Lemon Tree Hotels Ltd. · NSE:LEMONTREE
Lemon Tree Hotels — Q2 FY25 Earnings Presentation
42 slides from Lemon Tree Hotels's earnings presentation, Nov 14, 2024
Slide 1: Cover letter to stock exchanges
November 14, 2024 National Stock Exchange of India Limited BSE Limited Exchange Plaza, C-1, Block G Phiroze Jeejeebhoy Towers Bandra Kurla Complex Dalal Street, Bandra (E), Mumbai – 400051 Mumbai – 400001 NSE Scrip Symbol: LEMONTREE BSE Scrip Code: 541233 Subject: Investor Presentation – For Q2 & H1
Slide 2: Lemon Tree Hotels Limited Q2 FY25 Earnings Presentation
14-November-2024 Q2 FY25 Earnings Presentation 1 Lemon Tree Hotels Limited Q2 FY25 Earnings Presentation | 14th November 2024 Aurika, Mumbai SkyCity
Slide 3: Disclaimer
14-November-2024 Q2 FY25 Earnings Presentation 2 Disclaimer Certain statements in this communication may be ‘forward looking statements’ within the meaning of applicable laws and regulations. These forward-looking statements involve a number of risks, uncertainties and other factors that could cause
Slide 4: We Are Everywhere
14-November-2024 Q2 FY25 Earnings Presentation 3 WE ARE EVERYWHERE
Slide 5: Chairman & Managing Director's Message
Q2 FY25 Earnings Presentation 14-November-2024 4 Chairman & Managing Director’s Message Commenting on the performance for Q2 FY25, Mr. Patanjali Keswani, Chairman & Managing Director – Lemon Tree Hotels Limited said, “Lemon Tree recorded its highest ever 2nd quarter revenue this year. At Rs. 284.8 C
Slide 6: Q2 FY25 performance across key financial metrics
14-November-2024 Q2 FY25 Earnings Presentation 5 Q2 FY25 performance across key financial metrics Q2 FY25 performance snapshot vs Q2 FY24 (YoY change) Total Revenue EBITDA EBITDA % Rs. 284.8 Cr Rs. 131.2 Cr 46.1% Up 24% Up 25% Up 53 bps PAT Cash Profit# Cost of Debt % Rs. 35.0 Cr Rs. 69.8 Cr 8.68%*
Slide 7: Q2 FY25 Performance Highlights – Operational Metrics (Consolidated)
14-November-2024 Q2 FY25 Earnings Presentation 6 Q2 FY25 Performance Highlights – Operational Metrics (Consolidated) Inventory Average Room Rate (Rs.) Owned/Leased rooms Managed/Franchised Total rooms 4% rooms QoQ 18% 12% YoY 10,318 YoY 5,902 5,686 5,902 13% 8,760 5,262 YoY 24% YoY 5,759 5,090 4,559
Slide 8: Q2 FY25 Performance Highlights – Financial Metrics (Consolidated)
14-November-2024 Q2 FY25 Earnings Presentation 7 Q2 FY25 Performance Highlights – Financial Metrics (Consolidated) Revenue from Operations (Rs. Cr) Net EBITDA (Rs. Cr) 25% 15% 24% 6% 131.2 131.2 YoY QoQ YoY QoQ 284.4 284.4 115.4 268.0 104.8 229.4 Q2 FY24 Q2 FY25 Q1 FY25 Q2 FY25 Q2 FY24 Q2 FY25 Q1 FY
Slide 9: Q-o-Q performance of FY25, FY24 and FY23
14-November-2024 Q2 FY25 Earnings Presentation 8 Q-o-Q performance of FY25, FY24 and FY23 Particulars Q2 FY25 Q1 FY25 Q4 FY24 Q3 FY24 Q2 FY24 Q1 FY24 Q4 FY23 Q3 FY23 Q2 FY23 Q1 FY23 Gross ARR (Rs.) 5,902 5,686 6,605 6,333 5,268 5,237 5,824 5,738 4,917 4,822 Occupancy % 68.4% 66.6% 72.0% 65.9% 71.7%
Slide 10: Total Management Fees | Q2 FY25 vs Q2 FY24
14-November-2024 Q2 FY25 Earnings Presentation 9 Total Management Fees | Q2 FY25 vs Q2 FY24 31.8 24.0 18.4 13.4 + 13.6 = 10.4 Management / Franchise fees from 3rd Management Fees from Fleur Hotels Total Management Fees party hotels Q2 FY25 Q2 FY24 Fees to Lemon Tree Hotels (Rs. Cr) Q2 FY25 Q2 FY24 %
Slide 11: Total Management Fees | H1 FY25 vs H1 FY24
14-November-2024 Q2 FY25 Earnings Presentation 10 Total Management Fees | H1 FY25 vs H1 FY24 60.8 47.9 35.0 25.9 + 27.1 = 20.8 Management / Franchise fees from 3rd Management Fees from Fleur Hotels Total Management Fees party hotels H1 FY25 H1 FY24 Fees to Lemon Tree Hotels (Rs. Cr) H1 FY25 H1 FY24
Slide 12: Market Segments: Q2 FY25 vs Q2 FY24
14-November-2024 Q2 FY25 Earnings Presentation 11 Market Segments: Q2 FY25 vs Q2 FY24 (with Aurika, Mumbai SkyCity) Market Segments Room Nights Sold – Q2 FY25 vs Q2 FY24 41% 39% 45 % 33% 34% 40 % 35 % 30 % 25 % 20 % 8% 15 % 10 % 7% 6% 7% 6% 7% 6% 6% 5% 0% Corporate Airline Travel Trade OTA LT.com Ot
Slide 13: Q2 FY25 Apple-to-Apple performance metrics with routine renovation expenses
14-November-2024 Q2 FY25 Earnings Presentation 12 Q2 FY25 Apple-to-Apple performance metrics with the routine renovation expenses Current Year Last Year Q2 FY25 Q2 FY25 Q2 FY24 (Renovation (As reported) same as LY) (As reported) Total Revenue 284.8 284.8 230.1 Expenses with out 140.6 140.6 120.3 ren
Slide 14: Q2 FY25 Operational Performance by Brands & Region
14-November-2024 Q2 FY25 Earnings Presentation 13 Q2 FY25 Operational Performance by Brands & Region (including Aurika, Mumbai SkyCity) Hotel level Average Daily Rate Hotel level EBITDAR Parameters RevPAR (Rs.) Occupancy Rate (%) EBITDAR/room/qtr. (Rs.) Margin %** (Rs. Lacs)** Q2 Q2 Change Q2 Q2 Cha
Slide 15: Consolidated P&L: Q2 FY25 vs Q2 FY24
14-November-2024 Q2 FY25 Earnings Presentation 14 Consolidated P&L: Q2 FY25 vs Q2 FY24 Q2 FY25 Consolidated P&L Waterfall – Revenue to Cash Profit (Rs. Cr) Q2 FY25 vs Q2 FY24: Change in Consolidated P&L items to explain delta (Rs. Cr) Incremental (for revenue) / Delta (for expenses) Cash Profit = PA
Slide 16: Consolidated P&L: H1 FY25 vs H1 FY24
14-November-2024 Q2 FY25 Earnings Presentation 15 Consolidated P&L: H1 FY25 vs H1 FY24 H1 FY25 Consolidated P&L Waterfall – Revenue to Cash Profit (Rs. Cr) H1 FY25 vs H1 FY24: Change in Consolidated P&L items to explain delta (Rs. Cr) Incremental (for revenue) / Delta (for expenses) Cash Profit = PA
Slide 17: Cost Structure: Q2 FY25 vs Q2 FY24
14-November-2024 Q2 FY25 Earnings Presentation 16 Cost Structure: Q2 FY25 vs Q2 FY24 * Expenses as a percentage of total revenue Down 53 bps 53.9% 54.5% Up 54 bps Down 106 bps 20.1% 20.9% 20.3% 19.1% Down 31 bps Up 29 bps 8.0% 8.3% 6.0% 5.7% Payroll expenses* F&B/Raw Material expenses* Power & Fuel
Slide 18: Lemon Tree Consolidated Profit & Loss Statement – Q2 FY25
14-November-2024 Q2 FY25 Earnings Presentation 17 Lemon Tree Consolidated Profit & Loss Statement – Q2 FY25 Q2 FY25 vs Q2 FY25 vs Rs. Cr Q2 FY25 Q1 FY25 Q2 FY24 Q1 FY25 Q2 FY24 Change (%) Change (%) Revenue from operations 284.4 268.0 229.4 6% 24% Other income 0.5 0.4 0.7 34% -34% Total revenue 284.
Slide 19: Lemon Tree Consolidated Profit & Loss Statement Breakup
14-November-2024 Q2 FY25 Earnings Presentation 18 Lemon Tree Consolidated Profit & Loss Statement Breakup Lemon Tree Consolidated Keys Hotels Lemon Tree Consolidated excluding Keys Hotels Rs. Cr Q2 Q1 Q2 QoQ YoY Q2 Q1 Q2 QoQ YoY Q2 Q1 Q2 QoQ YoY FY25 FY25 FY24 Change Change FY25 FY25 FY24 Change Cha
Slide 20: Discussion on Consolidated Financial & Operational Performance – Q2 FY25
14-November-2024 Q2 FY25 Earnings Presentation 19 Discussion on Consolidated Financial & Operational Performance – Q2 FY25 ❖ Revenue from operations stood at Rs. 284.4 Cr in Q2 FY25 which was up 6.1% from Rs. 268.0 Cr in Q1 FY25 and was up 24.0% as compared to Rs. 229.4 Cr in Q2 FY24 ❖ Gross ARR sto
Slide 21: Lemon Tree Consolidated Profit & Loss Statement – H1 FY25
14-November-2024 Q2 FY25 Earnings Presentation 20 Lemon Tree Consolidated Profit & Loss Statement – H1 FY25 H1 FY25 vs Rs. Cr H1 FY25 H1 FY24 H1 FY24 Change Revenue from operations 552.4 453.6 22% Other income 0.8 1.1 -24% Total Income 553.2 454.7 22% Total expenses 306.6 243.1 26% Net EBITDA 246.6
Slide 22: Lemon Tree Consolidated Balance Sheet – H1 FY25
14-November-2024 Q2 FY25 Earnings Presentation 21 Lemon Tree Consolidated Balance Sheet – H1 FY25 H1 FY25 vs Rs. Cr H1 FY25 H1 FY24 H1 FY24 Change Shareholder's Funds 1,016.3 864.4 18% Non-controlling interests 585.2 554.2 6% Total Shareholder’s equity 1,601.5 1,418.7 13% Total Debt 1,822.6 1,912.6
Slide 23: Lemon Tree Hotel Network Revenue – Q2 FY25 vs Q2 FY24
14-November-2024 Q2 FY25 Earnings Presentation 22 Lemon Tree Hotel Network Revenue – Q2 FY25 vs Q2 FY24 Total et or e e ue ed otels a a ed a d ra hised otels Total et or e e ue Hotel Network Revenue Q2 FY25 vs Q2 FY24 Change Q2 FY25 Q2 FY24 (Rs. Cr) (%) Owned Hotels 271.8 219.7 24% Managed and Franc
Slide 24: Lemon Tree Hotel Network Revenue – H1 FY25 vs H1 FY24
14-November-2024 Q2 FY25 Earnings Presentation 23 Lemon Tree Hotel Network Revenue – H1 FY25 vs H1 FY24 Total et or e e ue ed otels a a ed a d ra hised otels Total et or e e ue Hotel Network Revenue H1 FY25 vs H1 FY24 Change H1 FY25 H1 FY24 (Rs. Cr) (%) Owned Hotels 527.3 433.8 22% Managed and Franc
Slide 25: Expansion Plans – Hotels under Development
14-November-2024 Q2 FY25 Earnings Presentation 24 Expansion Plans – Hotels under Development Under-development hotels Type Rooms Expected Opening date Ownership (%) Lemon Tree Mountain Resort, Shimla Owned 69 TBD 100.00% Total capital deployed/capital expenditure already incurred (i.e. CWIP + Land
Slide 26: Hotels opened in Q2 FY25 (managed & franchised contracts)
14-November-2024 Q2 FY25 Earnings Presentation 25 Hotels opened in Q2 FY25 (managed & franchised contracts) Hotels opened in Q2 FY25 # Hotels States Rooms Opening Months 1 Lemon Tree Hotel, Jamshedpur Jharkhand 42 Jul-24 2 Lemon Tree Resort, Somnath (Franchised) Gujarat 52 Aug-24 3 Lemon Tree Premie
Slide 27: Hotels signed in Q2 FY25 (managed & franchised contracts)
14-November-2024 Q2 FY25 Earnings Presentation 26 Hotels signed in Q2 FY25 (managed & franchised contracts) New hotels signed in Q2 FY25 # Hotels States Rooms Opening Years 1 Keys Prima by Lemon Tree Hotels, Kota Rajasthan 58 FY25 2 Lemon Tree Hotel, Arpora Goa 57 FY26 3 Keys Lite by Lemon Tree Hote
Slide 28: Expected opening of inventory in pipeline of managed & franchised contracts
14-November-2024 Q2 FY25 Earnings Presentation 27 Expected opening of inventory in pipeline of managed & franchised contracts (as of 30th September 2024) To be Total FY25 Brands FY26 FY27 FY28 FY29 FY30 announced Rooms (Q3 & Q4) (TBA) (Hotels) Aurika Hotels & 132 82 175 110 499 - - - Resorts (1) (1)
Slide 29: Expansion Plans – Pipeline of managed & franchised contracts (1 of 3)
14-November-2024 Q2 FY25 Earnings Presentation 28 Expansion Plans – Pipeline of managed & franchised contracts by opening (1 of 3) # Hotels Pipeline States Rooms Expected Opening 1 The Spectrum, operated by Lemon Tree Hotels, Gurugram Haryana 260 FY25 2 Lemon Tree Premier, Biratnagar Nepal 80 FY25 3
Slide 30: Expansion Plans – Pipeline of managed & franchised contracts (2 of 3)
14-November-2024 Q2 FY25 Earnings Presentation 29 Expansion Plans – Pipeline of managed & franchised contracts by opening (2 of 3) # Hotels Pipeline States Rooms Expected Opening 26 Keys Select by Lemon Tree Hotels, Vadodara (Franchised) Gujarat 45 FY26 27 Lemon Tree Hotel, Kharar Punjab 60 FY26 28
Slide 31: Expansion Plans – Pipeline of managed & franchised contracts (3 of 3)
14-November-2024 Q2 FY25 Earnings Presentation 30 Expansion Plans – Pipeline of managed & franchised contracts by opening (3 of 3) # Hotels Pipeline States Rooms Expected Opening 51 Keys Select by Lemon Tree Hotels, Srinagar J&K 40 FY26 52 Lemon Tree Hotel, Sasan Gir Gujarat 74 FY26 53 Lemon Tree Ho
Slide 32: Lemon Tree – Snapshot as on 30th September 2024
14-November-2024 Q2 FY25 Earnings Presentation 31 Lemon Tree – Snapshot as on 30th September 2024 Operational Pipeline Operational + Pipeline Group 10,318 rooms; 5,220 rooms; 15,538 rooms; 112 hotels 75 hotels 187 hotels Brand Current Pipeline Operational + Pipeline Aurika Hotels & Resorts 863 Rooms
Slide 33: Portfolio Breakup as on 30th September 2024 - Operational
14-November-2024 Q2 FY25 Earnings Presentation 32 Portfolio Breakup as on 30th September 2024 - Operational Owned (incl. on leased Operational Portfolio Leased Managed/ Franchised Total land) Hotels Rooms Hotels Rooms Hotels Rooms Hotels Rooms Aurika Hotels & Resorts 2 808 0 0 1 55 3 863 Lemon Tree
Slide 34: Portfolio Breakup as on 30th September 2024 - Pipeline
14-November-2024 Q2 FY25 Earnings Presentation 33 Portfolio Breakup as on 30th September 2024 - Pipeline Owned (incl. on leased Pipeline Portfolio Leased Managed/ Franchised Total land) Hotels Rooms Hotels Rooms Hotels Rooms Hotels Rooms Aurika Hotels & Resorts 0 0 0 0 4 499 4 499 Lemon Tree Premier
Slide 35: Annexure
14-November-2024 Q2 FY25 Earnings Presentation 34 Annexure
Slide 36: Lemon Tree Mountain Resort, Shimla | Representation
14-November-2024 Q2 FY25 Earnings Presentation 35 Lemon Tree Mountain Resort, Shimla | Representation
Slide 37: Lemon Tree Mountain Resort, Shimla | Current
14-November-2024 Q2 FY25 Earnings Presentation 36 Lemon Tree Mountain Resort, Shimla | Current
Slide 38: Lemon Tree Mountain Resort, Shimla | Current
14-November-2024 Q2 FY25 Earnings Presentation 37 Lemon Tree Mountain Resort, Shimla | Current
Slide 39: Lemon Tree Mountain Resort, Shimla | Current
14-November-2024 Q2 FY25 Earnings Presentation 38 Lemon Tree Mountain Resort, Shimla | Current
Slide 40: ESG | Highlights of FY24 initiatives
14-November-2024 Q2 FY25 Earnings Presentation 39 ESG | Highlights of FY24 initiatives Energy Renewable energy Green building Diversity and inclusion 15% 6.93% 50% 10.75% 100% 29.27% 30% 16.96% Reduction in Reduction in Renewable energy Renewable energy Certified Green Certified Green ODIs1 in the O
Slide 41: Conference Call Details
14-November-2024 Q2 FY25 Earnings Presentation 40 Conference Call Details Timing 4:00 PM IST, Monday, November 18, 2024 Conference dial-in Primary number +91 22 6280 1141 / +91 22 7115 8042 Singapore Toll Free Number 800 101 2045 Hong Kong Toll Free Number 800 964 448 USA Toll Free Number 1 866 746
Slide 42: About Lemon Tree Hotels
14-November-2024 Q2 FY25 Earnings Presentation 41 About Lemon Tree Hotels Lemon Tree Hotels Limited (LTHL) is one of the largest hotel chains in India, and owns/leases/operates/franchises hotels across the upscale, upper-midscale, midscale and economy segments. LTHL delivers differentiated yet super