India stable, Sterling strong, Middle East crisis masks resilience

Consolidated revenue down 13.1% YoY; excluding DEI/Desert Adventures, EBIT grew 8%, implying core India only marginally positive or flat

Sterling revenue +21% YoY (₹1.7B), PBT +30%, 28% margin, 26 consecutive profitable quarters verified

Domestic segment +29% YoY confirmed in transcript; short-haul excl. Middle East +21%

Long-haul -28% YoY; April par with prior year, deteriorated May onwards; July showing sub-30% deficit (vs 28–30% in Q1)

MICE +14% YoY, ₹5,420 million confirmed; 110 groups managed, 23% domestic / 77% international mix

Education +17% (mgmt claim contradicts '36% outperforming' later statement); industry education -27%, so growth is positive but 17% ≠ 36%

DEI -₹152 Cr EBIT Q1; mgmt projects 6–7% normalized margin; historical peak EBIT ~₹50 Cr suggests conservative re-estimate needed

Early to call shift yet; war impact not fully absorbed. July/Aug showing better conversion than Apr–Jun. Desire to travel remains strong. Europe/westbound will stay stronger long-term. Short-haul demand moving from long-haul; margins similar but ATV 20–25% lower.

Airport not focused strategy; very opportunistic. Only if commercial terms rewarding. Won't enter for brand visibility; trust brand already strong. Delhi entered because fit commercial construct.

ARR grew 10%, volume grew 77% simultaneously (summer, domestic key). Expanded into upper upscale/mid-scale classes; ability to expand rates with demand in fungible manner. RevPAR +20% = volume + rate synergy.

Net assets ₹243 Cr. 50–60% of that went to tech revamp (5–10 year durability). Normal year: 6–7% EBIT margin. Target ROE: 20% group-wide. No material capex going forward; periodic tech upgrades every 10–12 years, not annual.

Business is cyclical, seasonal; never had year where all geographies fired. COVID in FY20–22 caused 80% degrowth; recovered to ₹6,700 Cr in FY26 from ₹6,060 Cr in FY19. MICE/corporate +12–15% YoY; DMS transforming (8–12% YoY ex-ME). Long-term take rate target: 14–15%.

Different models (B2B/B2C). On B2C, some pricing leverage; B2B competitive. Airlines costs, forex rates risen. Focus: keep true to 4–5% EBIT margin range. Long-term: take rates 14–15%. Quarterly seasonal variations expected.

TCS reduced to 5%; it's cash outgo, not price (customer files return). Helps optics but not big impact. People took it right. No big positive impact I can put finger on.

Just 1 quarter in FY27. Difficult to gauge. Endeavour to deliver good outcome for full year. Don't have full-year forecast given current environment.

Yes, will see difference in Q2 for sure. Lag ~1–2 months correct. Drastic correction visible. Revenue must also grow. Benefits expected Q2 & Q3. ME recovery is bigger driver: currently sub-20% recovery (Apr–Jun), 30–35% (July). Revenue recovery determines earnings quality.

Too early to guide. But positive shift in long-haul: 28–30% deficit now trending lower. Short-haul +growth but lower ATV. Mix impact. Reasonable to expect H2 better than H1 if situations remain constant.

Currently gross margins stable/growing in outbound segments but EBIT margin at 2.4%; mix shift to lower-ATV domestic/short-haul headwind

Travel typically peaks H2; but dependent on ME recovery trend (currently <20% in Apr–Jun, 30–35% in July). No numeric target

Q1 delivered 2.4%; mgmt cites business model cyclicality, input cost inflation, competitive B2B pressure. Quarterly seasonal variations expected

Only 2 normal years since 2019 acquisition (FY23, FY24). Current –11.6% margin requires revenue recovery + cost lag to show benefit

Q1 28% PBT margin, +200 bps vs prior year. Occupancy expansion + rate growth + cost discipline evident. Visible pipeline supports margin leverage

₹243 Cr net assets; 50–60% went to revamp lasting 5–10 years. Day-to-day capex low; contracts already premise-ready via partners

Debt-free ₹3.7 Bn cash; expansion guided by 'asset-right' approach (owned/leased/managed mix). Multi-year growth visibility

DEI revenue 50% ME-dependent (₹1,307 Cr down from ₹2,097 Cr). Desert Adventures –89% revenue. Long-haul –28% YoY. Recovery sub-20% Apr–Jun, 30–35% July suggests inflection but not stabilized.

Travel EBIT ₹405 Cr on ₹1,711 Cr revenue = 2.4% margin (vs 4–5% target). Long-haul (high-margin) declining; domestic/short-haul (low-ATV) growing. Airline costs risen, forex rates unfavorable.

DEI net assets ₹243 Cr; targeting 6–7% EBIT margin normalized. Peak EBIT ~₹50 Cr (only 2 'normal years' since 2019 acquisition). ROE target 20% group-wide unlikely on DEI standalone.

Prior guidance: double-digit earnings growth FY27 achievable. Q1 –13.4% PAT. Management refuses to reaffirm, cites 'only 1 quarter', ongoing war. Analysts pushed; mgmt deflected.

Forex +6% revenue, 45% EBIT margin (highest margin segment). But online disruptors entering; customer digitization accelerating. 24% digital penetration rising; WhatsApp +80%.