Eco Hotels and Resorts Limited has announced a strategic expansion into Ayodhya's growing hospitality market with the signing of a new hotel development deal. The sustainable hospitality company is positioning itself to capitalize on the surge in religious and cultural tourism in the region through this carefully planned property addition.

Property Details and Strategic Location

The new Ayodhya hotel represents a significant investment in the region's tourism infrastructure. The property specifications demonstrate the company's commitment to providing premium accommodation for the growing visitor base.

The strategic location offers visitors convenient access to Ayodhya's primary religious site while maintaining connectivity to major transportation routes. This positioning allows the hotel to serve both spiritual tourists and business travelers efficiently.

Market Opportunity and Growth Potential

Chairman Vinod Kumar Tripathi emphasized the significant market opportunity driving this expansion decision. The religious tourism sector in Ayodhya has experienced substantial growth, creating demand for quality accommodation facilities.

According to Tripathi, forecasts suggest approximately 10 million visitors are expected annually in the region. This projection underscores the substantial market potential that influenced the company's decision to establish a presence in Ayodhya. The chairman noted that visitor numbers in the region are on a strong upward trajectory, creating significant demand for quality accommodation services.

Strategic Expansion Vision

The Ayodhya property aligns with Eco Hotels' broader expansion strategy focused on emerging hospitality markets driven by spiritual and cultural tourism. Tripathi highlighted that this development represents a key step in the company's strategy to strengthen its presence in strategic locations across India.

The company's approach combines high service standards with operational efficiency to cater to evolving traveler expectations. This property is designed to deliver both comfort and convenience, supporting Eco Hotels' vision for sustainable and scalable growth in the hospitality sector.

Company Background

Eco Hotels and Resorts Limited operates as a sustainable hospitality company promoted by Eco Hotels UK PLC. The company maintains multiple hotel brands including THE ECO™, THE ECO GRAND™, ECOXPRESS™, ECOVALUE™, ECO BOUTIQUE™, ECO RESORT™, and THEECO SATVA™. Additionally, the company operates various F&B brands including SAHAR, GG'S, KICK IN THE BRICK, SAMPARK, SANJH, and SANDHAY.

This Ayodhya expansion demonstrates the company's commitment to identifying and capitalizing on high-potential tourism destinations while maintaining its focus on sustainable hospitality practices and operational excellence.

Eco Hotels & Resorts Limited announced its Q3FY26 financial results for the quarter ended December 31, 2025, revealing a mixed performance with significant revenue growth offset by widening losses. The company, engaged in hotel operations and management, reported these results following a Board meeting held on January 14, 2026.

Financial Performance Overview

The company's standalone financial results show substantial revenue growth but increased losses during the quarter. Operating income demonstrated remarkable expansion, rising from minimal levels in the previous year to significant figures in the current period.

Nine-Month Performance Analysis

For the nine months ended December 31, 2025, the company's performance reflected similar trends with substantial revenue growth accompanied by increased losses.

Expense Structure and Cost Management

The company's expense structure showed significant increases across multiple categories during Q3FY26. Employee benefits expense rose to ₹124.21 lakhs from ₹24.65 lakhs in Q3FY25, while finance costs increased substantially to ₹84.08 lakhs from ₹0.50 lakhs. Depreciation and amortization expenses also grew 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 key decisions during their meeting on January 14, 2026:

• Sweat Equity Issuance: Approved issuance of 12,87,681 sweat equity shares to Mr. Vinod Kumar Tripathi (DIN: 00798632), Executive Chairman
• Purpose: Part remuneration for value addition created by the Whole Time Director
• Ranking: These shares will rank pari passu with existing equity shares
• Approval Status: Subject to further approval by members

Consolidated Results

The consolidated financial results, including subsidiary Eco Hotels India Private Limited, showed similar trends with a net loss of ₹219.56 lakhs for Q3FY26 compared to ₹145.81 lakhs in Q3FY25. Consolidated revenue reached ₹191.73 lakhs versus ₹22.18 lakhs in the corresponding previous quarter.

Capital Structure

The company maintains a paid-up equity share capital of ₹5,150.72 lakhs 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 capital structure remained unchanged across the reported periods.

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.