Royal Orchid Hotels Limited held its Q3 FY26 earnings conference call on February 16, 2026, showcasing robust financial performance and operational achievements. The hospitality company reported strong consolidated results with significant growth across key metrics, driven by strategic expansion and operational excellence.

Financial Performance Highlights

The company delivered impressive financial results for Q3 FY26, demonstrating the effectiveness of its growth strategy and operational focus.

Chander K. Baljee, Chairman and Managing Director, highlighted that the quarter marks another important milestone in the company's journey of disciplined growth, operational excellence and strategic transformation. The strong performance reflects the company's continued focus on cost efficiency and premium positioning.

ICONIQA Mumbai Exceptional Performance

The standout achievement of the quarter was the exceptional performance of ICONIQA Mumbai, which has exceeded expectations since its launch.

Amit Jaiswal, Chief Financial Officer, explained that ICONIQA achieved over 70% occupancy and expects to reach profitability in Q4 FY26 after accounting for pre-operating expenses in Q3. The hotel's success demonstrates the company's execution capability and brand strength in the premium segment.

Expansion Pipeline and Growth Strategy

Royal Orchid Hotels has built a substantial pipeline for future growth, maintaining its asset-light philosophy while expanding its presence across India.

Current Portfolio Status

• Total Keys: 10,700+ across 168+ hotels
• Pipeline Hotels: 47+ properties under development
• Brand Architecture: Z, Place, Regenta, Crestoria and ICONIQA

Upcoming Revenue Share Properties

The company has four revenue share hotels in development with significant revenue potential:

Jaiswal noted that these four properties combined are expected to contribute approximately INR100 crores in additional top line revenue once fully operational.

Management Contract Business Growth

The company's asset-light management contract business continues to expand, providing steady cash flows with high margins.

Keshav Baljee, newly appointed Executive Director, confirmed that approximately 220 keys are expected to open in Q4 FY26 across properties in Ambala, Rishikesh, Bhuj, and Bhadohi.

Strategic Initiatives and Future Outlook

The management outlined several strategic initiatives to drive future growth:

• Asset Divestment: Multi-hotel subsidiary sale transaction in progress with 40-45% proceeds already received
• ICONIQA Expansion: Target of 8 ICONIQA properties by 2030
• Room Addition Target: 22,000 rooms by FY30, requiring 3,000-4,000 room additions annually
• Revenue Guidance: INR500 crores top line target for FY27-28

Arjun Baljee, President, emphasized that the company has clarity in its brand architecture and each brand is on a growth path, with demonstrated success through ICONIQA's performance.

Operational Excellence and Market Position

The company maintains strong operational metrics with overall occupancy around 70% across its portfolio. The management highlighted that organic growth opportunities remain limited, making the pipeline expansion crucial for achieving growth targets.

The earnings call demonstrated Royal Orchid Hotels' successful execution of its asset-light strategy, strong brand positioning, and ability to deliver exceptional guest experiences while creating sustainable long-term value for stakeholders.

Royal Orchid Hotels Limited has received a status quo order from the Karnataka High Court in a dispute involving its hotel unit Royal Orchid Central Pune. The company disclosed this development to stock exchanges on February 14, 2026, in compliance with regulatory requirements.

Court Order Details

The Hon'ble High Court of Karnataka passed the order on February 13, 2026, in the case between Royal Orchid Hotels Limited and Rock Reality Private Limited. The court's directive is clear and comprehensive in its scope.

Regulatory Compliance

The company has fulfilled its disclosure obligations under Regulation 30 of the SEBI (Listing Obligations and Disclosure Requirements) Regulations, 2015. The intimation was signed by Chander K Baljee, Chairman & Managing Director, and submitted to both BSE and NSE.

Financial Impact Assessment

According to the company's disclosure, there are no negative implications from this court order. The status quo arrangement applies equally to both parties involved in the dispute, ensuring that the current operational status of the hotel unit remains unchanged until the next hearing date.

Current Status

The court order requires both Royal Orchid Hotels Limited and Rock Reality Private Limited to maintain the existing status of all aspects related to the subject properties. This arrangement will continue until the court schedules and conducts the next hearing in the matter.