Indian Hotels Co. Ltd. · NSE:INDHOTEL

Indian Hotels — The Indian Hotels Company — FY2007 Earnings Presentation

40 slides from Indian Hotels's earnings presentation, Jun 20, 2007

  1. Slide 1: Analyst Meet: Results for the Year ended March 31, 2007

    The Indian Hotels Company Limited Analyst Meet Results for the Year ended March 31, 2007 June 20, 2007 1

  2. Slide 2: Presenter Panel

    Presenter Panel Anil P Goel – Chief Financial Officer Ajoy Misra - Senior Vice President, Sales & Marketing 2

  3. Slide 3: Outline of Presentation

    Outline of Presentation ƒ Industry trends ƒ Financial performance – 2006/07 ƒ Consolidated financial performance – 2006/07 ƒ Overview of Taj Group ƒ New Properties ƒ Expansion Plan ƒ Key Highlights ƒ Questions and answers 3

  4. Slide 4: Industry Trends

    Industry Trends 4

  5. Slide 5: Foreign Tourist Arrival - April to March

    Foreign Tourist Arrival - April to March Foreign Tourist Arrivals 15% 11% 4.6m 4.0m 3.6m 2004/05 2005/06 2006/07 Source: CRIS INFAC( April 2006/2007) • Continued buoyancy in foreign tourist arrivals in Financial Year 2007 • Domestic Air Travel grew at 20% over previous year 5

  6. Slide 6: City Occupancies – April to March

    City Occupancies – April to March 81 80 78 76 77 75 75 74 75 74 73 69 69 67 67 66 South North Delhi Bangalore Chennai Hyderabad Kolkata Goa Mumbai Mumbai FY07 FY06 Source: Internal Survey New Supply -323 rooms in Delhi, 350 rooms in Bangalore, 518 rooms in Chennai & 456 rooms in Hyderabad. However ,

  7. Slide 7: City ARRs – April to March

    City ARRs – April to March 12659 10829 10868 10249 9580 7897 7536 6875 6976 6948 6678 5644 5739 5745 5167 4192 South North Delhi Bangalore Chennai Hyderabad Kolkata Goa Mumbai Mumbai FY07 FY06 Source: Internal Survey ARR grew across major metro cities in the range of 15% to 44% in spite of increased

  8. Slide 8: City RevPARs – April to March

    City RevPARs – April to March 9465 8490 8166 7077 7274 6300 5086 5055 4879 4651 4588 4826 4289 3988 3809 3110 South North Delhi Bangalore Chennai Hyderabad Kolkata Goa Mumbai Mumbai FY07 FY06 Source: Internal Survey Thus, RevPAR grew in the range of 30% to 49% 8

  9. Slide 9: Financial Performance, Year ended March 31, 2007

    Financial Performance Year ended March 31, 2007 9

  10. Slide 10: Highlights – For the Year ended March 31, 2007

    Highlights – For the Year ended March 31, 2007 Turnover of Rs.1619 crores - up by 40% EBITDA of Rs.638 crores - up by 78% PBT of Rs.475 crores – up by 75% PAT of Rs. 322 crores – up by 75% EPS higher at Rs.5.35 CY vs Rs.3.15 PY 10

  11. Slide 11: Turnover Trend

    Turnover Trend 1618.7 1154.8 Rs. Crores 873.2 538.9 371.4 271.4 Quarter 4 Full Year FY05 FY06 FY07 Full year growth - 40% over last year Quarter 4 growth – 45% over last year 11

  12. Slide 12: EBITDA Trend

    EBITDA Trend Rs. Crores 637.9 358.3 245.8 207.3 139.6 74.0 Quarter 4 Full Year FY05 FY06 FY07 Full year growth - 78% over last year Quarter 4 growth – 76% over last year 12

  13. Slide 13: Financial Results – For year ended March 31, 2007

    Financial Results – For year ended March 31, 2007 Rs. Crores 2006/07 2005/06 % Change Sales & Other Operating Income 1544.51 1116.15 38 Other Income 74.20 38.65 92 Total Income 1618.71 1154.80 40 Consumption of Raw Material 120.68 93.22 29 Staff Cost 278.23 220.31 26 License Fees 98.48 111.66 (12) F

  14. Slide 14: Financial Results – Revenue Breakdown

    Financial Results – For Year ended March 31, 2007 Rs. Crores 2006/07 2005/06 % Change Room sales 845.10 563.44 50 F&B Sales 521.20 406.60 28 Other operating income 178.21 146.11 22 Other Non operating income 74.20 38.65 92 Sales & Other Operating Income 1618.71 1154.80 40 Sales driven by 28% higher

  15. Slide 15: ARR & Occupancy

    ARR & Occupancy Occupancy (%) ARR (Rs) RevPAR (Rs) 2006/07 2005/06 2006/07 2005/06 2006/07 2005/06 Change Q1 67% 65% 7,160 5,576 4,819 3,603 34% Q2 66% 64% 7,401 5,639 4,861 3,636 34% Q3 75% 74% 10,674 8,150 8,048 6,011 34% Q4 83% 79% 11,082 8,888 9,194 7,017 31% Full year 73% 70% 9,234 7,186 6,723

  16. Slide 16: Balance Sheet Review – 2006/07

    Balance Sheet Review – 2006/07 Rs. Crores As on March 31, 2007 As on March 31, 2006 Sources of Funds Share Capital 60.29 58.41 Reserves & Surplus 1738.39 1657.83 Loan Funds 943.94 544.34 Trade Deposits 15.28 36.38 Deferred Tax Liability 135.40 80.05 Total 2893.30 2374.38 Application of Funds Fixed A

  17. Slide 17: Key Financial Parameters – 2006/07

    Key Financial Paramaters – 2006/07 Particulars As on March 31, 2007 As on March 31, 2006 Debt Equity Ratio 0 : 52 0 : 32 Return on Capital Employed 13.7% 8.7% EBITDA Margin 39.1% 29.6% Net Profit Margin 19.9% 15.9% Return on Net Worth 17.9% 10.7% 17

  18. Slide 18: Highlights – Quarter ended March 31, 2007

    Highlights – Quarter ended March 31, 2007 Turnover at Rs.539 crores – an increase of 45% EBITDA at Rs.246 crores - higher by 76% PBT at Rs.198 crores - higher by Rs 81 crores, + 69% PAT at Rs.135 crores – increase of 71% 18

  19. Slide 19: Financial Results – Quarter ended March 31, 2007

    Financial Results – Quarter ended March 31, 2007 Rs. Crores 2006/07 2005/06 % Change Sales & Other Operating Income 505.16 363.06 39 Other Income 33.71 8.36 303 Total Income 538.87 371.42 45 Consumption of Raw Material 35.44 27.06 31 Staff Cost 73.93 63.26 17 License Fees 31.81 37.86 (16) Fuel, Powe

  20. Slide 20: Dividends

    Dividends The Board of Directors recommended a dividend of 160% (previous year 130%) for the year 2006/07 20

  21. Slide 21: Consolidated Financial Performance, Year ended March 31, 2007

    Consolidated Financial Performance Year ended March 31, 2007 21

  22. Slide 22: Consolidated Financial Results Highlights

    Consolidated Financial Results For year ended March 31, 2007 Turnover of Rs.2666 crores – up by 39% EBITDA of Rs.870 crores - up by 49% PBT of Rs.587 crores – up by 66% PAT of Rs.370 – up by 49% EPS higher at Rs. 6.14 CY vs Rs.4.26 PY 22

  23. Slide 23: Consolidated Financial Results – Year ended March 31, 2007

    Financial Results For year ended March 31, 2007 Rs. Crores 2006/07 2005/06 % Change Sales & Other Operating Income 2,511.48 1,837.31 37 Other Income 100.30 37.42 168 Share of Profit in Associates 54.09 39.45 37 Total Income 2,665.87 1,914.18 39 Consumption of Raw Material 253.76 184.19 38 Staff Cost

  24. Slide 24: Consolidated Balance Sheet Review – 2006/07

    Consolidated Balance Sheet Review – 2006/07 Rs. Crores As on March 31, 2007 As on March 31, 2006 Sources of Funds Share Capital 60.29 58.41 Reserves & Surplus 2040.13 1876.80 Minority Interest 275.63 239.86 Loan Funds 2060.30 1500.95 Trade Deposits 15.27 33.38 Deferred Tax Liability 146.60 71.93 Tot

  25. Slide 25: The Taj Group - Overview

    The Taj Group - Overview 25

  26. Slide 26: Overview of Taj Group

    Overview of Taj Group Particulars 2006/07 2005/06 2004/05 No. Of Hotels 81 76 66 Room Inventory 9901 9182 8219 Total Income – Rs crores 3834 3042 2219 Total revenues grew by 26% over previous year and 73% over 2004/05 26

  27. Slide 27: New Properties

    New Properties Taj continues to add rooms to its portfolio at an aggressive pace 27

  28. Slide 28: New Properties

    New Properties ƒ 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

  29. Slide 29: Strategic Exit from properties

    Strategic Exit from properties ƒDennis Island, Seychelles ƒSohar Beach, Oman ƒTaj Sheeba, Saa’na (December, 2007) 29

  30. Slide 30: New Hotels to open in 2007/08

    New Hotels to open in 2007/08 ƒ Taj ITPL, Bangalore (IHCL) ƒ Taj Mount Road, Chennai (Taj GVK Ltd.) Management Contracts ƒ Gateway, Vijayawada ƒ Taj Residency, Trivandrum ƒ Rebak Marina Resort, Langkawi, Malaysia 30

  31. Slide 31: Expansion Plan

    Expansion Plan 31

  32. Slide 32: Expansion Plan – New Builds

    Expansion Plan – New Builds Hotel Rooms Year of opening IHCL Taj ITPL, Bangalore 199 January 2008 Taj Falaknuma Palace, Hyderabad 60 July 2008 Taj Santa Cruz, Mumbai 175 November 2008 Taj Surya, Coimbatore 150 December 2008 Taj Residency, Yeshwantpur, Bangalore 350 April 2009 Taj Lake End, Udaipur 8

  33. Slide 33: Expansion Plan – Management Contracts

    Expansion Plan – Management Contracts Hotel Rooms Year of opening Domestic Gateway, Vijayawada 108 July 07 Taj Residency, Trivandrum 134 December 07 Gateway Resort, Bekal (Kerala) 75 January 09 Gateway, Chennai 159 January 09 Portman Residences 700 April 09 Taj Residency, Panjim 154 April 09 Gateway

  34. Slide 34: Key Highlights of the Year

    Key Highlights of the Year 34

  35. Slide 35: Taj Boston

    Taj Boston ƒ Acquired on January 11, 2007 through a 100% subsidiary incorporated in US ƒ Acquisition price – US$ 170 million ƒ No. of Rooms – 273 ƒ Banqueting Space – 16500 Sq. ft. ƒ Financing ƒ Equity (unutilized FCCB) - US$ 90 million ƒ Debt - US$ 80 million 35

  36. Slide 36: Campton Place

    Campton Place ƒ Campton Place, San Francisco is now a TAJ Group Hotel. ƒ Acquired on April 30, 2007 through a 100% subsidiary incorporated in US ƒ Acquisition price – US$ 60 million ƒ No. of Rooms – 110 ƒ Financing ƒ Equity - US$ 30 million ƒ Debt - US$ 30 million 36

  37. Slide 37: Key Highlights of the Year

    Key Highlights of the Year ƒ Stock Split - Sub division of company’s share from a face value of Rs 10 per share to Re 1 per share ƒ New Hotels - Wildlife Resorts - Bandhavgarh and Baghvan 37

  38. Slide 38: Key Highlights of the Year

    Key Highlights of the year ƒ New Management Contracts signed – Taj Residency Hotels in Nagpur, Goa & Trivandrum – 590 rooms – Gateway Hotels in Raipur, Jalandhar & Bangalore – 425 rooms – Serviced Apartments – Apartment Blocks in 5 metros 38

  39. Slide 39: IHCL Stock vs Index Performance

    IHCL Stock vs Index Performance IHCL SENSEX 39

  40. Slide 40: Thank you

    Thank you 40

The Indian Hotels Company — FY2007 Earnings Presentation on 6ix