhotels.com CIN : L55101KA1986PLC007392 email : investors@royalorchidhotels.com Date: 09/11/2023 08/11/20
Slide 2: Royal Orchid Hotels Ltd. Q2 & H1 2023-24
Royal Orchid Hotels Ltd. Q2 & H1 - 2023-24
Slide 3: Disclaimer
Disclaimer Statements made in this Presentation describing the Company’s objectives, projections, estimates, predictions and expectations may be ‘forward-looking statements’, within the meaning of applicable securities laws and regulations. As ‘forward-looking statements’ are based on certain assump
Slide 4: Table of Contents
Table of Contents Industry Overview 01 Company Overview 02 03 Business Overview Financial Overview 04
Slide 5: Industry Outlook
Industry Outlook PROPOSED BRANDED HOTEL ROOMS ACROSS MAJOR CITIES 2020 / 21 2025 / 26 17931 17435 15892 15181 14330 13901 9969 9655 9061 7827 7718 7626 7420 7299 7039 6915 5714 5643 5442 4933 4817 3878 3878 2562 2045 1423 AGRA AHMEDABAD BENGALURU CHENNAI NEW DELHI GURUGAM NOIDA GOA HYDERABAD JAIPUR
Slide 6: Key Growth Drivers
Key Growth Divers Robust Attractive Policy Boosting Demand Opportunity Support Hospitality International tourist Government has allocated Under the Budget 2022-23, Diverse portfolio of with arrivals in India expected 100% FDI in Tourism & the government has focus on niche tourism to reach 30.5 milli
Slide 7: Key Industry Challenges
Key Industry Challenges Competition Infrastructure Entry of Travel Limited land availability at aggregators intensifies competitive landscape 01 the desired location Rising property prices 04 02 Regulatory Funding Delays in getting 03 Increasing cost of debt approvals and licenses leading to increas
Slide 8: Company Overview
Company Overview WHO OUR MANAGEMENT OUR WE ARE? JOURNEY TEAM PRESENCE
Slide 9: Who we are?
Who we are? SERVICE APARTMENTS Royal Orchid Suites Regenta Suites 4 STAR RESORT / HERITAGE • Royal Orchid Hotel Ltd (ROHL) was Royal Orchid Central Royal Orchid Resort Regenta Resort incorporated in 1986 under the name of Regenta Central Universal Resorts Ltd. • Promoted by Mr. Chander K Baljee 5 ST
Slide 10: Our Journey
Our Journey 95+ Hotels First Hotel 19 Hotels Across India Hotel Royal Orchid Across India 01 19 95+ 2001 2006-07 2012-13 2018-19 TODAY Corporate HQ 07 Hotels 07 40+ 40+ Hotels Across India
Slide 11: Our Presence
UOC OQunmeresence 95+ 5633+ | 160+ Hotels & Resorts in Luxury Rooms, Specialty & All day Dining 60+ Locations Villas & Premium Suites Restaurants 25+ Leisure Destinations 40+ Business Destinations 18+ Wedding Destinations ry
Slide 12: ROHL Vision
ROHL Vision Our Vision is to operate 100+ profitable and responsible hotels where guests love to stay, dine and celebrate. We wish to create hotels which have a soul, a reflection of our distinctly warm Indian Hospitality. In this journey towards 100 hotels, we will also empower the youth of our cou
Slide 13: Board of Directors
Non-Executive Directors Board of Directors Mr. Sunil Sikka Managing Partner of Houzz N Dezins a leading Floor covering sourcing solutions provider. Mr. Keshav Baljee Co-promoter of Royal Orchid Hotels Limited also founder of Spree Hotels, which is one of India's fastest growing and most loved mid- m
Slide 14: Management
> Management aS. a Mr. Philip Logan Chief Operating Officer (Coo) Over 25+ years exp in Operational Excellence with brands like Voyages Indigenous Australia, Sofitel Sydney & Other Accor Hotels. Mr. Perkin Rocha Sr. VP Operations (North) Over 25+ years experience with Lemon Tree Hotels & Duet Hotels
Slide 15: Hotelier India Hall of Fame 2021
hotelier > HALL OF >) FAME 2021 Mr. Chander Baljee, was inducted into HOTELIER INDIA’S CEO POWERLIST, 2021 “LIFETIME ACHIEVEMENT AWARD’ conferred by International Hospitality Council in Association with IIHM Bangalore, 2019
Slide 16: Awards
[/\WEIFCIS The group has bagged many awards including The National Tourism Award 2008-09 organized by the Ministry of Tourism, Top 50 Brands for 2014 and 2015 by Paul Writer and most recently, the following: Mr Chander Baljee was honored with Lifetime Achievement Award from SKAL INDIA Mr Chander Bal
Slide 17: Business Overview
Business Overview Our Business Structure Our Business Model Our Offerings Competitive Advantage
Slide 18: Our Business Structure
Our Business Structure Owned hotels By Business Leased Hotels Portfolio Managed & Franchised Hotels Royal Orchid Hotels Limited (ROHL) By Legal Entity Subsidiaries Companies
Slide 19: Our Business Model - Asset Light Model
Our Business Model -Asset Light Model Steadily gaining strong foothold through focus on Management contracts which will lead to high growth Facilitates expansion No upfront plans and ramping up requirement of presence 01 capex 05 Key 02 Creates brand Maintenance Capex factors required - Minimal visi
Slide 20: Segment Wise Occupancy, ARR & Keys
Segment Wise Occupancy, ARR & Keys No of Keys FY22-23 Q1 of FY23-24* Q2 of FY22-23 Q2 of FY23-24* Management / Franchisee Contracts 3,775 628 - 74 Leased 575 72 - - Owned (Domestic) 268 - - - Management (Overseas) - 55 - - JV 323 - - - Total KEYS 4,941 755 - 74 Average Occupancy (JLO) 77% 78% 75% 73
Slide 21: Portfolio
Revenue Model Operational as on Date Managed / Category Owned Leased JV Total Franchise Portfolio Asset 5 Star 268 - 139 - 407 4 Star 130 396 - 2147 2673 Service Apartment - 67 - 71 138 Resort/Heritage/MICE - 101 54 763 918 3 Star / Budget _ 83 - 1414 1497 Total Keys 398 647 193 4395 5633
Slide 22: Growth in rooms
Growth in rooms 2018-19 2019-20 2020-21 2021-22 2022-23 2023-24 % Growth 8000 + Signed + Signed + Signed + Signed + Signed + Signed Hotels Hotels Hotels Hotels Hotels Hotels 7000 6,898 6,478 6000 5,692 5,450 5,313 5,010 5000 4,763 4,358 3,980 3,980 4000 3,733 2,988 3000 2000 1000 7% 6% 7% 591 591 59
Slide 23: Upcoming Hotels
Upcoming Hotels SI No Hotel Name City / Location 1 Regenta Inn Nellore 2 Regenta Resort Sakleshpur 22+ 3 Regenta Resort Gulbarga 4 Regenta Inn Tezpur Assam 5 Regenta Central Puri-Orussa 6 Regenta Inn McLeod Ganj 7 8 9 Regenta Inn Regenta Place Regenta Inn Gurgaon, Sector 47 Panchkula,Haryana Raipur
Slide 24: Competitive Advantage
Competitive Advantage Balanced portfolio Strong sales presence Affordable luxury having having presence in across major source plethora of options for over 58 locations and markets in India modern travelers 11 states
Slide 25: Financial Overview
Financial Overview Quarterly & Half Year Consolidated Income Highlights and Margins Statement & Balance Shareholding Financial results Sheet snapshot
Slide 26: Standalone Quarter and H1 2023-24 highlights
₹ In Crore Standalone Quarter and H1 2023 -24 highlights Q2FY23-24 Q2FY22-23 50.00 45.50 40.12 40.00 Quarterly 30.00 20.00 14.02 13.30 6.63 8.02 4.94 5.92 10.00 - Total revenues EBITDA PBT PAT H1FY23-24 H1FY22-23 100.00 91.07 79.56 80.00 60.00 Half year Ended 40.00 27.69 27.84 12.79 17.25 12.80 20.0
Slide 27: Consolidated Quarter and H1 2023-24 highlights
₹ In Crore Consolidated Quarter and H1 2023 -24 highlights Q2FY23-24 Q2FY22-23 80.00 70.07 70.00 63.18 60.00 Quarterly 50.00 40.00 30.00 20.44 18.94 20.00 9.53 12.49 9.38 7.67 10.00 - Total revenues EBITDA PBT PAT H1FY23-24 H1FY22-23 200.00 143.79 150.00 126.62 Half year Ended 100.00 41.86 44.47 50.
Slide 28: Standalone & Consolidated Cash Profit H1 2023-24
Standalone & Consolidated Cash Profit H1 of 2023-24 ₹ In Crore H1FY23-24 H1FY22-23 35.00 30.74 30.00 29.35 25.00 19.44 18.88 20.00 15.00 10.00 5.00 - Standalone Consolidated *Cash Profit *Effect of INDAS has been removed in computation of cash profit.
Slide 29: Major reasons for increase in expenses at Consolidated level
Major reasons for increased in expenses at Consolidated level Impact on EBITDA (Rs 274 lakhs) Particulars Amounts (Rs Lakhs) Higher commission for facilitation fee for management agreement for Sri Lanka property 41 Increase in employee cost due to revision in minimum wage rate 95 Increase in power a
Slide 30: Revenue Breakup including Associate
₹ In Crore Revenue Breakup including Associate Standalone Consolidated Q2FY23-24 Q2FY22-23 Q2FY23-24 Q2FY22-23 45.00 30.00 40.00 38.71 25.29 35.81 25.00 35.00 22.37 30.00 20.00 25.48 25.00 15.35 21.06 15.00 12.37 20.00 15.00 10.00 10.00 6.36 5.00 4.75 2.53 2.02 5.00 2.33 1.77 1.34 0.81 - - Room nigh
Slide 31: Consolidated Revenue Breakup - Segment Wise
₹ In Crore Consolidated Revenue Breakup including Associate - Segment Wise Q2FY23-24 Q2FY22-23 30.00 27.43 25.00 20.49 20.17 19.79 20.00 18.91 18.36 15.00 10.00 6.36 4.75 5.00 - Owned Lease / Revenue Share Joint Venture/ Associate Managed hotels
Slide 32: Consolidated H1FY2023-24 Statement - Snapshot
Rs. In Crore Consolidated H1FY2023-24 Statement - Snapshot Particulars Q2FY23-24 Q1FY23-24 Q2FY22-23 H1FY23-24 H1FY22-23 - Room nights 35.10 35.70 32.36 70.79 64.82 - Food and beverages 22.97 24.01 19.34 46.98 39.81 - Other services 8.53 9.18 6.36 17.71 13.87 Income from Operations 66.60 68.89 58.06
Slide 33: Standalone H1FY2023-24 Financial Results
Rs. In Crore Standalone H1FY2023-24 Financial Results Particulars Q2FY23-24 Q1FY23-24 Q2FY22-23 H1FY23-24 H1FY22-23 - Room nights 25.29 24.41 22.37 49.70 44.27 - Food and beverages 15.35 16.00 12.37 25.33 25.33 - Other services 3.87 4.20 2.83 6.04 6.04 Income from Operations 44.51 44.61 37.56 89.12
Slide 34: Consolidated Assets & Liabilities - Snapshot
Rs. In Crore Consolidated Assets & Liabilities - Snapshot Particulars As at 30th Sept 2023 As at 31st March 2023 Assets Property, plant and equipment 114.91 114.91 Capital work-in-progress 0.39 0.75 Goodwill 101.51 73.20 Right-of-use assets 17.64 17.64 Other intangible assets 0.06 0.06 Other non-cur
Slide 35: Shareholding Pattern Q2 2023-24
Shareholding Pattern Q2 – 2023-24 4.18% Promoter 63.60% 32.22% Foreign Portfolio Investors 4.18% Others 32.22% 63.60% Total 100% Foreign Portfolio Investors Others Promoters
Slide 36: Our Holiday Destinations
Our Holiday Destinations Goa + Bangalore * Mysore Hampi + Belagavi « Nashik Bharatpur « Bhuj Jaipur Lonavala + Mahabaleshwar Mussoorie * Manali » Pushkar Ranthambore « Srinagar Rishikesh + Shimla » Haridwar Udaipur
Slide 37: Our Wedding Destinations
Our Wedding Destinations Goa « Bangalore Ranthambore « Jaipur Mussoorie » Mahabaleshwar Nagpur - Pushkar Bharatpur + Bhuj Sri Lanka Complimentary Honeymoon Package & Bridal Suite
Slide 38: Our Business Destinations
Our Business Destinations Ahmedabad * Bangalore Bharuch * Chandigarh * Chennai Dahej + Indore + Jaipur + Kolkata Kanpur « Ludhiana * Mysore Noida * Navi Mumbai « Nashik Nagpur + Pune « Rajkot - Shimoga * Vadodara * Vapi
Slide 39: Our Wildlife Destinations
Our Wildlife Destinations Ranthambore Pench National Park Kabini
Slide 40: Contact
CONTACT Royal Orchid Hotels Ltd., KAPTIFY Consulting Mr. Chander Baljee Investor Relations / Consulting Chairman & Managing Director T: +91 8452886099 E: contact@kaptify.in W: www.kaptify.in Mr. Amit Jaiswal Chief Financial Officer M: +91 99020 00110 E: cfo@royalorchidhotels.com W: www.royalorchidho
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