Hospitality Sector

ITC has strengthened its presence in India’s hospitality sector with the launch of a Welcomhotel property in Dehradun, marking a strategic expansion into one of North India’s fastest-growing urban and tourism hubs. The new hotel reflects ITC’s broader strategy of tapping emerging cities with rising demand for premium accommodation driven by business travel, weddings, and leisure tourism.

Indian Hotels Company Ltd. (IHCL) is set to strengthen its presence in Tamil Nadu with the upcoming launch of a Ginger-branded hotel in Tuticorin, a key port and industrial hub on the state’s southern coast. The move reflects IHCL’s broader strategy to scale its lean-luxe brand across high-potential tier-II and tier-III cities. With growing industrial activity, logistics trade, and regional tourism driving demand, Tuticorin presents a compelling opportunity.

ITC Hotels has been allotted a parcel of land in Dwarka, Delhi, paving the way for the development of a new five-star luxury hotel in one of the capital’s fastest-growing urban zones. The move aligns with the company’s long-term strategy to expand its premium hospitality footprint in key metropolitan markets. The proposed project is expected to strengthen ITC Hotels’ presence in Delhi while catering to rising demand from business travelers, international visitors, and large-scale events.

India’s hospitality industry is experiencing robust growth, fueled by increasing tourist inflows, expanding infrastructure, and rising domestic and international demand. Enhanced connectivity, government initiatives promoting tourism, and the development of premium hotels and resorts are reshaping the sector’s landscape. Analysts note that both urban and leisure destinations are witnessing record occupancy rates, while new projects are creating employment opportunities and attracting investment.

Indian Hotels Company Limited (IHCL) has strengthened its footprint in Kerala with the grand opening of Vivanta Aluva in Kochi. The luxury property is strategically positioned to cater to both business and leisure travelers, combining premium hospitality with modern amenities. This expansion reflects IHCL’s ongoing strategy to penetrate key regional markets, leveraging Kerala’s growing appeal as a tourism and business hub. The new property underscores the brand’s commitment to experiential stays, superior service, and sustainable operations.

ITC Hotels has reported a remarkable 74% increase in net profit for the second quarter, reaching Rs 133 crore, driven by strong recovery in domestic hospitality demand and enhanced operational efficiencies. The surge reflects rising occupancy rates, improved average room tariffs, and cost-optimization measures across properties. Revenue growth was supported by increased leisure and business travel, alongside strategic marketing initiatives targeting premium segments.

Brigade Hotel Ventures Ltd. (BHVL), the hospitality arm of Brigade Group, reported a sharp 57% year-on-year increase in its profit after tax (PAT) to Rs. 11 crore for the quarter ended September 2025. The strong performance was driven by higher occupancy rates, improved room yields, and sustained growth in food and beverage revenues. Supported by a rebound in business and leisure travel, the company’s revenue from operations saw a healthy uptick, reinforcing its position in the premium hospitality segment.

Bloom Hotels, a tech-driven hospitality brand, reported a significant 36.14% increase in revenue for the fiscal year 2024-25, reaching ₹357.50 crore compared to ₹262.60 crore in the previous year. This growth underscores the company's strategic expansion and operational efficiency. In the past three years, Bloom Hotels has achieved a sixfold revenue increase, from ₹58 crore in FY22 to over ₹357 crore in FY25. The company attributes this success to its focus on capital efficiency, profitability, and product excellence, with plans to explore expansion into Tier 2 and 3 cities.

Hyatt Hotels Corporation has announced a landmark expansion of its JdV by Hyatt brand in Kanpur, signaling a strategic push into India’s growing premium hospitality market. The new property, set to be a signature lifestyle hotel, reflects Hyatt’s focus on delivering culturally inspired experiences while catering to business and leisure travelers. Analysts note that this move aligns with rising domestic travel demand, urban business growth, and increasing interest in experiential hospitality.

Leela Palaces, a renowned name in India’s luxury hospitality sector, has secured approval from the Ministry of Corporate Affairs (MCA) for a formal change in its corporate identity. This move marks an important milestone in the brand’s evolution, aligning its legal framework with its refined positioning in the market. The change, although procedural, underscores the group’s strategy to consolidate its brand presence, strengthen its legacy in luxury hospitality, and reflect a more contemporary corporate image.