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India’s ITC Hotels Soars with 53% Profit Surge in Q1 FY26, Updates You Need to Know

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Wednesday, July 23, 2025

India’s hospitality business has got a strong uplift with ITC Hotels announcing a robust 53 per cent surge in net profit for the quarter ending June 2026. It represents one of the biggest acquisitions in the company’s recent history and a testament to the resilience in its strategy and business in a post-pandemic revival in travel trends.

Record-Breaking Financial Results

ITC Hotels has reported its best ever quarterly numbers, as per a report by Times of India. Revenue stong, surged 20 percent YoY to $103.2M; net income: $16.08M. The sizeable earnings growth is mainly driven by higher occupancy, higher average daily rates and margin expansion in most segments of the hotel business.

This is particularly significant, given that this is an evenly sustained bounce-back in both large urban markets and smaller urban markets, which does indicate a widespread resurgence in travel demand.

Expanding Portfolio Across India

ITC Hotels is now a force to reckon with in the hospitality industry in India. It now has a portfolio of more than 200 properties, 143 of which are in operation and another 58 under development. The pipeline hotels total more than 5,300 new rooms set to open in the next few years.

Over the last 24 months, the company has signed 55 new properties and opened 25. This speedy growth is an indication of both ITC’s aspirations and its ability to implement its plans at the grassroots.

Ambitious 2030 Vision

ITC Hotels is focused upon its fortune500 aspiration of 220 operating hotels with over 20,000 keys by the year 2030. The business plans to do so via its “asset-right” strategy — a capital-light model that values partnerships with property owners over direct investment in land and infrastructure.

With this model, ITC Hotels can expand rapidly and efficiently with solid brand standards and consistent guest experiences. The tactic is consistent with the current business models in the hospitality industry, in which operational efficiency and brand, rather than owning physical assets, are the defining factors.

Welcomhotel Prayagraj Strengthens Tier 2 Focus

ITC’s foray in emerging cities is exemplified by the opening of its latest hotel, Welcomhotel Prayagraj in Uttar Pradesh. With 60 rooms and extensive banqueting facilities, this new hotel is ideal for both business and leisure travel.

This one will add to 7 ITC Hotels collection in Uttar Pradesh and take up the number to 13 ITC Hotels in the line-up. The company’s strong presence in the state reinforces its B2R (Beyond the Ratio) strategy of penetrating the Tier 2 and 3 cities where demand for upscale hospitality is rising on the back of urbanization, enhanced connectivity and increased disposable income.

Structural Shift Through Demerger

ITC Ltd has demerged the hotel business into ITC Hotels Ltd as part of its strategic restructuring of the company. The demerger is meant to enable the company to function independently with greater strategic flexibility and a focused mandate for growth.

Industry watchers say that restructuring can bring the focus back to the company, channel more investment on relevant operations, enhanced management efficiency and clearer brand identity, which can translate into better market performance.

Riding The Hospitality Recovery Wave

The overall travel and tourism ecosystem in India is witnessing a robust recovery, and ITC Hotels is positioned to benefit from this momentum. Its diverse brand architecture—including ITC Hotels, Welcomhotel, Fortune Hotels, and Mementos—caters to a wide range of customer needs across price points and geographies.

Beyond expansion, ITC’s focus on wellness, sustainability, and culinary innovation enhances its appeal among experience-driven travelers. This commitment to quality and customer-centric service further strengthens its brand loyalty and market share.

Conclusion

Exceptional performance by ITC Hotels in Q1 FY26 is a milestone in its journey of growth. The 53 percent increase in profit, along with record revenues, is not only yet another indication of a favorable market environment, but also of a company that is confidently executing with clarity.

With strong fundamentals, strategic orientation and a compelling vision of the future, ITC Hotels is well poised to play a key role in moulding the next decade of India’s hospitality space.



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Travel Smart: Save More By Exploring India’s Lesser-Known Destinations | Business News

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The Trend shows Indian travellers opting for underrated destinations and avoiding the traditional hotspots of the world for their perfect getaways.

Why Indian travellers are choosing offbeat destinations. (representative image)

Amidst rising inflation and expenses, Indian travellers are getting smarter and opting for lesser-known destinations for their family getaways. According to a report by Policybazaar, there has been a 45 per cent rise in travel insurance purchases made by Indian tourists for such not-so-popular locations within the last three years.

Travel experts have encouraged tourists to visit these offbeat destinations as they offer budget-friendly accommodation options, cheap meals and various experiences. In stark contrast with the traditional hotspots of the world, where heavy tourist turnout fuels prices to incredible heights.

Save Money By Travelling Low-Key

According to Pavan Kavad, Managing Director of Prithvi Exchange (India) Limited, Indians can save up to 20-40 per cent of their touring expenses just by opting for what are often called the underrated gems of the world. At these emerging destinations, local transport, hotel stays and food are significantly more affordable than the usual tourist hubs.

“Mid-range hotels in Vietnam are often 30-40% cheaper than comparable stays in Goa, while a city break in Eastern Europe can cost nearly half of what a weekend in Edinburgh would,” Kavad says.

The strength of the Indian rupee also plays a big role here. According to estimates, a budget of Rs 1 lakh would barely cover four nights in Paris, whereas in places like Poland, it should cover a week-long trip. When the Indian rupee weakens against a foreign currency, outbound costs for Indian travellers usually rise by 8-15 per cent, at times even 18, noted Kavad.

Smart Planning Further Raises Affordability

SD Nandakumar, President & Country Head – Holidays & Corporate Tours, SOTC Travel, believes Indian travellers can further ease their budget constraints and enjoy greater buying capacity overseas through smarter travel planning. Travelling during the off-seasons, making bookings in advance and wisely choosing the accommodation and food locations could prove to be a game-changer for Indian middle-class tourists.

“Booking holidays during a destination’s off-peak season is an effective way to save. Self-drive tours in countries like South Africa, Scotland, and Spain-Portugal allow travellers to explore at their own pace while discovering lesser-known locations,” said Nandakumar.

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Madhya Pradesh Bags ‘Best State Tourism Board’ Award at India Travel Awards 2025 – Indian PSU

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Madhya Pradesh Tourism Board (MPTB) has been awarded the ‘Best State Tourism Board’ Award at the prestigious India Travel Awards 2025, held at Le Meridien, New Delhi. The award was presented by Union Minister for Tourism and Culture, Gajendra Singh Shekhawat, in recognition of Madhya Pradesh’s excellence in innovation, sustainable growth, and leadership in the tourism sector.

Minister of State (Independent Charge) for Tourism, Culture, and Religious Trusts and Endowments, Dharmendra Singh Lodhi, said the honour is a matter of great pride for the people of Madhya Pradesh. “Under the leadership of Chief Minister Dr. Mohan Yadav, the state government has resolved to make tourism a driver of development. This award motivates us to bring global recognition to the state’s heritage, natural wealth, and folk traditions while also creating opportunities for employment and self-reliance,” he remarked.

Sheo Shekhar Shukla, Additional Chief Secretary, Tourism, Culture, Home, Religious Trusts and Endowments, and Managing Director of MPTB, credited the award to the team’s collective vision. “Our goal is to create new destinations, strengthen local economies, empower women, preserve traditions, and promote sustainable tourism. This recognition inspires us to position Madhya Pradesh – the ‘Heart of Incredible India’ – as a unique tourism hub where tradition, nature, and modernity blend seamlessly,” he said.

The recognition reflects MPTB’s forward-looking initiatives, including:

  • Development of eco-tourism circuits
  • Promotion of community-based homestays
  • Expansion of adventure and experiential tourism
  • Strengthening of hospitality and visitor infrastructure

With this award, Madhya Pradesh reaffirms its commitment to offering tourists a world-class travel experience, highlighting its rich cultural legacy, natural landscapes, and diverse traditions.



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Visa rejected twice: An American traveller’s heartbreaking tale of not-being able to visit India; watch the viral video |

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India is a dream destination of many! The country has been attracting travellers from all over the world every year with its golden history, spirituality, and colourful life. But the story of Eli Snyder, an American travel content creator, is completely different. His dream of exploring India remains a dream because his e-Visa application to India has been rejected not once but twice. The traveller is all disappointed and confused and narrates his rejection journey and frustration in a video that is going viral now.His storySnyder had designed his India trip in India for three weeks. He admitted that India is a country he has long admired and he was disappointed when his visa got rejected (AGAIN). He shared a video on Instagram and he wrote: “An absolute dream destination for me… I’ve wanted to go to India for a verryyy long time.” He explained he was looking forward to experiencing the food, culture, and landscapes firsthand. But his plans came to an abrupt stop with two consecutive visa rejections.He also called the situation “genuinely devastating.” His own visa struggles resonate with so many travellers in the world.What might have gone wrongThough there’s no explanation for the rejections, Snyder talks about a possible reason. He said that several travellers who faced similar issues had one detail in common—a Pakistani passport stamp. While U.S. citizens are eligible for India’s e-Visa, travel history can sometimes complicate approvals.This observation is unconfirmed.Viral videoSnyder’s video went viral and a number of fellow explorers also shared their experiences. One traveller shared, “Same happened to me with a German passport. Eventually received the visa through the Indian embassy. Worth the wait and hassle—spent three months there and loved it.”Such responses reflect a common theme among global travellers: while visas can be unpredictable and persistence often pays off.

Tourism experts note that while India has simplified its entry process, applications may be declined due to documentation issues, past travel stamps, or some unknown reasons. Travel advisors recommend that applicants facing repeated rejections consider applying directly through Indian embassies or consulates.But as of now, Snyder’s dream of exploring India remains on hold. Yet, as fellow travelers reminded him, such setbacks are often temporary. The passion that drives people to explore rarely fades—and when Snyder eventually makes it to India, his long wait may only deepen the significance of the experience.





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