Lemon Tree Hotels Ltd
Lemon Tree Hotels Q3 FY26 earnings call: Revenue & Margins
Q3 FY26 earnings call: what management guided on revenue, margins and order book.
The short version
Fee income growth at Lemon Tree is expected to accelerate, surpassing the past 20% growth seen due to a pipeline of signed hotels opening 3 years later. Lemon Tree aims for fee income growth exceeding 20% annually, driven by lag effect as newly signed hotels get operationalized (~3 years delay). - EBITDA margin for Lemon Tree standalone expected to rise from current ~70-76% to around 80% within 2 years (FY28), due to operating leverage and asset-light model. - Profit After Tax (PAT) margin projected around 60% of revenue for Lemon Tree standalone by FY28. - Fleur Hotels’ net EBITDA expected to exceed Rs.
From Lemon Tree Hotels Ltd's Q3 FY26 earnings-call transcript · updated 23 Aug 2026.
Revenue & Sales Performance
- Fee income growth at Lemon Tree is expected to accelerate, surpassing the past 20% growth seen due to a pipeline of signed hotels opening 3 years later.
- The company expects fee income from signed hotels to materialize mainly after a 3-year operationalization window, leading to substantial growth by FY29.
- Fleur Hotels is projected to achieve net EBITDA north of Rs. 1,000 crore by FY28, driven by acquiring more rooms and assets.
- Lemon Tree standalone net EBITDA is expected to grow to about Rs. 850 crore by FY27 and cross Rs. 1,000 crore by FY28.
- The company plans to expand its portfolio significantly, including potentially acquiring 2,500 rooms actively discussed.
2 more points management made on revenue & sales performance
Profitability & Margins
See what Lemon Tree Hotels Ltd said on profitability & margins — free account, 30 seconds.
Capital Expenditure Plans
- Warburg Pincus committed Rs. 960 crores equity infusion in Fleur Hotels over the next 12 months for growth and acquisitions.
- Fleur Hotels expected to have Rs. 300-350 crores of equity cash available internally over next 1.5 years to deploy.
- Combined capital deployment of about Rs. 3,000 crores (equity + debt) targeted in the next 12-18 months for acquisitions and development.
- Current pipeline includes approximately 750 rooms under construction (Shimla ~100 rooms, Shillong ~160 rooms), expected ready by listing time.
- Additional 2,500 rooms targeted for acquisition/development requiring around Rs. 2,500 crores (estimated Rs. 1 crore per room).
- Aurika Nehru Place project expected to require maximum cash in its last construction year, funded through free cash flows by FY29-30.
2 more points management made on capital expenditure plans
Top-ranked in Leisure Services
Ranked on what management guided this quarter
Rank buckets describe management commentary on revenue and margin. Not investment advice, and not a forecast of returns.
Fundraising & Capital Structure
See what Lemon Tree Hotels Ltd said on fundraising & capital structure — free account, 30 seconds.
Order Book & Pipeline
2 more points management made on order book & pipeline
Lemon Tree Hotels Ltd — Quarterly revenue & net profit
Reported quarterly figures (₹ Cr). Latest: revenue ₹406 Cr, net profit ₹82 Cr. Revenue and profit are scaled separately — hover a quarter for exact figures.
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What Lemon Tree Hotel's management said in earlier quarters
- Q1 FY27 earnings call analysis →
- Q3 FY25 earnings call analysis →
- Q3 FY26 earnings call analysis →
- Q4 FY26 earnings call analysis →
- Q2 FY26 earnings call →
- Q1 FY26 earnings call →
- Q4 FY25 earnings call →
- Q2 FY25 earnings call →
- Q1 FY25 earnings call →
- Q4 FY24 earnings call →
- Q3 FY24 earnings call →
- Q2 FY24 earnings call →
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Frequently Asked Questions
What were Lemon Tree Hotels Ltd Q3 FY26 results?
Fee income growth at Lemon Tree is expected to accelerate, surpassing the past 20% growth seen due to a pipeline of signed hotels opening 3 years later. Lemon Tree aims for fee income growth exceeding 20% annually, driven by lag effect as newly signed hotels get operationalized (~3 years delay). - EBITDA margin for Lemon Tree standalone expected to rise from current ~70-76% to around 80% within 2 years (FY28), due to operating leverage and asset-light model. - Profit After Tax (PAT) margin projected around 60% of revenue for Lemon Tree standalone by FY28. - Fleur Hotels’ net EBITDA expected to exceed Rs.
What is Lemon Tree Hotels Ltd share price analysis?
Lemon Tree Hotels Ltd currently shows a neutral. The stock trades at a P/E of 36.0 with a market cap of ₹8,927 Cr. Investors should review the full earnings analysis for detailed insights.
Is Lemon Tree Hotels Ltd planning capital expenditure?
Warburg Pincus committed Rs.
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This analysis is AI-generated based on publicly available earnings data and the company's earnings call transcript. This is not investment advice. Please consult a SEBI-registered advisor before making investment decisions.