Ventive Hospitality Ltd

- Ventive Hospitality currently has a comfortable net debt position of around ₹1,650 crore with gross debt increases related mainly to recent acquisitions (Hilton Goa, Soho). - Capex of ₹800-900 crore is planned over the next 2 years for ongoing projects and will largely be funded through internal accruals. - The company has enough headroom to take on additional debt if needed for growth plans or new acquisitions. - The net debt to EBITDA ratio stands at 1.4x, and management is comfortable with this level but has capacity to reduce it if desired. - No specific plans for equity fundraising were mentioned in the call. - Cost of funds is the lowest in the industry, with ongoing negotiations to further reduce borrowing costs. - Strategy focuses on disciplined financial management, with growth funded primarily through internal cash flows and selective debt as required.

- Capex over next 2 years for existing projects (Sri Lanka, Varanasi, AC by Marriott Bangalore) is estimated at ₹800-900 crore, mostly funded through internal accruals (Page 15). - This translates to about ₹400-450 crore per year over the next 30 months (Page 15). - The company is evaluating ROFO (Right of First Offer) assets such as JW Marriott Navi Mumbai and three Moxy Hotels, planned for delivery around FY 2030, which will provide long-term growth without near-term capital strain (Page 5). - Recent acquisition of Hilton Goa funded through internal accruals; Hilton debt taken on for ₹100+ crore portion of acquisition (Page 15 and Page 9). - Emphasis on disciplined capital deployment focusing on returns, brand strength, and margin sustainability rather than scale alone (Page 5). - No near-term stretching of the balance sheet; sufficient headroom for additional debt for growth or acquisitions as needed (Page 15).

- Ventive Hospitality expects continued robust revenue growth driven by strong ADR growth and occupancy improvements, particularly in India and Maldives portfolios. - India portfolio sees sustained ADR growth (~17-18%) supported by luxury demand, especially in Pune and Bangalore, with stable occupancy and strong office space absorption fueling future demand. - Maldives occupancy expected to stabilize around 70%, with diversified product offerings driving TRevPAR growth. - Food & Beverage segment anticipates continued double-digit growth (14-16%) with strong seasonal trends. - Acquisition pipeline focused on wellness, leisure, and branded residences, with selective and precise asset management for TRevPAR growth. - Capex of ₹800-900 crore planned over next 2 years, mainly funded through internal accruals, supporting new openings and renovations. - Management anticipates sustained double-digit growth in key operating metrics and margin expansion while maintaining balance sheet discipline.

- Ventive Hospitality expects continued strong momentum entering FY27 following a stellar 9-month performance in FY26. - The company anticipates sustained double-digit growth across key operating metrics, reflecting broad-based growth across India, Maldives, and annuity portfolios. - EBITDA margins are expected to maintain expansion trends, supported by premiumization strategies and operational leverage. - India portfolio has significant untapped occupancy potential, complemented by robust ADR growth driven by office market strength, especially in Pune. - Maldives portfolio occupancy is stabilizing around 70%, with potential for further TRevPAR growth due to varied luxury product offerings. - Future acquisition pipeline focuses on wellness and leisure properties, leveraging construction and execution strengths. - EBITDA per key target of ₹25 lakh at Hilton Goa post-renovation suggests strong profitability. - Capex guidance of ₹400-450 crore per year over next 2–2.5 years funded by internal accruals supports growth without stretching balance sheet. - Maintaining a strong balance sheet with low net debt-to-EBITDA (1.4x) facilitates disciplined growth and strategic acquisitions.

- The development pipeline is firmly on track with projects including Marriott Varanasi, AC by Marriott Bangalore, Courtyard by Marriott Mundra, Ritz-Carlton Reserve Pottuvil (Sri Lanka); targeted completions between FY '27 and '28. - ROFO (Right of First Offer) assets such as JW Marriott Navi Mumbai and three Moxy Hotels are in approval and design phase; deliveries targeted around FY30. - These ROFO assets provide long-term growth visibility without near-term capital strain. - Capex planned over the next 2-2.5 years is around ₹800-900 crore, predominantly funded through internal accruals. - The company is selectively scaling its asset and acquisition pipeline with precision, focusing on wellness, leisure, and branded residences. - No near-term capital strain is expected due to the mix of organic development and acquisitions with existing balance sheet strength.