The shares of India’s largest hospitality chain gained 2 percent to Rs 121.50 per share on Friday, after the company launched India’s largest hotel by total rooms.
At the day’s closing the shares of Lemon Tree Hotels were trading at Rs. 118.80 up by 0.76 percent from its previous day close price, and the market capitalization of the company is 9,412 Cr.
As per the company’s filing, Lemon Tree Hotels has announced the launch of Aurika, Mumbai Skycity, under the brand Aurika Hotels & Resorts, it is a deluxe hotel that consists of 669 rooms and suites and is India’s largest hotel by number of rooms. This launch brings Lemon Tree Hotels one step closer to its goal of bringing the total inventory, including operational and to be opened, to 20,000+ rooms, in the next four years.
The company’s revenue increased by 117.53 percent from 402.24 Cr in FY22 to 874.99 Cr in FY23, accompanied by a decreasing loss of 137.36 Cr to profit of 140.54 Cr.
The company has reported a return on equity (ROE) of 16.68 and return on capital employed (ROCE) of 14.06 percent, this indicates that the company is making decent returns on its equity and capital employed.
According to the latest shareholding data available for the June 2023 quarter, the company’s Promoters hold 23.60 percent stake, the Domestic Institutional Investors hold 10.38 percent and the Foreign Institutional Investors (FII) hold 25.48 percent.
Lemon Tree Hotels Limited is India’s largest hotel chain in the mid-priced hotel sector, and the third largest overall, on the basis of controlling interest in owned and leased rooms. It operates in the upscale segment and in the mid-priced sector, consisting of the upper-midscale, midscale and economy segments. It delivers differentiated yet superior service offerings, with a value-for-money proposition.
Written by: Bharath K.S
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