Howard Hotels Limited announced its unaudited financial results for the quarter and nine months ended December 31, 2025, showcasing mixed performance across different periods. The Board of Directors approved these results on January 28, 2026, following review by the Audit Committee and statutory auditors.

Quarterly Performance Analysis

The company delivered a strong quarterly performance in Q3FY26 with significant improvements in profitability. Revenue from operations increased marginally while the company maintained healthy profit margins during the quarter.

Nine-Month Financial Overview

The nine-month performance showed improvement in loss reduction, though revenue declined compared to the previous year. The company managed to narrow its losses significantly during this period.

Expense Management and Cost Structure

The company's expense management showed varied trends across different categories. Employee benefit expenses decreased in the nine-month period while other operational costs remained relatively stable.

Key Expense Categories (Nine Months):

• Cost of Material Consumed: ₹196.02 lakhs (FY26) vs ₹200.21 lakhs (FY25)
• Employee Benefit Expenses: ₹334.29 lakhs vs ₹359.18 lakhs
• Finance Cost: ₹30.57 lakhs vs ₹36.51 lakhs
• Depreciation & Amortisation: ₹77.68 lakhs vs ₹53.56 lakhs
• Other Expenses: ₹499.33 lakhs vs ₹502.68 lakhs

Auditor's Qualified Opinion

The statutory auditors M/s. BGG & Associates issued a qualified review report regarding the financial results. The qualification relates to the company's approach to deferred tax provisions, as Howard Hotels Limited has not made provision for deferred tax for the quarter and nine months ended December 31, 2025. The company follows the practice of making deferred tax provisions at the end of the financial year.

Corporate Governance and Compliance

The financial results were reviewed by the Audit Committee and approved by the Board of Directors at their meeting held on January 28, 2026. The meeting commenced at 2:00 PM and concluded at 3:58 PM. The results have been prepared in accordance with Indian Accounting Standards (Ind AS) prescribed under Section 133 of the Companies Act, 2013, and comply with SEBI listing regulations.

The company maintains a paid-up equity share capital of ₹911.32 lakhs with a face value of ₹10 per share, which remained unchanged across all reported periods. Howard Hotels Limited operates primarily in the hospitality sector, with hoteliering being its only business segment.

Howard Hotels Limited has released its unaudited financial results for the quarter and half-year ended September 30, 2025, following a board meeting held on November 12, 2025. The company's board has approved the limited review report issued by statutory auditors BGG Associates, along with the unaudited financial results, statement of assets and liabilities, and cash flow statement.

Key Financial Highlights

All figures in Rs. lacs

Auditor's Qualified Conclusion

The statutory auditors, BGG Associates, have issued a qualified conclusion in their limited review report. The qualification pertains to the company's practice of not making provisions for deferred tax for the quarter and half-year ended September 30, 2025. Howard Hotels reportedly makes deferred tax provisions only at the end of the financial year.

The auditors stated that they were unable to ascertain the impact of this qualification on the quarterly and half-yearly results. This practice raises questions about the completeness of the financial picture presented in these interim results.

Board Meeting Details

The board meeting, which commenced at 2:00 PM and concluded at 3:15 PM on November 12, 2025, addressed several key points:

1. Approval of the limited review report on unaudited financial results
2. Approval of unaudited financial results for Q2 and H1 FY2026
3. Approval of the statement of assets and liabilities as of September 30, 2025
4. Approval of the cash flow statement for the half-year ended September 30, 2025

Transparency and Compliance

In compliance with SEBI (Listing Obligations and Disclosure Requirements) Regulations, 2015, Howard Hotels Limited has made the financial results available on its website ( www.howardhotelsltd.com ) and on the BSE website ( www.bseindia.com ). This move ensures transparency and easy access to financial information for stakeholders and potential investors.

Conclusion

While Howard Hotels Limited has released its Q2 FY2026 results, the qualified conclusion from the auditors regarding deferred tax provisions warrants attention. Investors and analysts may need to consider this qualification when assessing the company's financial position and performance for the period.

As the hospitality sector continues to evolve, stakeholders will likely keep a close eye on Howard Hotels Limited's financial strategies and their impact on the company's overall fiscal health.