Lemon Tree Hotels Ltd. · NSE:LEMONTREE
Lemon Tree Hotels — Q4 FY24 Earnings Presentation
60 slides from Lemon Tree Hotels's earnings presentation, May 30, 2024
Slide 1: Exchange filing cover letter
May 30, 2024 National Stock Exchange of India Limited BSE Limited Exchange Plaza, Bandra Kurla Complex, Phiroze Jeejeebhoy Towers Bandra (East) Dalal Street, Mumbai – 400 001 Mumbai – 400051 Name of Scrip: LEMONTREE BSE Scrip Code: 541233 Subject: Disclosure under Regulation 30(6) of SEBI (Listing O
Slide 2: Lemon Tree Hotels Limited Q4 FY24 Earnings Presentation
29-May-2024 Q4 FY24 Earnings Presentation 1 Lemon Tree Hotels Limited Q4 FY24 Earnings Presentation | 29th May 2024 Aurika, Mumbai SkyCity
Slide 3: Disclaimer
29-May-2024 Q4 FY24 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 actu
Slide 4: We've come a long way in 20 years
29-May-2024 Q4 FY24 Earnings Presentation 3 We've come a long way in 20 years: from a single 49 room hotel in 2004 to over 10,000 rooms across 100+ hotels in 63 destinations in India and 3 overseas.
Slide 5: We Are Everywhere
29-May-2024 Q4 FY24 Earnings Presentation 4 WE ARE EVERYWHERE
Slide 6: Chairman & Managing Director's Message
Q4 FY24 Earnings Presentation 29-May-2024 5 Chairman & Managing Director’s Message Commenting on the performance for Q4 FY24, Mr. Patanjali Keswani, Chairman & Managing Director – Lemon Tree Hotels Limited said, “In Q4, Lemon Tree Hotels continued its growth momentum from the previous year. Q4 FY24
Slide 7: Q4 FY24 performance across key financial metrics
29-May-2024 Q4 FY24 Earnings Presentation 6 Q4 FY24 performance across key financial metrics Q4 FY24 performance snapshot vs Q4 FY23 Total Revenue EBITDA EBITDA % Rs. 331.2 Cr Rs. 175.3 Cr 52.9% Up 30% Up 24% Down 278 bps PAT Cash Profit# Cost of Debt % Rs. 84.0 Cr Rs. 117.4 Cr 8.86%* Up 42% Up 42%
Slide 8: FY24 performance across key financial metrics
29-May-2024 Q4 FY24 Earnings Presentation 7 FY24 performance across key financial metrics FY24 performance snapshot vs FY23 Total Revenue EBITDA EBITDA % Rs. 1076.8 Cr Rs. 528.9 Cr 49.1% Up 23% Up 16% Down 278 bps PAT Cash Profit# Cost of Debt % Rs. 181.7 Cr Rs. 293.8 Cr 8.86%* Up 29% Up 24% Down 22
Slide 9: Q4 FY24 Performance Highlights – Operational Metrics
29-May-2024 Q4 FY24 Earnings Presentation 8 Q4 FY24 Performance Highlights – Operational Metrics (Consolidated) Inventory Average Room Rate (Rs.) Owned/Leased rooms Managed/Franchised Total rooms 4% rooms QoQ 18% 13% 6,605 6,605 YoY 6,333 9,863 5,824 YoY 13% YoY 8,382 25% YoY 5,759 5,090 4,104 3,292
Slide 10: Q4 FY24 Performance Highlights – Financial Metrics
29-May-2024 Q4 FY24 Earnings Presentation 9 Q4 FY24 Performance Highlights – Financial Metrics (Consolidated) Revenue from Operations (Rs. Cr) Net EBITDA (Rs. Cr) 24% 24% 30% 13% YoY QoQ YoY 327.3 QoQ 327.3 175.3 175.3 290.2 141.9 141.9 252.7 Q4 FY23 Q4 FY24 Q3 FY24 Q4 FY24 Q4 FY23 Q4 FY24 Q3 FY24 Q
Slide 11: Q-o-Q performance of FY23 and FY24
29-May-2024 Q4 FY24 Earnings Presentation 10 Q-o-Q performance of FY23 and FY24 Q4 FY24 was the best ever “Q4” in terms of Gross ARR, Revenue, EBITDA, PBT and PAT Particulars Q4 FY24 Q3 FY24 Q2 FY24 Q1 FY24 Q4 FY23 Q3 FY23 Q2 FY23 Q1 FY23 Gross ARR (Rs.) 6,605 6,333 5,268 5,237 5,824 5,738 4,917 4,8
Slide 12: Total Management Fees | Q4 FY24 vs Q4 FY23
29-May-2024 Q4 FY24 Earnings Presentation 11 Total Management Fees | Q4 FY24 vs Q4 FY23 41.2 26.8 27.8 14.4 + 17.1 = 10.7 Management / Franchise fees from 3rd party Management Fees from Fleur Hotels Total Management Fees hotels Q4 FY23 Q4 FY24 Fees to Lemon Tree Hotels (Rs. Cr) Q4 FY23 Q4 FY24 Growt
Slide 13: Total Management Fees | FY24 vs FY23
29-May-2024 Q4 FY24 Earnings Presentation 12 Total Management Fees | FY24 vs FY23 134.3 103.0 84.2 67.2 50.1 + = 35.8 Management / Franchise fees from 3rd party Management Fees from Fleur Hotels Total Management Fees hotels FY23 FY24 Fees to Lemon Tree Hotels (Rs. Cr) FY23 FY24 Growth % Management /
Slide 14: Market Segments: Q4 FY24 vs Q4 FY23
29-May-2024 Q4 FY24 Earnings Presentation 13 Market Segments: Q4 FY24 vs Q4 FY23 (with Aurika, Mumbai SkyCity) Market Segments Room Nights Sold – Q4 FY24 vs Q4 FY23 38% 40 % 35% 35 % 31% 32% 30 % 25 % 20 % 13% 15 % 9% 11% 8% 8% 7% 10 % 3% 5% 5% 0% Corporate Airline Travel Trade OTA LT.com Other FITs
Slide 15: Market Segments: FY24 vs FY23
29-May-2024 Q4 FY24 Earnings Presentation 14 Market Segments: FY24 vs FY23 (with Aurika, Mumbai SkyCity) Market Segments Room Nights Sold – FY24 vs FY23 45 % 41% 37% 32% 40 % 35 % 32% 30 % 25 % 20 % 15 % 10% 8% 8% 10% 7% 6% 6% 3% 10 % 5% 0% Corporate Airline Travel Trade OTA LT.com Other FITs FY23 F
Slide 16: Q4 FY24 Operational Performance by Brands & Region
29-May-2024 Q4 FY24 Earnings Presentation 15 Q4 FY24 Operational Performance by Brands & Region (On full inventory basis including Aurika, Mumbai SkyCity) Hotel level Average Daily Rate Hotel level EBITDAR Parameters RevPAR (Rs.) Occupancy Rate (%) EBITDAR/room/qtr. (Rs.) Margin %** (Rs. Lacs)** Q4
Slide 17: Consolidated P&L: Q4 FY24 vs Q4 FY23
29-May-2024 Q4 FY24 Earnings Presentation 16 Consolidated P&L: Q4 FY24 vs Q4 FY23 Q4 FY24 Consolidated P&L Waterfall – Revenue to Cash Profit (Rs. Cr) Q4 FY24 vs Q4 FY23 Consolidated P&L waterfall to explain delta (Rs. Cr) Cash Profit = PAT + Depreciation Figures include Aurika, Mumbai SkyCity which
Slide 18: Consolidated P&L: FY24 vs FY23
29-May-2024 Q4 FY24 Earnings Presentation 17 Consolidated P&L: FY24 vs FY23 FY24 Consolidated P&L Waterfall – Revenue to Cash Profit (Rs. Cr) FY24 vs FY23 Consolidated P&L waterfall to explain delta (Rs. Cr) Cash Profit = PAT + Depreciation Figures include Aurika, Mumbai SkyCity which opened in Q3 F
Slide 19: Cost Structure: Q4 FY24 vs Q4 FY23
29-May-2024 Q4 FY24 Earnings Presentation 18 Cost Structure: Q4 FY24 vs Q4 FY23 * Expenses as a percentage of total revenue Up 278 bps 47.1% 44.3% Up 298 bps Down 103 bps 19.8% 16.1% 16.9% 15.1% Down 31 bps Up 114 bps 6.2% 6.3% 6.0% 5.1% Payroll expenses* F&B/Raw Material expenses* Power & Fuel expe
Slide 20: Cost Structure: FY24 vs FY23
29-May-2024 Q4 FY24 Earnings Presentation 19 Cost Structure: FY24 vs FY23 * Expenses as a percentage of total revenue Up 278 bps 50.9% 48.1% Up 39 bps Up 281 bps 20.4% 17.0% 17.4% 17.6% Down 57 bps Up 15 bps 7.8% 7.2% 5.7% 5.8% Payroll expenses* F&B/Raw Material expenses* Power & Fuel expenses* Othe
Slide 21: Consolidated Profit & Loss Statement – Q4 FY24
29-May-2024 Q4 FY24 Earnings Presentation 20 Lemon Tree Consolidated Profit & Loss Statement – Q4 FY24 Q4 FY24 vs Q4 FY24 vs Rs. Cr Q4 FY24 Q3 FY24 Q4 FY23 Q3 FY24 Q4 FY23 Change (%) Change (%) Revenue from operations 327.3 290.2 252.7 13% 30% Other income 3.9 0.7 2.0 464% 89% Total revenue 331.2 29
Slide 22: Consolidated Profit & Loss Statement Breakup
29-May-2024 Q4 FY24 Earnings Presentation 21 Lemon Tree Consolidated Profit & Loss Statement Breakup Lemon Tree Consolidated Keys Hotels Lemon Tree Consolidated excluding Keys Hotels Rs. Cr Q4 Q3 Q4 QoQ YoY Q4 Q3 Q4 QoQ YoY Q4 Q3 Q4 QoQ YoY FY24 FY24 FY23 Change Change FY24 FY24 FY23 Change Change F
Slide 23: Discussion on Consolidated Financial & Operational Performance – Q4 FY24
29-May-2024 Q4 FY24 Earnings Presentation 22 Discussion on Consolidated Financial & Operational Performance – Q4 FY24 ❖ Revenue from operations stood at Rs. 327.3 Cr in Q4 FY24 which was up 12.8% from Rs. 290.2 Cr in Q3 FY24 and was up 29.5% as compared to Rs. 252.7 Cr in Q4 FY23 ❖ Gross ARR stood a
Slide 24: Consolidated Profit & Loss Statement – FY24
29-May-2024 Q4 FY24 Earnings Presentation 23 Lemon Tree Consolidated Profit & Loss Statement – FY24 FY24 vs Rs. Cr FY24 FY23 FY23 Change % Revenue from operations 1071.1 875.0 22% Other income 5.6 3.6 58% Total Income 1076.8 878.6 23% Total expenses 547.9 422.6 30% Net EBITDA 528.9 455.9 16% Net EBI
Slide 25: Consolidated Balance Sheet – FY24
29-May-2024 Q4 FY24 Earnings Presentation 24 Lemon Tree Consolidated Balance Sheet – FY24 FY24 vs Rs. Cr FY24 FY23 FY23 Change % Shareholder's Funds 966.9 853.7 13% Non-controlling interests 579.5 559.7 4% Total Shareholder’s equity 1546.4 1413.4 9% Total Debt 1889.1 1745.7 8% Other Non-current liab
Slide 26: Hotel Network Revenue – Q4 FY24 vs Q4 FY23
29-May-2024 Q4 FY24 Earnings Presentation 25 Lemon Tree Hotel Network Revenue – Q4 FY24 vs Q4 FY23 Hotel Network Revenue Q4 FY24 vs Q4 FY23 Change Q4 FY24 Q4 FY23 (Rs. Cr) (%) Owned Hotels 310.3 243.2 28% Managed and Franchised Hotels 183.8 133.1 38% Total Network Revenue 494.1 376.3 31% Figures inc
Slide 27: Hotel Network Revenue – FY24 vs FY23
29-May-2024 Q4 FY24 Earnings Presentation 26 Lemon Tree Hotel Network Revenue – FY24 vs FY23 Hotel Network Revenue FY24 FY23 FY24 vs FY23 Change (%) (Rs. Cr) Owned Hotels 1014.2 841.2 21% Managed and Franchised Hotels 606.8 489.0 24% Total Network Revenue 1621.0 1330.2 22% Figures include Aurika, Mu
Slide 28: Expansion Plans – Hotels under Development
29-May-2024 Q4 FY24 Earnings Presentation 27 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 Capi
Slide 29: Expected opening of inventory in pipeline of managed & franchised contracts
29-May-2024 Q4 FY24 Earnings Presentation 28 Expected opening of inventory in pipeline of managed & franchised contracts (as of 31st March 2024) Total FY24 To be announced Rooms Brands FY25 FY26 FY27 (Opened) (TBA) (Hotels) FY25 onwards 242 242 Aurika Hotels & Resorts - - - - (2) (2) 197 200 82 479
Slide 30: Hotels opened and signed in Q4 FY24
29-May-2024 Q4 FY24 Earnings Presentation 29 Hotels opened and signed in Q4 FY24 (managed & franchised contracts) Hotels opened in Q4 FY24 # Hotels States Rooms Opening Dates 1 Keys Lite by Lemon Tree Hotels, Dapoli Maharashtra 20 Jan-24 2 Lemon Tree Resort, Kumbhalgarh Rajasthan 59 Feb-24 3 Keys Se
Slide 31: Pipeline of managed & franchised contracts by opening (1 of 2)
29-May-2024 Q4 FY24 Earnings Presentation 30 Expansion Plans – Pipeline of managed & franchised contracts by opening (1 of 2) # Hotels Pipeline States Rooms Expected Opening 1 Lemon Tree Hotel, Jamshedpur Jharkhand 42 FY25 2 Lemon Tree Hotel, Anjuna, Goa Goa 51 FY25 3 Lemon Tree Premier, Kanha Madhy
Slide 32: Pipeline of managed & franchised contracts by opening (2 of 2)
29-May-2024 Q4 FY24 Earnings Presentation 31 Expansion Plans – Pipeline of managed & franchised contracts by opening (2 of 2) # Hotels Pipeline States Rooms Expected Opening 33 Lemon Tree Hotel Jabalpur Madhya Pradesh 75 FY26 34 Lemon Tree Hotel Gomti Nagar Lucknow Uttar Pradesh 72 FY26 35 Lemon Tre
Slide 33: Lemon Tree – Snapshot as on 31st March 2024
29-May-2024 Q4 FY24 Earnings Presentation 32 Lemon Tree – Snapshot as on 31st March 2024 Operational Pipeline Operational + Pipeline Group 9,863 rooms; 4,156 rooms; 14,019 rooms; 104 hotels 62 hotels 166 hotels Brand Current Pipeline Operational + Pipeline Aurika Hotels & Resorts 863 Rooms; 3 Hotels
Slide 34: Portfolio Breakup as on 31st March 2024 - Operational
29-May-2024 Q4 FY24 Earnings Presentation 33 Portfolio Breakup as on 31st March 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 - - 1 55 3 863 Lemon Tree Premier 7
Slide 35: Portfolio Breakup as on 31st March 2024 - Pipeline
29-May-2024 Q4 FY24 Earnings Presentation 34 Portfolio Breakup as on 31st March 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 2 242 2 242 Lemon Tree Premier 0 0 0 0
Slide 36: Update on the Roadmap for next 5 years – CY24 to CY28
29-May-2024 Q4 FY24 Earnings Presentation 35 Update on the Roadmap for next 5 years – CY24 to CY28
Slide 37: Lemon Tree 2.0: Roadmap for next 5 years
29-May-2024 Q4 FY24 Earnings Presentation 36 Lemon Tree 2.0: Roadmap for next 5 years – CY24 to CY28 Lemon Tree 2.0 Superior financial Mid-market hotel Strong balance Leader in Leader in performance flagbearer sheet digital ESG Strategic Levers (How will we make this Asset Light Digital Simplifying
Slide 38: LT 2.0: setting clear and achievable outcomes over the next 5 years
29-May-2024 Q4 FY24 Earnings Presentation 37 LT 2.0: setting clear and achievable outcomes over the next 5 years – CY24 to CY28 Superior financial Mid-market hotel leader Strong balance sheet Leader in digital Leader in ESG performance Bionic Revenue 100% green 20k+ hotel rooms Management certified
Slide 39: On track to meet guidance given for the next 5 years
29-May-2024 Q4 FY24 Earnings Presentation 38 On track to meet guidance given for the next 5 years – CY24 to CY28 Target for Particulars End of FY24 Status CY28 / FY29 Net EBITDA % Stable 50% 49.1% On-track Gross Debt (Rs. Cr) Debt Free Rs. 1,889 Cr On-track 4,104 rooms operational (a) and Managed &
Slide 40: Annexure
29-May-2024 Q4 FY24 Earnings Presentation 39 Annexure
Slide 41: Keys Select Hotel, Pimpri Pune | Re-pricing and RevPAR increase
29-May-2024 Q4 FY24 Earnings Presentation 40 Keys Select Hotel, Pimpri Pune | Re-pricing and RevPAR increase amidst on-going renovation Keys Select Hotel, Pimpri Pune Q4 FY24 Q4 FY23 % Change (Current performance) (Pre-Renovation) Operating Inventory 88* 101 - Rooms Per Day 75 77 -3% Occupancy % ~84
Slide 42: Lemon Tree Mountain Resort, Shimla | Representation
29-May-2024 Q4 FY24 Earnings Presentation 41 Lemon Tree Mountain Resort, Shimla | Representation
Slide 43: Lemon Tree Mountain Resort, Shimla | Current
29-May-2024 Q4 FY24 Earnings Presentation 42 Lemon Tree Mountain Resort, Shimla | Current
Slide 44: Lemon Tree Mountain Resort, Shimla | Current
29-May-2024 Q4 FY24 Earnings Presentation 43 Lemon Tree Mountain Resort, Shimla | Current
Slide 45: Lemon Tree Mountain Resort, Shimla | Current
29-May-2024 Q4 FY24 Earnings Presentation 44 Lemon Tree Mountain Resort, Shimla | Current
Slide 46: Aurika, Mumbai SkyCity | Façade
29-May-2024 Q4 FY24 Earnings Presentation 45 Aurika, Mumbai SkyCity | Façade OPENED ON 5TH OCT 2023 Aurika, Mumbai SkyCity
Slide 47: Aurika, Mumbai SkyCity | Swimming Pool
29-May-2024 Q4 FY24 Earnings Presentation 46 Aurika, Mumbai SkyCity | Swimming Pool
Slide 48: Aurika, Mumbai SkyCity | Ekaara, The Ballroom
29-May-2024 Q4 FY24 Earnings Presentation 47 Aurika, Mumbai SkyCity | Ekaara, The Ballroom
Slide 49: Aurika, Mumbai SkyCity | Pre-function Area
29-May-2024 Q4 FY24 Earnings Presentation 48 Aurika, Mumbai SkyCity | Pre-function Area
Slide 50: Aurika, Mumbai SkyCity | Meeting Room
29-May-2024 Q4 FY24 Earnings Presentation 49 Aurika, Mumbai SkyCity | Meeting Room
Slide 51: Aurika, Mumbai SkyCity | Board Room
29-May-2024 Q4 FY24 Earnings Presentation 50 Aurika, Mumbai SkyCity | Board Room
Slide 52: Aurika, Mumbai SkyCity | Ariva, The Bar
29-May-2024 Q4 FY24 Earnings Presentation 51 Aurika, Mumbai SkyCity | Ariva, The Bar
Slide 53: Aurika, Mumbai SkyCity | Lobby
29-May-2024 Q4 FY24 Earnings Presentation 52 Aurika, Mumbai SkyCity | Lobby
Slide 54: Aurika, Mumbai SkyCity | Presidential Suite
29-May-2024 Q4 FY24 Earnings Presentation 53 Aurika, Mumbai SkyCity | Presidential Suite
Slide 55: Aurika, Mumbai SkyCity | Presidential Suite
29-May-2024 Q4 FY24 Earnings Presentation 54 Aurika, Mumbai SkyCity | Presidential Suite
Slide 56: Aurika, Mumbai SkyCity | Suite
29-May-2024 Q4 FY24 Earnings Presentation 55 Aurika, Mumbai SkyCity | Suite
Slide 57: Aurika, Mumbai SkyCity | Room
29-May-2024 Q4 FY24 Earnings Presentation 56 Aurika, Mumbai SkyCity | Room
Slide 58: ESG | Highlights of FY23 initiatives
29-May-2024 Q4 FY24 Earnings Presentation 57 ESG | Highlights of FY23 initiatives Energy Renewable energy Green building Diversity and inclusion 15% 10% 50% 10.97% 100% 25% 30% 13% Reduction in Reduction in Renewable energy Renewable energy Certified Green Certified Green ODIs1 in the ODIs1 in the E
Slide 59: Conference Call Details
29-May-2024 Q4 FY24 Earnings Presentation 58 Conference Call Details Time • 4:00 PM IST, Monday, June 3, 2023 Conference dial-in Primary number • Primary number: +91 22 6280 1141 / +91 22 7115 8042 • Hong Kong: 800 964 448 • Singapore: 800 101 2045 International Toll Free Number • UK: 0 808 101 1573
Slide 60: About Lemon Tree Hotels
29-May-2024 Q4 FY24 Earnings Presentation 59 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 superior s