Royal Orchid Hotels Limited · NSE:ROHLTD
Royal Orchid Hotels — Q4 FY2023-24 Earnings Presentation
46 slides from Royal Orchid Hotels's earnings presentation, Jun 4, 2024
Slide 1: Investors Presentation cover letter to stock exchanges
Date: June 04, 2024 To, To, The Manager, The Manager, Department of Corporate Services, Department of Corporate Services, Bombay Stock Exchange Limited National Stock Exchange of India Limited, Floor 25, P. J. Towers, Exchange Plaza, Plot no. C/1, G Block Dalal Street, Bandra Kurla Complex, Bandra (
Slide 2: Royal Orchid Hotels Ltd. Q4 & Year End 2023-24
Royal Orchid Hotels Ltd. Q4 & Year End 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 Company Overview 01 Financial Overview 02 Industrial Overview 03 Business Overview 04
Slide 5: Company Overview
Company Overview WHO OUR MANAGEMENT OUR WE ARE? JOURNEY TEAM PRESENCE
Slide 6: 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 7: Our Journey
Our Journey 107+ Hotels First Hotel 19 Hotels Across India & Abroad Hotel Royal Orchid Across India 01 19 107+ 2001 2006-07 2012-13 2018-19 TODAY Corporate HQ 07 Hotels 07 40+ 40+ Hotels Across India
Slide 8: Our presence and offerings
UOC OQunmeresence 107+ | 6215+ 175+ Hotels & Resorts in Luxury Rooms, Specialty & All day Dining 70+ Locations Villas & Premium Suites Restaurants 45+ Leisure Destinations 55+ Business Destinations J |p 20+ Wedding Bis V Destinations — j
Slide 9: 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 10: Management
> Management a lt, Mr. Arjun Baljee President With over 20 years of experience in operation and management of real estate, technology, start-ups, and hospitality industries. Mr. Amit Jaiswal Chief Financial Officer Over 30+ years of exp in Finance with Manufacturing & Hotel Industry Mr. Vikas Passi
Slide 11: Competitive Advantage
Competitive Advantage Balanced portfolio Strong sales presence Affordable luxury having having presence in across major source plethora of options for over 70+ locations markets in India modern travelers and 16 states
Slide 12: Growth in rooms
Growth in rooms 2018-19 2019-20 2020-21 2021-22 2022-23 2023-24 % Growth 9000 + Signed + Signed + Signed + Signed + Signed + Signed Hotels Hotels Hotels Hotels Hotels Hotels 8,223 8000 7000 6,520 6,478 6000 5,450 5,313 5,010 5000 4,763 4,358 3,980 3,980 4000 94% 3,733 2,988 3000 2000 23% 1,112 1000
Slide 13: Upcoming Hotels
Upcoming Hotels SI No Hotel Name City / Location 1 Regenta Inn HRBR, Bangalore 2 Regenta Resort Gulbarga 3 Regenta Central Tirupati 4 Regenta Inn Tezpur Assam 27+ 5 Regenta Inn Raipur 6 Regenta Inn Gwalior 7 Regenta Resort Pushkar 8 Regenta Inn Jaipur 9 Regenta Central Varanasi 10 11 12 Regenta Plac
Slide 14: Financial Overview
Financial Overview Quarterly & Half Year Consolidated Income Highlights and Margins Statement & Balance Shareholding Financial results Sheet snapshot
Slide 15: Occupancy & ARR
Occupancy & ARR Segment Q4 of FY22-23 Q4 of FY23-24 FY22-23 FY23-24 Average Occupancy (JLO) 77% 72% 77% 74% Average Room Rate (JLO) (Rs) 5,657 6,024 5,370 5,673 Average Occupancy (Managed) 63% 65% 63% 60% Average Room Rate (Managed) (Rs) 3,833 3,982 3,795 4,039
Slide 16: Portfolio
Segment wise keys snapshot As on 31st March, 2024 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 - 142 54 753 949 3 Star / Budget _ 83 - 1676 1759 Total Keys 398 688 193 4647 59
Slide 17: Standalone Quarter and Year Ending March 2023-24
₹ In Crore Standalone Quarter and Year Ending March 2023 - 24 Q4FY22-23 Q3FY23-24 Q4FY23-24 60.00 54.74 52.48 48.67 50.00 40.00 30.00 Quarterly 20.00 16.66 19.79 15.56 9.67 12.41 7.72 7.18 9.28 5.74 10.00 - Total Revenue EBITDA PBT PAT YE FY22-23 YE FY23-24 250.00 198.29 200.00 176.62 150.00 Yearly
Slide 18: Consolidated Quarter and Year Ending March 2023-24
₹ In Crore Consolidated Quarter and Year Ending March 2023 - 24 Q4FY22-23 Q3FY23-24 Q4FY23-24 100.00 86.61 82.30 76.54 80.00 Quarterly 60.00 40.00 25.81 29.43 23.87 16.21 19.78 14.19 13.13 15.73 16.69 20.00 - Total Revenue EBITDA PBT PAT YE FY22-23 YE FY23-24 350.00 312.70 300.00 279.69 250.00 200.0
Slide 19: Standalone & Consolidated Cash Profit
₹ In Crore Standalone & Consolidated Cash Profit Year Ending March 2023 - 24 YE FY22-23 YE FY23-24 80.00 70.69 70.00 67.60 60.00 50.00 39.50 40.13 40.00 30.00 20.00 10.00 - Standalone Consolidated Cash Profit
Slide 20: Sustainable Growth – Consolidated Revenue & Cash Profit
₹ In Crore Sustainable Growth – Consolidated Revenue & Cash Profit Total Revenues Cash Profit 350.00 80.00 312.70 70.69 70.00 67.60 300.00 279.69 60.00 250.00 50.00 219.04 219.74 200.00 40.00 155.93 30.00 27.43 150.00 24.06 21.17 20.00 100.00 88.84 10.00 - 50.00 FY18-19 FY19-20 FY20-21 FY21-22 FY22-
Slide 21: Sustainable Growth – Consolidated EBITDA Margins & Ratios
₹ In Crore Sustainable Growth – Consolidated EBIDTA Margins & Ratios EBITDA and EBITDA Margins RATIOS Net debt to equity Interest coverage 120.00 40% 98.03 35% 6.00 30% 95.16 35% 100.00 22% 4.96 5.00 30% 21% 4.12 80.00 26% 25% 4.00 20% 60.00 3.00 48.81 2.61 45.32 15% 40.36 40.00 2.00 10% 1.68 1.30 -
Slide 22: Revenue Breakup including Associate
₹ In Crore Revenue Breakup including Associate Standalone Consolidated FY22-23 FY23-24 FY22-23 FY23-24 120.00 180.00 169.27 105.16 155.01 93.92 160.00 100.00 140.00 80.00 120.00 114.29 61.48 102.61 67.51 100.00 60.00 80.00 40.00 60.00 40.00 10.11 30.23 20.00 23.87 13.81 9.43 4.43 20.00 11.46 5.46 -
Slide 23: Consolidated Revenue Breakup - Segment Wise
₹ In Crore Consolidated Revenue Breakup including Associate - Segment Wise FY22-23 FY23-24 140.00 121.26 120.00 100.00 97.20 96.39 88.86 81.80 80.00 76.56 60.00 40.00 30.23 23.87 20.00 - Owned Lease / Revenue Share Joint Venture/ Associate Managed hotels
Slide 24: Source wise Room Revenue Including Managed Hotels
₹ In Crore Source wise Room Revenue Including Managed Hotels IN % FY2022-23 FY2023-24 FY2022-23 FY2023-24 250 50% 236.44 46% 45% 43% 184.73 200 40% 35% 27% 150 138.82 30% 118.69 27% 117.16 26% 25% 23% 111.87 100 20% 15% 50 10% 13.98 19.07 4.05 5% 3% 4% 3.72 1% 1% 0 0% ROHL Website OTA Regional Sales
Slide 25: Segment wise Room Revenue Including Managed Hotels
₹ In Crore Segment wise Room Revenue Including Managed Hotels IN % FY2022-23 FY2023-24 FY2022-23 FY2023-24 350.00 70.00% 303.30 58.83% 300.00 60.00% 58.65% 253.95 250.00 50.00% 200.00 33.14% 143.48 40.00% 32.30% 166.52 150.00 30.00% 100.00 20.00% 17.24 18.32 50.00 4.95% 10.00% 3.92% 25.52 20.21 3.98
Slide 26: City Wise Statistics (Occupancy, ARR, RevPar)
City Wise Statistics (Occupancy % | ARR | RevPar ) City FY21-22 FY22-23 FY23-24 Occupancy % 53.22% 76.28% 68.93% Bangalore ARR (Rs) 2,924 4,619 4,513 RevPar (Rs) 1,556 3,523 3,111 Occupancy % 51.13% 78.77% 68.22% Mumbai ARR (Rs) 3,514 4,869 5,364 RevPar (Rs) 1,797 3,835 3,659 Occupancy % 47.39% 77.9
Slide 27: Consolidated Cost % on Total Income
₹ In Lacs Consolidated Cost % on Total Income FY 21-22 FY 22-23 FY 23-24 FY 21-22 FY 22-23 FY 23-24 Raw Material Costs as a % of F&B Revenue Other Operating Costs as a % of Revenue Revenue 13,847 26,355 29,361 Raw Material Cost 1,728 2,672 2,915 Other Operating Cost 6,355 9,897 11,559 % of Rev 46% 3
Slide 28: Financials with and without INDAS impact
Rs. In Crore Financials with and without INDAS impact ROHL STANDALONE ROHL CONSOL Without INDAS With INDAS Without INDAS With INDAS Particulars Particulars FY 2022-23 FY 2023-24 FY 2022-23 FY 2023-24 FY 2022-23 FY 2023-24 FY 2022-23 FY 2023-24 Total Income Total Income 279.69 312.70 279.69 312.70 17
Slide 29: Standalone Q4 & Year Ending March 2024 Financial Results
Rs. In Crore Standalone Q4 & Year Ending March 2023 - 24 Financial Results Particulars Q4FY23-24 Q3FY23-24 Q4FY22-23 YE FY23-24 YE FY22-23 Y-o-Y - Room nights 27.15 28.30 26.76 105.16 93.67 12.26% - Food and beverages 16.78 19.37 16.16 67.51 61.71 9.40% - Other services 4.91 6.29 4.60 19.27 14.57 32
Slide 30: Consolidated Q4 & Year Ending March 2024 Financial Results
Rs. In Crore Consolidated Q4 & Year Ending March 2023 – 24 Financial Results Particulars (Rs in Crs) Q4FY23-24 Q3FY23-24 Q4FY22-23 YE FY23-24 YE FY22-23 Y-o-Y - Room nights 38.86 40.71 38.36 150.36 137.79 9.13% - Food and beverages 25.63 29.61 23.97 102.22 93.20 9.69% - Other services 11.71 11.59 10
Slide 31: Company's Explanatory Note
Company’s Explanatory Note 1. The Return on Capital Employed (ROCE) for the year 2023-24 stands at 20% which is one of the highest in the industry. 2. The Company has got tax benefit from the acquisition of 100% stake in Icon Hospitality at a cost of Rs. 34 Crores. This was a calculated plan of the
Slide 32: Return on Capital Employed (ROCE)
Return on Capital Employed (ROCE) 25.00% 23.16% 19.75% * 20.00% 15.00% 10.91% 10.00% 7.43% 7.33% 5.00% 0.00% FY 2018-19 FY 2019-20 FY 2020-21 FY 2021-22 FY 2022-23 FY 2023-24 -5.00% -7.04% -10.00% * ROCE for FY 23-24 is less as compare to FY 22-23 because of increase in deprecation by Rs. 4.10 crore
Slide 33: Shareholding Pattern as on 31st March, 2024
Shareholding Pattern as on 31st March, 2024 Promoter Foreign Portfolio Investors Institutional Investors OTHERS 29.67% Promoter 63.60% Foreign Portfolio Investors 6.07% 63.60% Institutional Investors 0.66% 0.66% Others 29.67% 6.07% Total 100%
Slide 34: 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 35: 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 36: 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 37: Business Overview
Business Overview Our Business Structure Our Business Model Our Offerings Competitive Advantage
Slide 38: 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 39: 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 40: Hotelier India Hall of Fame
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 41: 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 Hospitality Horizon Award
Slide 42: 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 43: Our Wedding Destinations
Our Wedding Destinations Goa « Bangalore Ranthambore « Jaipur Mussoorie » Mahabaleshwar Nagpur - Pushkar Bharatpur + Bhuj Sri Lanka Complimentary Honeymoon Package & Bridal Suite
Slide 44: 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 45: Our Wildlife Destinations
Our Wildlife Destinations Ranthambore Pench National Park Kabini
Slide 46: 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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