Eco Hotels and Resorts Limited announced its unaudited financial results for the quarter and nine months ended December 31, 2025, showing mixed performance with significant revenue growth but widening losses. The Board of Directors, in its meeting held on January 14, 2026, approved the quarterly results and made key corporate decisions including equity share issuance.

Financial Performance Overview

The company's standalone financial results for Q3FY26 revealed substantial operational challenges despite revenue improvements. The hospitality company, engaged in hotel operation and management, demonstrated significant business expansion but faced profitability pressures.

Nine-Month Performance Analysis

For the nine-month period ended December 31, 2025, Eco Hotels demonstrated consistent revenue growth trajectory while grappling with operational efficiency challenges. The company's total revenue increased dramatically from ₹3.63 lakhs in the previous year to ₹243.12 lakhs, representing substantial business expansion.

Expense Structure and Operational Challenges

The company's expense analysis reveals significant increases across multiple categories, reflecting business expansion costs. Employee benefits expense rose to ₹124.21 lakhs in Q3FY26 from ₹24.65 lakhs in Q3FY25, while finance costs surged to ₹84.08 lakhs from ₹0.50 lakhs. Depreciation and amortization expenses increased substantially to ₹70.90 lakhs compared to ₹1.18 lakhs in the previous year quarter.

Corporate Actions and Board Decisions

The Board of Directors approved several significant decisions during their January 14, 2026 meeting. Key corporate actions included:

These sweat equity shares will rank pari passu with existing equity shares and represent recognition of the Executive Chairman's contribution to company value creation.

Consolidated Results Performance

The consolidated financial results, including subsidiary Eco Hotels India Private Limited, showed similar trends with total revenue of ₹191.73 lakhs in Q3FY26 versus ₹22.18 lakhs in Q3FY25. The consolidated net loss stood at ₹219.56 lakhs compared to ₹145.81 lakhs in the corresponding previous quarter, with basic earnings per share at ₹(0.34).

Capital Structure and Share Information

The company maintains a paid-up equity share capital of ₹5,150.72 lakhs consisting of shares with face value of ₹10 each, along with partly paid-up equity share capital of ₹321.92 lakhs with face value of ₹2.50 each. The consistent capital structure across reporting periods indicates stable equity base despite operational challenges.

The financial results were reviewed by the Audit Committee and approved by the Board of Directors, with statutory auditors K.M. Garg & Company providing limited review reports for both standalone and consolidated results. The company operates under multiple hotel brands including THE ECO GRAND™, ECO HOTELS™, THE ECO™, and others, positioning itself as a carbon-neutral hotel brand in the hospitality sector.

Eco Hotels & Resorts Limited has officially dispatched first call money notices to shareholders holding partly paid-up equity shares issued under its rights offering. The company completed the electronic dispatch of notices on January 09, 2026, to eligible shareholders whose email addresses are registered with the company or its registrar.

Rights Issue Background

The first call notice relates to the company's rights issue conducted under the Letter of Offer dated August 29, 2025. The company had issued 1,28,76,808 partly paid-up equity shares of face value ₹10.00 each at an issue price of ₹15.20 per share on a rights basis. The rights ratio was 1 partly paid-up rights equity share for every 4 fully paid-up equity shares held as on the record date of August 29, 2025.

First Call Money Details

The Rights Issue Committee, in its meeting held on January 02, 2026, approved the first call of ₹3.80 per rights share. The first call record date was fixed as January 08, 2026, to determine eligible shareholders for the first call money payment.

Payment Options and Instructions

Shareholders can make payments through multiple modes during the specified period. The company has provided detailed instructions for each payment method to ensure smooth processing.

Available Payment Modes:

• Online ASBA through Self-Certified Syndicate Banks (SCSBs) websites
• Physical ASBA by submitting application forms to designated SCSB branches
• 3-in-1 online trading-demat-bank account facility offered by brokers

The company has emphasized that cash payments will not be accepted, and part payments will be treated as non-payment, potentially leading to forfeiture of shares.

Consequences of Non-Payment

The company has outlined specific consequences for shareholders who fail to make the first call payment by the due date:

• Interest charges of 10.00% per annum on delayed payments beyond February 10, 2026
• Deduction of outstanding amounts from future dividend payments
• Potential forfeiture of partly paid-up equity shares, including amounts already paid

Trading Suspension and Administrative Details

Trading of the ₹2.50 partly paid-up equity shares (ISIN: IN9638N01010) has been suspended on the stock exchange effective January 08, 2026, due to the first call process. The company's registrar and transfer agent, Bigshare Services Private Limited, is handling all administrative aspects of the first call process.

Shareholders can access the first call notice and related documents on the company's website at www.ehrlindia.in or the registrar's website at www.bigshareonline.com . For queries, shareholders can contact the registrar at +91 022 62638200 during business hours or email rightsissue@bigshareonline.com .