Hospitality stock jumps 11% after reporting 71% QOQ increase in net profit

Synopsis: India Tourism Development Corporation Limited reports 55.95% QoQ revenue growth and a 71.42% QoQ surge in net profit in Q3 FY26 results.

This Small-Cap Hospitality Stock, engaged in promoting tourism, managing hotels, transport, duty-free shops, events, consultancy, and hospitality training services, jumped 10.5 percent after the company reported December quarterly results with a 71.42 percent QoQ increase in net profit.

With a market capitalization of Rs. 4,933.03 crores, the share of India Tourism Development Corporation Limited has reached an intraday high of Rs. 597.90 per equity share, rising nearly 10.5 percent from its previous day’s close price of Rs. 541.15. Since then, the stock has retreated and is currently trading at Rs. 575.15 per equity share. 

Q3 FY26 Result Walkthrough

Coming into the quarterly results of India Tourism Development Corporation Limited, the company’s consolidated revenue from operations increased by 23.67 percent YOY, from Rs. 149.41 crore in Q3 FY25 to Rs. 184.78 crore in Q3 FY26, and grew by 55.95 percent QoQ from Rs. 118.49 crore in Q2 FY26.

In Q3 FY26, India Tourism Development Corporation Limited’s consolidated net profit increased by 35.71 percent YOY, reaching Rs. 28.01 crore compared to Rs. 20.64 crore during the same period last year. As compared to Q2 FY26, the net profit has increased by 71.42 percent, from Rs. 16.34 crore. The basic earnings per share increased by 35.27 percent and stood at Rs. 3.26 as against Rs. 2.41 recorded in the same quarter in the previous year, FY2025.

India Tourism Development Corporation Limited’s revenue and net profit have grown at a CAGR of 25.41 percent and 138.11 percent, respectively, over the last three years.

In terms of return ratios, the company’s ROCE and ROE stand at 30.5 percent and 24.2 percent, respectively. India Tourism Development Corporation Limited has an earnings per share (EPS) of Rs. 9.27, and it’s an almost debt-free company.

India Tourism Development Corporation Limited reported total segment revenue of Rs. 195.68 crore. The Hotel Division contributed Rs. 101.22 crore, accounting for about 51.73 percent of total revenue. Event Management, Hospitality & Tourism Institute & others added Rs. 86.25 crore or 44.08 percent. 

The International Trade Division generated Rs. 3.63 crore (1.85 percent), Travels & Tours contributed Rs. 3.50 crore (1.79 percent), while Engineering & Consultancy Projects added Rs. 1.07 crore, forming 0.55 percent of total revenue.

India Tourism Development Corporation Limited engages in promoting tourism across India through comprehensive hospitality and travel services. It constructs, manages, and operates hotels and catering units for tourists, while providing reliable transport facilities and duty-free shopping options at key locations. 

The company organizes entertainment programs, convention and conference facilities, and cultural events like food festivals and fairs to attract visitors. It offers consultancy, management services, and training in the tourism and hospitality sectors, alongside engineering projects for infrastructure development. 

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