- IHCL plans $630.7 to $788.4 million capex in five years.
- The company targets consolidated revenue of $1.57 billion.
- FY26 revenue reached $1.05 billion, up 16 percent.
N Chandrasekaran, Tata Group chairman and non-executive director, laid out the plan at the company’s 125th Annual General Meeting.
“The company will spend $630.7 to $788.4 million over the next five years in terms of capex, that is the commitment we have made,” Chandrasekaran said.
IHCL aims to cross 700 hotels and hit a consolidated revenue of $1.57 billion by 2030. Right now, the portfolio sits at around 630 hotels, with 375 open and 255 in the pipeline. The year also saw the company add three new brands, bringing the total to fourteen and sign 250 hotels in a single year, which the company said was a record.
Chandrasekaran said the hospitality sector in India is benefiting from a number of structural drivers and advantages.
“Rising disposable incomes, expanding air connectivity, sustained investments in infrastructure and growing aspirations are all supporting growth in the hospitality sector,” he said.
The biggest single project on the cards is the Taj Bandstand hotel in Mumbai, going up near Bandra Fort. It is a 50-storey, 500-key property spread across two acres, with an investment of around $210.2 million attached to it. Separately, the Taj hotel in Frankfurt is expected to open later this year.
Fiscal year 26 was also a strong year for IHCL across the board. Consolidated revenue came in at $1.05 billion, up 16 percent, with EBITDA at an all-time high of $365.5 million and a margin of 34.9 percent. The fourth quarter alone delivered consolidated revenue of $299 million, up 14 percent, marking 16 straight quarters of record performance.
He also pointed to economic uncertainty linked to geopolitical tensions, changes in trade, technology disruption and shifting consumption patterns. Foreign tourist arrivals have slowed, while domestic tourism continues to grow on the strength of a resilient Indian economy.
The company intends to continue focusing management contracts as a core part of its growth model given how little capital they require. It will also continue holding on to owned properties to maintain service quality and brand standards.
Recently, Oneworld and IHCL launched a joint loyalty partnership linking airline and hotel rewards programs to offer reciprocal benefits to members.
