IHCL needs H2 to turn the key, restart the stay

Renovations easing and wedding-heavy months ahead may help close the gap left by a soft start

- RAM PRASAD SAHU

Indian Hotels Company (IHCL), the country’s largest listed hospitality chain, saw a muted second quarter (July-September/Q2) and first half (H1) of 2025-26 (FY26), held back by a high base, renovation-related closures, heavy rainfall, and global uncertainty.

Brokerages, however, expect the second half (H2) to look far better, helped by the wedding season, room additions, and stronger seasonal travel.

The stock, now trading at ₹738, has lagged over the past year. It has slipped 7 per cent during this period, while peers such as EIH and Lemon Tree have delivered 5.4 per cent and 24.7 per cent returns, respectively. ITC Hotels has gained 19.6 per cent since its January listing.

THCL's standalone revenue rose 7 per cent year-on-year (Yo-Y) in H1FY26. The hotel business softened due to global worries, rain-related disruptions, last year’s event-led high base, and reduced inventory as more than 200 rooms were shut for renovation.