Lemon Tree Q4 Results Review - Occupancy Rate, ARR Continue To Inch Up; Outlook Remains Robust: Motilal Oswal
Highest-ever operating margin.
BQ Prime’s special research section collates quality and in-depth equity and economy research reports from across India’s top brokerages, asset managers and research agencies. These reports offer BQ Prime’s subscribers an opportunity to expand their understanding of companies, sectors and the economy.
Motilal Oswal Report
Lemon Tree Hotels Ltd.'s Q4 FY23 revenue surged 2.1 times YoY (up 8% QoQ and 43% versus Q4 FY20) to Rs 2.5 billion (inline), led by higher average room rate (up 29% versus Q4 FY20 levels) at Rs 5,824.
Occupancy stood at 73.6% versus. 67.6%/46.1%/61% in Q3 FY23/Q4 FY22/ Q4 FY20. Revenue per available room surged 2.3 times YoY to Rs 4,286 versus Rs 3,879/Rs 1,888/ Rs 2,764 in Q3 FY23/Q4 FY22/Q4 FY20.
Lemon Tree's Ebitda jumped 2.2 times from Q4 FY20 levels (up 3.8 times YoY and 11% QoQ) to Rs 1.4 billion (our estimate: Rs 1.47 billion). Ebitda margin stood at 55.4% (our estimate: 57%).
Adjusted profit after tax stood at Rs 440 millio in Q4 FY23 (our estimate: Rs 523 million) versus a net loss of Rs 132 million in Q4 FY22.
In Q4 FY23, Keys Hotels generated revenue of Rs 182 million (up 2% QoQ and 2.3x YoY), with Ebtda of Rs 75 million (up 1.6 times QoQ and 6.8 times YoY).
It operated at 55.6% occupancy (up 23.6pp YoY), with ARR of Rs 3,264 (up 37% YoY).
In FY23, revenue/Ebitda grew 2.2 times/3.4 times YoY to Rs 8.6 billion/Rs 4.5 billion, while adjusted profit after tax was Rs 1.2 billion versus a loss of Rs 760 million in FY22. Ebitda margin in FY23 hit the record high of 51.7% (up 18.4% YoY).
Click on the attachment to read the full report:
This report is authored by an external party. BQ Prime does not vouch for the accuracy of its contents nor is responsible for them in any way. The contents of this section do not constitute investment advice. For that you must always consult an expert based on your individual needs. The views expressed in the report are that of the author entity and do not represent the views of BQ Prime.
Users have no license to copy, modify, or distribute the content without permission of the Original Owner.