Kamat Hotels: consolidated PAT more than doubles YoY to ₹9.69 Cr as margins expand
Kamat Hotels' consolidated revenue rose 9.6% YoY to ₹90.54 Cr in Q1 FY27 (Q1 FY26: ₹82.65 Cr), with consolidated PAT of ₹9.69 Cr (owners' share ₹9.40 Cr, EPS ₹3.19) versus ₹4.28 Cr a year ago — a headline gain of roughly 127% YoY. Standalone PAT was actually higher, at ₹10.63 Cr (EPS ₹3.50), pointing to a drag from subsidiary-level performance/minority interests at the group level. No brokerage preview or consensus estimate for this print turned up in a search, so there is no street beat/miss to call here (vsStreet: unknown); a separate management press release was not available to cross-check tone beyond the exchange filing itself.
The YoY jump was margin-led rather than purely volume-led: net margin (PAT/total income) expanded to about 10.4% from 5.1%, and operating margin improved to roughly 27.2% from about 22.4%, as employee costs and other opex grew slower than revenue while finance cost stayed roughly flat (₹5.86 Cr vs ₹6.05 Cr). Both quarters were largely clean of one-offs — this quarter had none, versus a modest ₹0.41 Cr net exceptional gain in Q1 FY26 — so the ~127% reported PAT growth is essentially adjusted-clean, if anything mildly understated versus a fully comparable base.
On guidance, management's FY26 Q4 concall had flagged a cautious FY27 topline outlook — an expected ~₹50 Cr full-year revenue hit from discontinuing the IRA Mumbai lease, offset by EBITDA gains as FY26's newer hotels mature — and management has separately spoken of a ₹500 Cr FY27 revenue ambition with EBITDA margins held in a 29-30% band. This quarter doesn't yet show the IRA Mumbai drag (revenue is still up YoY), but at ₹90.54 Cr it is only about 18% of the ₹500 Cr full-year mark and OPM of ~27.2% trails the guided 29-30% band, so this is best read as too early to call rather than on-track or off-track. Sequentially, revenue fell 17.8% and PAT fell 44.5% versus the Jan-Mar quarter (₹110.12 Cr revenue, ₹17.46 Cr PAT, NPM ~14.7%) — a seasonal unwind from the wedding/MICE-heavy Q4 rather than a deterioration.
The quarter included two asset-light moves consistent with the stated 150-200 key FY27 expansion plan: IRA by Orchid opened in Bhavnagar (June 19) and a second luxury Orchid property was signed in Dwarka (May 14). The board also approved a new ESOP scheme (up to 8.845 lakh options) and confirmed Milind Wadekar as CFO effective August 1, 2026, alongside the results. Auditors carried forward going-concern-related emphasis of matter for subsidiaries OHPPL and MPPL and the ongoing ₹5 Cr ED/PMLA deposit matter, both unchanged from prior quarters. Watch items going forward are whether the IRA Mumbai exit shows up in H2 revenue, whether OPM converges toward the 29-30% band as newer properties ramp, and delivery on the Dwarka/Bhavnagar-style asset-light additions.
