Apeejay Surrendra Park Hotels Limited — Investor Meet, 10-02-2025: Analysts/Institutional Investor Meet/Con. Call Updates

**Financial Performance:** Apeejay Surrendra Park Hotels Limited reported a revenue from operations of ₹177 Cr in Q3 FY25, reflecting an 11% year-over-year increase. EBITDA also grew by 11% to ₹63 Cr, with an EBITDA margin of 36%. Profit After Tax (PAT) reached ₹32 Cr, marking a 17% growth compared to the previous year. The company maintained strong operational metrics, achieving a record occupancy rate of 91%, leading the industry in the upper upscale segment.

**Future Outlook and Growth Drivers:** Management highlighted growth momentum, driven by the recent openings of luxury properties and the strategic launch of 'ZoneConnect by The Park' timed with the Maha Kumbh 2025. The company aims to significantly expand its retail brand, Flurys, now at 100 outlets, reinforcing its scalable business model.

**Order Book and Operational Updates:** The management noted ongoing development with significant upcoming hotels, including locations in Pune and Visakhapatnam, projected to be completed by early 2027 and late 2027, respectively.

**Analyst Q&A Insights (Detailed):**

- **Revenue and Profitability:** Analysts questioned future revenue projections, with management expressing confidence in achieving sustained double-digit growth.

- **Market Position and Competitive Landscape:** Concerns regarding competitive threats were addressed, emphasizing ASPHL’s leadership in occupancy and RevPAR.

- **Operational Challenges or Risks:** Brief mention of cost pressures; management maintained a positive outlook regarding operational resilience.

- **Capex and Capital Allocation:** Analysts inquired about capital expenditure; management plans indicate a focus on strategic organic growth while maintaining a robust balance sheet.

- **Strategic Priorities and Long-Term Vision:** The long-term vision focuses on diversifying through innovative expansion, particularly through Flurys, to adapt to evolving market dynamics.

**Market or Regulatory Updates:** No significant regulatory challenges were reported, indicating a favorable climate for operational expansion.

**Strategic Focus Areas:** Emphasis on innovation and cost control was prevalent, reflecting management's confidence in maintaining leadership in the upscale market.

**Investor Insight:** The company’s strong Q3 performance, with promising growth indicators and strategic expansion plans, suggests a favorable outlook for investors, aligning with a 'buy' position based on the financial health and future potential.