Indian Hotels Co. Ltd. · NSE:INDHOTEL
Indian Hotels — The Indian Hotels Company — H1 FY2008 Earnings Presentation
24 slides from Indian Hotels's earnings presentation, Oct 26, 2007
Slide 1: Analyst Meet: Results for the Half Year ended September 30, 2007
The Indian Hotels Company Limited Analyst Meet Results for the Half Year ended September 30, 2007 October 26, 2007 1
Slide 2: Presenter Panel
Presenter Panel Raymond Bickson - Managing Director Anil P Goel – Chief Financial Officer Ajoy Misra - Senior Vice President, Sales & Marketing 2
Slide 3: Outline of Presentation
Outline of Presentation Industry trends Financial performance – Quarter ended September 2007 – Half Year ended September 2007 Overview of Taj Group Strategic Investment Questions and Answers 3
Slide 4: Industry Trends
Industry Trends 4
Slide 5: Foreign Tourist Arrival - January to September
Foreign Tourist Arrival - January to September Foreign Tourist Arrivals 12% 3.5m 15% 3.1m 2.7m 2005 2006 2007 Source: Department of Tourism • Continued buoyancy in foreign tourist arrivals in Year 2007 • Stable domestic demand for rooms was witnessed during off season 5
Slide 6: City Occupancies – April to September
City Occupancies – April to September 75 74 73 73 71 70 70 70 69 68 65 63 63 63 62 61 South North Delhi Bangalore Chennai Hyderabad Kolkata Goa Mumbai Mumbai FY08 FY07 Source: Internal Survey Despite new supply in several markets , over all demand for rooms increased 6
Slide 7: City ARRs – April to September
City ARRs – April to September 11425 11539 10382 10339 9962 8269 8464 7780 7513 7763 7251 6120 6164 5351 4625 4435 South North Delhi Bangalore Chennai Hyderabad Kolkata Goa Mumbai Mumbai FY08 FY07 Source: Internal Survey ARR grew across major metro cities in the range of 15% to 30% 7
Slide 8: City RevPARs – April to September
City RevPARs – April to September 8379 7788 7401 6856 6378 5924 5531 5636 5199 5140 4555 4558 4276 3243 3390 2750 South North Delhi Bangalore Chennai Hyderabad Kolkata Goa Mumbai Mumbai FY08 FY07 Source: Internal Survey Thus, RevPAR grew in the range of 20% to 40% 8
Slide 9: Financial Performance
Financial Performance 9
Slide 10: Highlights – Quarter ended September 30, 2007
Highlights – Quarter ended September 30, 2007 Turnover at Rs.367 crores – an increase of 14% EBITDA at Rs.124 crores - higher by 25% PBT at Rs.78 crores - higher by 26% PAT at Rs.53 crores – increase of 16% 10
Slide 11: Financial Results – Quarter ended September 30, 2007
Financial Results – Quarter ended September 30,2007 Rs. Crores 2007/08 2006/07 % Change Sales & Other Operating Income 341.40 294.95 16 Other Income 25.21 26.30 (4) Total Income 366.61 321.25 14 Consumption of Raw Material 26.71 25.36 5 Staff Cost 72.99 64.51 13 License Fees 19.84 19.55 1 Fuel, Powe
Slide 12: Highlights – For Half Year ended September 30, 2007
Highlights – For Half Year ended September 30, 2007 Turnover of Rs.731 crores - up by 18% EBITDA of Rs.252 crores - up by 27% PBT of Rs.161 crores – up by 33% PAT of Rs.108 crores – up by 27% EPS higher at Rs. 1.79 CY vs Rs. 1.42 PY 12
Slide 13: Turnover Trend
Turnover Trend 731.0 621.0 Rs. Crores 433.2 366.6 321.3 226.1 Quarter 2 Half Year FY06 FY07 FY08 Half year growth - 18% over last year Quarter 2 growth – 14% over last year 13
Slide 14: EBITDA Trend
EBITDA Trend 251.6 198.0 Rs. Crores 124.1 99.3 103.3 56.7 Quarter 2 Half Year FY06 FY07 FY08 Half year growth - 27% over last year Quarter 2 growth – 25% over last year 14
Slide 15: Financial Results – For the Period ended September 30, 2007
Financial Results – For the Period ended September 30, 2007 Rs. Crores 2007/08 2006/07 % Change Sales & Other Operating Income 687.90 584.30 18 Other Income 43.11 36.69 17 Total Income 731.01 620.99 18 Consumption of Raw Material 55.10 50.75 9 Staff Cost 144.39 126.69 14 License Fees 38.19 36.88 4 F
Slide 16: Financial Results – Room Sales and F&B
Financial Results – For the Period ended September 30, 2007 Rs. Crores 2007/08 2006/07 % Change Room sales 363.30 305.39 19 F&B Sales 238.41 208.20 15 Other operating income 86.19 70.71 22 Non Operating Income 43.11 36.69 17 Sales & Other Operating Income 731.01 620.99 17 Room Sales driven by 18% hi
Slide 17: ARR & Occupancy
ARR & Occupancy Occupancy (%) ARR (Rs) RevPAR (Rs) 2007/08 2006/07 2007/08 2006/07 2007/08 2006/07 Change Half year 68% 67% 8,581 7,289 5,818 4,887 19% 17
Slide 18: Expenditure
Expenditure Gross Profit Margin - 34% ( Last year – 32%) Staff cost increases capped at 14% over last year Increase in Other Expenses on account of higher A&P spends, increased variable operating costs and a one off provision for an infructuous projects. High Interest costs on account of full utiliz
Slide 19: The Taj Group - Overview
The Taj Group - Overview 19
Slide 20: Overview of Taj Group
Overview of Taj Group Particulars H1 2007/08 H1 2006/07 H1 2005/06 No. Of Hotels (as on date) 84 76 67 Inventory (as on date) 10216 9182 8219 Total Income – Rs crores 1853 1584 1180 Total Revenue grew by 17% over previous year 20
Slide 21: New Properties
New Properties 23 properties added by Taj Group in last 5 years 2002 & 2003 2004 2005 2006 2007 Taj Lands End Taj Exotica, The Pierre, Blue, Sydney Ginger, Pune Taj Boston, Mauritius New York Boston 368 Rooms 100 Rooms 101 Rooms 65 Rooms 201 Rooms 273 Rooms Usha Kiran, Taj Langkawi Ginger, Gwalior W
Slide 22: Strategic Investment
Strategic Investment Acquisition of 11.01% of Common Stock A of Orient-Express Hotels Limited, a company listed on the NYSE Investment made through Samsara Properties Limited – a 100% overseas subsidiary of IHCL Investment Cost – US$ 232.90 million 22
Slide 23: IHCL Stock Performance
IHCL Stock Performance IHCL SENSEX 23
Slide 24: Thank you
Thank you 24
The Indian Hotels Company — H1 FY2008 Earnings Presentation on 6ix