SAMHI Hotels Q3 FY26: PAT Jumps 111%, Income Up 16%

Key update from SAMHI Hotels

SAMHI Hotels Limited (BSE: 543984, NSE: SAMHI) reported a strong set of results for the quarter and nine months ended December 31, 2025. The headline number was Profit After Tax (PAT), which more than doubled year-on-year in Q3 FY26. Management also highlighted improved profitability aided by a reduction in finance costs following debt refinancing. The company said it generated surplus cash on a trailing twelve-month basis, which it described as supportive of planned growth initiatives.

Q3 FY26: Income growth and a sharp rise in PAT

For Q3 FY26, SAMHI’s total income increased 16.2% year-on-year to INR 3,419 million. Consolidated EBITDA rose 13.2% YoY to INR 1,263 million, with the company noting that EBITDA growth would have been higher without the impact of new GST regulations. PAT for the quarter increased 111.3% YoY to INR 481 million. RevPAR (revenue per available room) was reported at INR 5,643, up 13.3% compared to the previous year.

The EBITDA margin for the quarter stood at 36.9%, compared with 37.9% in the prior year, and the company attributed the margin contraction primarily to GST changes. In its commentary, management also pointed to EBITDA growth and lower finance costs as drivers of profit growth, including around 2.5x growth in profit before tax (PBT) for the quarter.

GST impact: Why EBITDA growth looks different

SAMHI disclosed two EBITDA growth rates for Q3 FY26. EBITDA grew 19.2% YoY before the GST impact, moderating to 13.2% YoY after GST changes. This distinction is important for readers comparing underlying operating performance with reported numbers. The company linked the lower reported margin (36.9% versus 37.9% last year) to the GST-related impact.

Nine months FY26: PAT up more than four times

Over the nine months ended December 31, 2025 (9M FY26), SAMHI reported total income of INR 9,255 million, up 13.5% YoY. Consolidated EBITDA increased 15.2% YoY to INR 3,424 million. PAT for 9M FY26 rose 321.7% YoY to INR 1,671 million. Management said these numbers set a strong foundation for the remainder of FY26 and positioned the business for FY27.

Q2 FY26 reference: Earlier quarter also saw a profit jump

The company’s earlier disclosed Q2 FY26 numbers also showed a sharp jump in reported profitability. In Q2 FY26, RevPAR was INR 5,026 (up 11.2% YoY) and occupancy stood at 75%. Total income for the quarter was INR 2,963 million (up 11.0% YoY) and EBITDA was INR 1,105 million (up 14.2% YoY).

PAT for Q2 FY26 was reported at INR 998 million, up 691.1% YoY, and management linked the quarter’s PBT growth (around 2.8x) to EBITDA growth and lower finance costs, while also referencing the reinstatement of Navi Mumbai. Separately, the company also reported an exceptional gain of INR 841 million in Q2 FY26, alongside profit before exceptional items and tax of INR 381.8 million.

What management said about finance costs and cash generation

Ashish Jakhanwala, Chairman and Managing Director, said the company saw continued EBITDA growth and a reduction in finance costs, helping expand profits. For Q3 FY26, he highlighted PAT of around INR 481 million and around 2.5x growth in PBT for the quarter. For 9M FY26, he cited total revenue growth of 13.5% and consolidated EBITDA growth of 15.2% over the same period last year.

Management also said the company generated around INR 3,000 million of surplus cash on a trailing twelve-month basis, and described this as reinforcing financial strength and supporting ongoing and planned growth initiatives.

Stock move and share-price return snapshot

Following the update, the stock was reported down 0.57% from its previous close of INR 158.36, last trading at INR 157.46. A separate market snapshot in the provided data listed the current price at INR 166 and market capitalisation at INR 36,640 million.

Quick financial summary table (Q3 FY26 and 9M FY26)

All amounts are in INR million unless stated otherwise.

Market impact

The numbers highlight two themes investors typically track in hotel companies: operating strength and balance-sheet costs. On operations, SAMHI reported double-digit growth in total income in both Q3 FY26 (16.2%) and 9M FY26 (13.5%), supported by RevPAR growth in Q3 FY26. On profitability, the reported EBITDA growth rate was moderated by GST changes, which also showed up in a lower EBITDA margin versus last year.

On the financing side, management explicitly linked profit growth to lower finance costs following debt refinancing. The scale of PAT growth in Q3 FY26 and 9M FY26 was materially higher than the growth in income and EBITDA, underlining how non-operating levers and finance cost reductions can influence bottom-line outcomes.

Analysis: What to watch after the Q3 FY26 print

First, the GST-related gap between underlying and reported EBITDA growth is a key context point for quarter-on-quarter comparisons. SAMHI’s disclosure of 19.2% EBITDA growth before GST impact versus 13.2% after GST changes shows why margins and reported growth may not move in line with room-rate or demand indicators. Second, management’s emphasis on refinancing and lower finance costs suggests the company is focused on sustaining profitability improvements beyond pure operating momentum.

Third, the company’s stated surplus cash generation of around INR 3,000 million on a trailing twelve-month basis may matter for funding growth initiatives, but readers should evaluate it alongside future capex and any updates on new openings mentioned as part of growth drivers. Finally, the Q2 FY26 reference numbers, including the exceptional gain of INR 841 million and the comment on Navi Mumbai reinstatement, provide context for the volatility that can arise in reported profits.

Company profile snapshot

SAMHI Hotels is a branded hotel ownership and asset management platform in India. As of FY25, it owned and operated 32 hotels with 4,948 rooms across 14 cities, under 10 brands. This scale and multi-city exposure typically makes metrics like RevPAR and occupancy central to evaluating performance over time.

Conclusion

SAMHI Hotels’ Q3 FY26 results showed 16.2% YoY growth in total income, EBITDA up 13.2% after GST changes, and PAT up 111.3% to INR 481 million, alongside 9M FY26 PAT up 321.7% to INR 1,671 million. Management attributed the improvement in profitability to EBITDA growth and lower finance costs following refinancing, while noting the GST-related impact on margins. Investors will watch for further updates on performance through the remainder of FY26 and any disclosures tied to ongoing and planned growth initiatives.