Royal Orchid Hotels Expects Occupancy Rate To Rise More Than 80% In FY19
Bengaluru-based Royal Orchid Hotels Ltd. is expecting an occupancy of more than 80 percent for the current financial year even as the industry average exceeded 70 percent during the January-March period.
Demand in the hotel industry has seen a drastic improvement, CFO Amit Jaiswal told BloombergQuint in an interview. “Levels like these have been seen for the first time in a decade.”
Jaiswal is confident of prices increasing by at least 8-10 percent in FY19.
Besides, increasing demand and cost optimisation measures will lead to a significant improvement in the company's bottom-line, according to Jaiswal. “We are also confident of growing 15 percent on the top line front,” he added.
Other Key Takeaways
Here are some of the other key takeaways from the interaction:
- The company has plans to open six new properties in the short-term
- It intends to open 40-50 hotels in the next 3-4 years
- Confident of reducing its consolidated debt of Rs 76 crore
Watch the full interview here.