Sayaji Hotels Reports Quarterly Loss Despite Revenue Growth

Sayaji Hotels Limited , a prominent player in the hospitality sector, has released its financial results for the quarter ended September 30, revealing a mixed performance with increased revenue but a significant net loss.

Financial Performance

The company reported a net loss of Rs 425.74 lakhs for the quarter, a stark contrast to the profit of Rs 51.79 lakhs recorded in the same quarter of the previous year. This downturn came despite a notable increase in total income, which rose to Rs 3,247.12 lakhs from Rs 2,377.41 lakhs year-over-year.

Revenue and Expenses Breakdown

A closer look at the financial statements reveals:

Particulars	Q2 (Rs. Lakhs)	Q2 (Rs. Lakhs)
Revenue from Operations	3,166.78	2,812.50
Other Income	44.34	64.91
Total Income	3,212.12	2,877.41
Total Expenses	3,682.54	2,794.94
Profit/(Loss) before Tax	(440.42)	86.69

The company saw a significant increase in expenses, particularly in employee benefits and depreciation, which contributed to the overall loss despite the revenue growth.

Corporate Governance Update

In a move to strengthen its corporate governance practices, Sayaji Hotels' Board of Directors approved alterations to its Code of Conduct for insider trading regulations. This update aligns with the Securities and Exchange Board of India (SEBI) guidelines and demonstrates the company's commitment to maintaining transparency and ethical standards.

Consolidated Performance

On a consolidated basis, which includes the performance of its subsidiaries and associates, Sayaji Hotels reported:

A consolidated net loss of Rs 984.99 lakhs for the quarter
Total revenue of Rs 3,201.12 lakhs
A significant impact from its share in the loss of an associate company, amounting to Rs 659.51 lakhs

Balance Sheet Highlights

As of September 30, Sayaji Hotels' consolidated balance sheet showed:

Total assets of Rs 33,423.67 lakhs
Total equity of Rs 14,541.07 lakhs
Non-current liabilities of Rs 15,317.97 lakhs, including substantial lease liabilities

Cash Flow and Liquidity

The company's cash flow statement indicates:

Net cash from operating activities: Rs 1,365.64 lakhs
Net cash used in investing activities: Rs 594.49 lakhs
Net cash used in financing activities: Rs 1,106.99 lakhs

This resulted in a decrease in cash and cash equivalents by Rs 335.79 lakhs for the half-year period.

Outlook

While Sayaji Hotels has shown strong revenue growth, the significant increase in expenses and the impact of associate losses have led to a challenging quarter. The company's focus on corporate governance and its ability to generate positive cash flow from operations may provide some stability as it navigates through this difficult period.

Investors and stakeholders will likely be watching closely to see how the company plans to address the increased expenses and return to profitability in the coming quarters.

1 Day	5 Days	1 Month	6 Months	1 Year	5 Years
-1.37%	-2.80%	-1.37%	+3.21%	-20.35%	+81.17%

Sayaji Hotels Limited , a prominent player in the hospitality sector, has announced a significant change in its top management. The company's Chief Financial Officer (CFO), Sandesh Khandelwal, has submitted his resignation, citing personal reasons.

Key Details of the Resignation

Aspect	Details
Resigning Executive	Sandesh Khandelwal
Position	Chief Financial Officer
Resignation Date	November 3, 2025
Effective Date	January 31, 2026 (closure of business hours)
Reason Provided	Personal reasons

Compliance and Disclosure

In adherence to the Securities and Exchange Board of India (SEBI) Listing Obligations and Disclosure Requirements Regulations, 2015, Sayaji Hotels has promptly informed the Bombay Stock Exchange (BSE) about this change in key managerial personnel. The company has provided the necessary details as mandated by SEBI regulations, including:

The specific reason for the change
The effective date of cessation
A confirmation from Mr. Khandelwal that there are no material reasons for his resignation other than those stated in his resignation letter

Impact and Transition

While the departure of a CFO can be significant for any organization, Sayaji Hotels has nearly three months to manage the transition. This period allows the company to potentially identify and onboard a successor, ensuring a smooth handover of responsibilities.

The company has not yet announced any plans regarding Khandelwal's replacement. Stakeholders and investors will likely be watching closely for updates on the succession plan for this crucial position.

Looking Ahead

As Sayaji Hotels navigates this transition in its financial leadership, the focus will be on maintaining operational and financial stability. The company's ability to seamlessly manage this change will be crucial for maintaining investor confidence and ensuring continued growth in the competitive hospitality sector.

Investors and industry observers will be keenly awaiting further announcements from Sayaji Hotels regarding the appointment of a new CFO and any potential impacts on the company's financial strategy going forward.