Saturday, July 20, 2024 The Indian Hotels Company Limited (IHCL) is making its inaugural foray into the branded residences sector with the launch of the Taj Branded Residences in Chennai. This new venture consists of 123 residences alongside a 235-room hotel distributed across 23 floors. This initiative marks IHCL’s debut in the branded residences market, building on its expertise in long-term accommodations established through Taj Wellington Mews.
The facilities for residents include a gym, pool, restaurants, and housekeeping, all managed by IHCL. Looking forward, IHCL is exploring further prospects in this segment, responding to the increasing demand for branded residences across India. Plans are underway to consider similar projects in at least eight other cities nationwide.
Strong Financial Performance In the first quarter of fiscal 2025, IHCL achieved its ninth consecutive record-setting quarter, with enterprise revenue exceeding INR 30 billion ($360 million), a growth of 7% year-on-year. The company’s RevPAR has surpassed industry averages, driven by robust brand equity and consumer trust, leading to a 12% rise in profit after tax to INR 2.5 billion ($30 million).
The management fee of IHCL also saw a 17% increase from the previous year, fueled by a strategy focused on growth through management contracts rather than direct ownership. With continued optimism about its future prospects, IHCL anticipates double-digit growth throughout the financial year. The Tata Neu Loyalty Program, boasting 5.
5 million members, continues to be a significant contributor, accounting for 37% of the enterprise-level revenue in the quarter ending June 30, 2024..
