Juniper Hotels Ltd (NSE: JUNIPER) Q1 2026 Earnings Call dated Aug. 13, 2025
Corporate Participants:
Arun Saraf — Chairman and Managing Director
Tarun Jaitly — Chief Financial Officer
Varun Saraf — Chief Executive Officer
Analysts:
Abhay Khaitan — Analyst
Sumant Kumar — Analyst
Lokesh Manik — Analyst
Raghav Malik — Analyst
Prashant Biyani — Analyst
Vaibhav Muley — Analyst
Aman Goyal — Analyst
Nakul Doshi — Analyst
Vrudhi Vora — Analyst
Presentation:
Operator
SA Sam Foreign Ladies and gentlemen, good day and welcome to Q1FY26 earnings conference call of Juniper Hotels Limited hosted by MUFG in time India Private Limited. We have with us today Mr. Arun Saraf, Chairman and Managing Director, Mr. Varun Saraf, Chief Executive Officer and Mr. Tarun Jaitley, Chief Financial Officer. As a reminder, all participant lines will be in the listen only mode and there will be an opportunity for you to ask questions after the presentation concludes. Should you need assistance during this conference call, please signal an operator by pressing Star then zero on your touchtone phone. Please note that this conference is being recorded.
Certain statements disclosed in this presentation or that may be disclosed over this call may relate to companies growth prospects that are forward looking statements within the meaning of applicable securities laws and regulations. These forward looking statements are not the guarantees of future performance as they are subject to known and unknown risks which are beyond the control of the company. I now hand over the conference over to Mr. Arun Saraf. Thank you. And over to you Mr. Saraf.
Arun Saraf — Chairman and Managing Director
Thank you. Good evening everyone and thank you for joining us on today’s call to discuss our financial results for the first quarter of fiscal 2026. I’m pleased to report that Juniper Hotels has delivered a resilient and good performance in Q1 FY26 in the face of a quarter marred with sector headwinds as a result of Operation Sindur in the Indian subcontinent during May. In spite of extreme impact of Operation Sindur, Juniper achieved highest ever Q1 revenue of INR. 221 crores. Our results reflect not only the inherent strength of our premium portfolio, but also the effectiveness and our focus on improving operational efficiencies across our properties. This month of May saw significant disruptions in air travel, especially across Indian and Western across the northern and Western India, both domestic and international travel was impacted as with the temporary shutdown of approximately 30 airports across multiple states as well as cancellations of more than 200 flights. While demand has been, you know, demand has been, you know, has rebounded very quickly as things normalized. June saw another unfortunate aviation accident in Ahmedabad. Our prayer go out to all the victims and families of the airplane crash. Mumbai, Delhi and Ahmedabad experienced sharp cancellations of corporate and transient bookings and deferment of mice events immediately after the SINDUR was launched. Travel advisories led multinational companies to postpone and relocate conferences pushing citywide occupancies and rates down. However, the underlying demand continues to be strong in hospitality space which has seen the ARRs continuing to grow on year on year basis. Juniper portfolio also achieved 9% growth in ARR over last year. Indian hospitality sector is currently benefiting from strong domestic demand and a favorable demographic shift towards higher income households, good infrastructure development and a policy of support by the government. As per industry reports, branded hotel supply is expected to grow at 8.4 CAGR through FY28 while demand is projected to outpace this at 10.4% CAGRADE. In this context, luxury and upper upscale segments where Juniper operates are expected to continue outperforming due to a persistent demand supply gap. Ample headroom is there to sustain revpar growth across industry providing continued tailwind to our pricing and profitability. It is also important for me to spend some time on walking you through our growth plans that have manifested into a robust pipeline. Of upcoming hotels. We have a clear and ambitious trajectory focused on doubling our key count to 4000 by financial year 29. To elaborate more Bangalore phase one continues to be progressing very well on track to achieve the opening of Hotel with 235 keys by end of Q4 financial year 26 that is by end of quarter four this financial year we have already completed design phase of Bengaluru Phase 2. The additional rooms to be added to this existing hotel that we are now going to open in Q4 of 26. This expansion of 273 keys will make it one of a very large big box hotels in our portfolio. We have also completed the design work of Guwahati Hotel located downtown Guwahati and we set to add the 250 rooms to our portfolio and we intend to initiate construction of 116 key Kajiranga project by September of this year. JUNIPER has also submitted bids for NCR and Bihar Greenfield opportunities which will be opened by August end. I hope that we will be able to be successful in these two bids and they will become significant part of our going forward growth trajectory. The ROFO integration process continues to make positive progress and we remain confident of our timelines of integration in FY27. This pipeline enables a step up in growth every year till FY30. Contemplating our strong underlying portfolio which itself will continue to deliver steady compounded growth. Before I hand over to Tarun Jaitley, our cfo, let me sign off by reiterating that our disciplined financial management, strategic growth investments and unwavering commitment to service and excellence position us well for the quarters ahead. I am confident of achieving key growth goals as set out above and ensure a sustained value creation for all our stakeholders. Thank you.
Tarun Jaitly — Chief Financial Officer
Thank you sir. I’ll walk you through some of the key highlights. The presentation has already been circulated so I’ll keep it short. You know the total income for the quarter stood at 227 crores which is an 11% one. IOI increase and this is in a quarter mind you, where we saw this impact of operations indoor. The important thing, the driver for the overall revenue growth has been ARRs which have grown 9% y o y and that just underlines the continued and inherent demand pull that the sector continues to witness. Mumbai saw ARR rose by 13% in Q1 while Delhi ARR increased 9%. Importantly, the apartment ARRs also increased 18% in Delhi and 24% in Mumbai. Mumbai, Ahmedabad and Lucknow outperformed their respective comp sets in ARR during the quarter and they were the key drivers for this growth. On the occupancy side, overall occupancy grew 2% to 71% for the overall portfolio in Q1 despite the cancellations and demand impact because of the May events, the standard annuity business which comprises the lease and the apartments increased to roughly 34 crores. We see today the lease space occupancy at 85% which also provides headroom for growth to increase the occupancy over the next few quarters. Juniper achieved a healthy growth of 5 percentage point in EBITDA in this quarter vis a vis the Q1 last year translating into a 27% YoY growth in EBITDA to 86.4 crores. The key influences for this expansion in margins are as I said, arrs. Second is reduction in heat, light and power energy cost for us as the contribution of green energy rose in this quarter vis a vis the last quarter admin in general expenses fell from 12.5% of revenue to 11.5 and the reduction in RNN costs were roughly around 2.5 crores. In absolute terms during Q1 the margin expansion could have been higher but the limiting factors were the operation sindur impact and also some amount of increase in consumables during the quarter. On the interest cost side, interest has fallen 21% yoy reflecting our reduced debt. Our average cost of borrowing is today around 8.3% and we expect it to soften further given what’s happening in the benchmar rates in the sector. Juniper achieved a PBT before exceptional of 35 crores which is 167% growth worldwide. I would like to note that there’s an exceptional item provision of 17.1 crore in Q1FY26. This is an account of an incident in Bengaluru fire incident in Bengaluru. It happened in April 25th and you know that is the provisional provision that we’ve taken during the quarter. We expect to receive further tranches from insurance claim it’s fully insured and these provisions will be reversed as and when we continue to get the insurance claims over the next few quarters in this fiscal year. We maintain that Bengaluru Hotel opening timelines continue to be as Mr. Saraf also reiterated by the end of this fiscal year we are continuing to we are open maintain that timeline and looking at the balance sheet. We continue to maintain a strong and healthy balance sheet with net bank debt to TTM EBITDA at around 1.3 and as communicated earlier with a 5 year outlook up to FY30. We enjoy a significant headroom of 3000 crores which comes in from a mix of comfortable debt metrics, strong cash flow and cash deposits on hand today. With that I would like to hand over the floor to the operator and we are open for Q and A.
Questions and Answers:
Operator
Thank you very much. We will now begin with the question and answer session. Anyone who wishes to ask a question may press Star and one on their Touchton telephone. If you wish to remove yourself from the question queue, you may press star and 2. Participants are requested to use handsets while asking a question. Ladies and gentlemen, we will wait for a moment while the question queue assembles participants. You may press Star and one to ask the question. The first question is from line of Abhay Keitan from Access Capital. Please go ahead.
Abhay Khaitan
Hey hi team. Thank you for the opportunity and I congratulate the team for very good numbers this quarter. So my first question is on the ARR trends. So while we saw that the luxury segment has seen a very strong ARR growth of around 12%, the upper upscale and upscale segment have seen a 6% growth. So just wanted to understand if there are any particular hotels or segments where we are seeing some sort of slowdown or is it like a broad based. Broad based thing in this segment.
Varun Saraf
So you know hi Ave. For the quarter that has gone by, you know the ARRs obviously have increased much more sharply in Delhi and Mumbai than you know, than possibly in Raipur and Hampi. But again, you know this is intermittent trend. There is no specific reason that I can attribute for marginally lower growth compared to Delhi and Mumbai in ARR in the quarter gone by. There is no structural difference that we see that would cause that on an ongoing basis.
Abhay Khaitan
Understood. Thanks for this. That is clear. My second question is on the. Grand Hyatt Mumbai in particular. So Last year around Q1 and Q2 we saw significant renovation work and which, which caused the impact on occupancy. So when can we expect to see that sort of incremental revenue sort of being coming in whether we be Q2 and Q3 and if so happens, can you quantify how much would be the incremental revenue that we are looking at just based on the fact that the renovations work is over and we expect full occupancy there.
Arun Saraf
Right. So you know in Q4 last fiscal was the first quarter when you know we saw the numbers of stabilization of Grand Hyatt which continues, you know, in the current fiscal year. The only aberration is Q1 because of the operations indoor. You know, that led to not only just the cancellations but overall travel bans and you know, all the other, you know, know events impacted Mumbai and Delhi markets which see a lot of inbound and outbound traffic. And that has impacted this quarter from an occupancy standpoint. But that’s, you know that’s not impacted the ARR despite you know, the short term occupancy pact. We will and we are continuing to see month on month now the impact of stabilization of Grand Hyatt occupancy and we will see the full benefit of it for this fiscal year as we had promised and communicated earlier.
Abhay Khaitan
Understood. Another question if I may regarding the foreign travel aspects. Mr. Sach mentioned in his opening remark as well that bulk of the demand is still coming from the domestic seat. But are we seeing any improvement in the foreign travel yet or this quarter Again because it was impacted by operations in D, we still are not seeing the incoming of foreign tourists.
Arun Saraf
So you know we see now the pickup, you know, post operations indoor. Obviously there was, there was impact. But you know, if we see the past two months trend, I think we have come back to the normative levels of foreign versus you know, local traffic at least across our portfolio. Also Q1 is relatively low on foreign travel coming in. If it’s the leisure segment which does affect our Delhi and a few other hotels that usually happens in Q Q3, Q4 you may see an upside there but as of now as Darun mentioned, it is at a stable state.
Abhay Khaitan
Got it. And that’s the last thing for me. So how has the July and August trended in terms of overall growth? Are we seeing the momentum being continued in the last two months as well?
Arun Saraf
Okay, so you know I can share some numbers with you on array. If you look at the July eras. In Delhi, for instance, we continue to see a 13% growth, 18% growth on. In Ahmedabad, you know ripur 5% plus yoy growth. So I mean you know those growth trends overall we continuing to see on an overall basis in July our eras would have grown by roughly 6 odd percent yy. But you know we intend that this would pick up momentum as we get into the next few months.
Abhay Khaitan
Got it. Thanks a lot. I’ll get back.
Arun Saraf
Yeah, thank you. And also just to cap it up, you know the the eras on apartments have also grown between 8% to 19% in Mumbai and Delhi. You know. Sorry. In Mumbai and Delhi respectively.
Abhay Khaitan
Okay. And sorry, what is the number for Mumbai?
Tarun Jaitly
Apartment and residence is 19% in Delhi.
Abhay Khaitan
Okay. And the Grand Ayat hotel by itself
Tarun Jaitly
Grand Hyatt continues to seek, you know a couple of percentage point increase yoy on the ARR. Okay, got it. Thanks a lot.
Operator
Thank you very much. Participants, you may press star and one to ask the question. Next question is from line of Samanth Kumar from Motilal Roswan. Please go ahead.
Sumant Kumar
Yeah, hi sir. So can you talk about the mice activity.
Operator
Someone. Sorry to interrupt you. Can you please speak through the handset? You’re sounding very distant now.
Sumant Kumar
Clear.
Operator
Yes, go ahead.
Sumant Kumar
Yeah. So can you talk about the mice activity in the in the current month and also how is the forward booking? So I am talking about the mice activity in the current current month. How. How is the mice activity and forward booking for tax. Because because of operations we have seen a cancellation. Is there any spillover of the business to coming month and also marriages has been rescheduled to the coming coming auspicious day. So how is the booking for that also?
Arun Saraf
So the display. So there were cancellations in May and June. I believe those businesses will be picked up going forward. Q3, Q4 business on books is very, very strong in the bigger cities. Even the smaller cities are doing very well. So in my opinion the business that is it’s been displaced, it’s not been cancelled and some events, some large MNCs which did land up cancel. I believe they will reschedule. So I believe the mice segment remains very strong and that is one of our strengths at Juniper and we will continue to play to that.
Sumant Kumar
Can we expect that Q2 is occupancy side? We can see improvement for Juniper and ARR. Also momentum is going to strengthen. From Q1.
Arun Saraf
Yes. From compared to Q1 you will definitely see an improvement in terms of ARR as well as in terms of the numbers.
Sumant Kumar
Okay. And the forward booking is also strong.
Arun Saraf
Yes. Forward bookings for Q3 look very, very strong.
Sumant Kumar
Thank you. Too compared to previous year. Take the forward booking x percentage in Q2FY25. How is the Q2FY26 forward booking?
Tarun Jaitly
Also the same trend will continue compared to last year. Q2 will be better. You will see a growth.
Sumant Kumar
Okay. And now coming to the foreign customer, how is the momentum compared to previously? So the current quarter.
Arun Saraf
So foreign travel was affect. I mean if you want to go back historically in general there is less foreign travel happening in terms of business. Right. Domestic share as part of overall business has increased compared to Q4 of last year and Q1 there is a decline. I think the travel advisories did have an impact. Delhi did not have any major dignitary movements coming in in May or June. So that did impact the foreign travel. But I do believe as things have stabilized this will come back to a normalcy and it will continue to increase.
Sumant Kumar
Okay, thank you so much.
Operator
Thank you. Next question is from line of Lokesh Manik from Alum Capital. Please go in.
Lokesh Manik
Yes. Hi. Good evening to the team. My question was on the tax charge. So Tarun, the deferred tax is at roughly 8 crores. Do we continue expect this to continue going forward or does this go to zero now from the next quarter?
Tarun Jaitly
So we’ll, you know, this time also there’s a reversal on the tax, you know, deferred that we’ve taken of around 8.9. As we get more profitable you will see some amount of tax reversals that we have. At least for this year. There would be marginal tax status that we would have. But we continue, as I said, we continue to have large amount of tax shields which will help us as we go in the next couple of years.
Lokesh Manik
So the amortization at 8 crores will roughly continue. Plus minus 1 or 2.
Tarun Jaitly
Yeah. Plus. Minus. Yeah, yeah, yeah.
Lokesh Manik
Great. Great. Thank you. That’s it for myself.
Operator
Thank you. Next question is from nanof. Raghav Malik from Jeffries. Please go ahead.
Raghav Malik
Yeah. Hi. Thank you for the opportunity and congrats on a good set of numbers. I had two questions. So the first one is on Grand Hyatt arrs. I believe Mr. JP mentioned just now for July and August it is stacking a few percentage points higher versus last year. So is this more a function of the Mumbai market? Slow growth in the Mumbai market or is it more because of slower growth post. Opening for some of the renovations that we have done. Could you provide some more color on this, please?
Arun Saraf
Yeah. Hi. So it’s not an impact or slow recovery from the renovation. I think, you know, we have the full inventory of Grand Hyatt, as I said, since Q4 last year. It’s just that last quarter gone by. Generally, the overall market has been a little slow. But I think given the context, we are continuing to see, as I said, reasonably decent ARR growth, fairly healthy. And if I were to give you a number, you know, let’s take for instance the Q1 for Grand Hyatt.
The ARR grew 13%. Right. We kind of outpaced a compset Delhi. The ARR grew, you know, 9%, you know, and we kind of, you know, outpaced a compset there also. So I think overall, while we’ll trend with what is happening on the broader market with a fresher product and higher share of transient and mice business, we are aiming to at least outperform our comp set in the key markets in which we operate.
Raghav Malik
And also, occupancy for last year because of renovations would probably be much lower. Right. So if you look at revpar, maybe that would tack significantly higher than ers in any case.
Tarun Jaitly
Yeah. As you will go forward in the next few quarters, you will see, you know, yoy better revpar growth.
Raghav Malik
Sure. Understood. And the second question was on. So in your presentation you mentioned this fourth upcoming asset beyond Kaziranga, Bangalore and Guwahati. So could you provide some color on that? Any details there?
Arun Saraf
Yeah, I would request Varun Saraf to answer the question.
Varun Saraf
So in terms of our ongoing projects, Bangalore phase one, as I said was mentioned, the work is ongoing. We expect to open that hotel in Q4 of FY26. That’s 235 rooms. During our last discussions, we had mentioned that phase two for Bangalore would also get launched. We have launched it. Design process has been initiated. Drawings have been complete. Approvals are underway. We do intend to start construction of that as well towards the end of this current year. That’s 273 rooms. Followed by that is the Guwahati project. We own this land in chartered hotels.
It has been sitting there since the merger of the company. It is there. This hotel will also be built. It will be a luxury hotel with 250 rooms. We have started the design process. The Assam government has reached out to us to actually, as we were doing the Kaziranga hotel, they have asked us to initiate this process. Project and we’re taking this at a fast pace. We have started the design process, drawing approvals have been submitted and again we will intend to start construction of this towards the end of the current year. So these are two ongoing projects. Phase two, Bangalore and Guwahati where design is commenced. Kaziranga design complete approvals received. Construction will start in September of this year which is in two months. So we’re waiting for the monsoons to get over and then we start the work there. So that’s 116 rooms. So these are the four actual projects in the company where the work is ongoing. And the others were the bids which we have given. I do not want to speak much about it because we’re still waiting for the results to come up. But that’s 500 odd rooms that we have bid for in two different locations. Okay
Raghav Malik
, so 500 rooms additionally which are not, which were basically mentioned in the presentation as potential future additions.
Arun Saraf
So Those are the 2,000 rooms that we have committed. If you do add these up, you will get the figure of 2,000 rooms.
Raghav Malik
So. Understood. Thank you. Thank you.
Operator
Thank you very much. Next question is from Prashant Biani from Elara Securities. Please go ahead.
Prashant Biyani
Yeah, thank you for the opportunity and congrats on good results. Tarun sir, on and for July you have mentioned on the ARR front but how has occupancy been on yui basis in July?
Tarun Jaitly
Yeah. Hi. So on a consolidated basis for the portfolio we are between, we continue to see in July roughly around 2 to 3% point improvement in occupancy yoy across the portfolio.
Prashant Biyani
And sir, can you share the Occupancy number for GHM and Andaz for Q?
Tarun Jaitly
So for Q1 you said?
Prashant Biyani
Yes sir.
Tarun Jaitly
Okay, so Q1 we saw occupancy in Andaz at around 72% and Grant Hyatt was 67%.
Prashant Biyani
Okay. And sir, I missed the net debt number that you shared in opening remarks. If you can repeat that, it will be great.
Tarun Jaitly
So gross debt today is roughly around 740 odd crores. And we do have around, you know, 250 odd crores of cash. So you know our net debt to EBITDA today, if you were to see forward EBITDA, we are roughly around 1.3 times net bank debt to EBITDA sir, by the end of this year.
Prashant Biyani
How do you plan, I mean how do you expect the GHM occupancy to end up at.
Arun Saraf
We expect a fairly solid performance from Mumbai, Grand Heights and Delhi as well. These are two very important markets. And if you see we operate in the luxury space in the largest markets in India and offer a fairly good value proposition for our customers and the market continues to grow from demand and ARR significantly in high teens is what we expect these markets, you know, to kind of grow over the next few quarters. Delhi and Mumbai, in addition to that, I would like to also, you know, drive your attention to what’s happening in Ahmedabad.
You know, Ahmedabad has been as you know, we added 70, you know, 59 rooms to the inventory. And despite the addition, we are at 85% occupancy in Ahmedabad. And you know, that’s also a very, very strong performer to the overall portfolio contribution. And just to iterate, one more thing, we see a lot of hotels being signed up and there’s a lot of activity happening. But the thing is hotels are still three to five years out. We still have the window where we will be able to capitalize on this. So your question of how the occupancies will pan out. There is no Fairmont opened up.
There is nothing more in Bombay. Bombay is a very large city with good demand generators in and I think that occupancies will Q1 is generally a weak quarter in general and the unfortunate event sort of affected the market to that effect. But everything is stable and very strong going forward.
Prashant Biyani
Sure. Thank you and all the best.
Operator
Thank you. Next question is from vaibhavmule from yes, securities. Please go ahead.
Vaibhav Muley
Hi team. Congratulations on the strong set of numbers. My first question was on
Operator
Your audio is very unclear, sounding little distant.
Vaibhav Muley
Hello, can you hear me now?
Operator
Little better. Can you speak through the handset?
Vaibhav Muley
Yeah. So my first question was on your Bangalore asset. So you have mentioned that the launch will happen by the end of the year or in Q4. So what kind of stabilization period do you expect for this property and what is the expectation in terms of contribution to revenue and EBITDA in FY27?
Arun Saraf
So the stabilization period, I think the micro market in Bangalore is already developed. There are assets operating there. There is a hotel JW Marriott which is beyond the airport operating at 20,000 plus ARR. There’s a Taj at the airport again 15 to 18,000 bracket. There’s a mid market hotel by the name of Moxie which is closer to the city about 4 km from us. Site operating at about 11 to 12,000. So I believe our ramp up will be fast. Within three to five months we should be able to ramp up with the 235 wardrooms in terms of numbers. I’ll let Tarun comment on that.
Tarun Jaitly
Thank you, Varun. So Weber, we’ve kind of, you know, given the recent renderings and photographs of Bengaluru asset in the presentation, I hope you’ve had a chance to go through them. So you know, we are hopeful that we will open the phase one by the end of this fiscal itself. And as, as we get into FY27, we will very quickly get into stabilization. As far as the numbers concerned, we are targeting an EBITDA of roughly around 40 crores in the first year of operations from phase one. All right. And regarding your ROFO asset addition, if you can provide a bit more color in terms of the progress as of now. So as we said, there are different steps, number of steps in that integration process.
We continue to make progress on the eventual integration and as Mr. Sarab said, we remain confident where we are today that we will look at integrating these assets in FY27 and you will see the contribution in FY27 Juniper consolidated numbers.
Vaibhav Muley
All right, sir. And just lastly on the cost front, we have seen lower escalation in terms of cost cost compared to revenue in the current quarter. Is there any specific reason for the lower cost and should we benchmark the cost going forward at the current levels?
Tarun Jaitly
So look, I mean this is a journey, as I said, you know, last year that there were a few things which impacted our margins last year. One of them was, you know, stabilization of Grand Hyatt. And you know, now that we have that, you know, we will see the margins continue to improve as we go forward in the next few quarter. Importantly, you need to note that we believe and we are in a trend and a cycle where we seeing ARAS continue to be robust and healthy and as eras continue to grow, there will be high flow through for somebody like us, you know.
And that will agree to the overall margins as far as the current quarter is concerned. You know, we have had, as I said, you know, we have savings in energy costs because the share of green energy has increased to 30% in this quarter in terms of units. And also there have been savings in admin in general and R and M costs. So that has kind of led to an overall expansion in margins by 5 percentage points. And we believe for a company like us, the sustainable EBITDA margin should be in the region of 40 odd percent 44. Producing 40 odd percent. I mean specifics. But yeah, we believe that 40s is the normative margin for some company like us.
Vaibhav Muley
Perfect. Thank you so much sir for answering the question. All the best. Thank you.
Operator
Thank you. Participants, you may press star N1 to ask a question. Next question is from the line of Aman Goyal from Access Securities. Please go ahead.
Aman Goyal
Yeah. Thank you sir. Thank you for the opportunity. So my question is related to Roku. Could you share some light on the progress of due diligence and the transactional value approach? Will it be a fully shared swap deal or a mix of both cash and swap? Cash and share.
Arun Saraf
Hi Aman. I think you know over the past few quarters we’ve kind of shared some details about it in the manner and structure in which it will come. Unfortunately. I’m sure you would appreciate we are dealing with listed companies and there is limited amount of information that I can share with you as of now. But having said that I can at least answer one thing to you. That the diligence and evaluation obviously continues. The progress on various steps that are required to get these assets are continuing. You may see some milestones when we announce in the near future.
So you know, so the integration process would be non cash. These would be share swaps and that’s the manner in which they will come in as far as the value is concerned. I think we will disclose that when we when we get to that place.
Varun Saraf
Gentlemen, you have to understand very important part that other companies are also listed companies and they have their own regulatory framework that they must go through. So this is not something which is purely attributable to Juniper Management to expedite or something. We are dealing with other listed companies and they also have to do their diligence and also complete the regulatory framework. So I can only say that it is progressing positively.
Aman Goyal
Okay, thank you. Thank you so much.
Operator
Thank you. Next question is from Nanav. Raghav Malik from Jeffries. Please go ahead.
Raghav Malik
Yeah, thank you again. So just a few follow ups. So on the CapEx front, is that target still maintained? I think you had mentioned 1800, 2000 crores for the next three to four years during the analyst meet. So would that still be the same?
Tarun Jaitly
Yeah. Hi Raghav. Yes, we are on track to what we had shared in the analyst meeting.
Raghav Malik
Okay. And just on Andaz, the occupancies for Andaz specifically post this 5% sort of dip which was impacted by external events. Is there like some normalization, complete normalization in the last month or so? Sorry if you’ve already answered this.
Tarun Jaitly
So yes, of course. You know, if you look at Andaz occupancy in July, it’s risen by 4 percentage points
Aman Goyal
On a year. On year basis. 4 percentage points.
Tarun Jaitly
Yeah, 4 percentage points. So it’s gone up to 70, 78, 79% in July. In the month of July.
Varun Saraf
Guys, these are really good occupancies for month of July. Exceptional.
Aman Goyal
Yes, sir, I agree. And just one last if I may. So there’s this bifurcation of FNB contribution to venues and events. So can you just sort of explain that? Because the events contribution seems much higher. So the events growth seems much higher. So what is that exact bifurcation? What does that stand for? Venues would be what let
Arun Saraf
Tarun give you the bifurcation. But that is our focus. You will see the events as a component increase because that’s what we are focusing on. The large big assets with the 500 plus odd rooms. That’s what we do. We sell good groups at good healthy rates. And that is where you’re seeing the events contribution come in. In Grand Hyatt Bombay, additional ballroom was open. That is also contributing. Same goes in Delhi. There’s a second structure that has been created to get this additional business in terms of the split. Tarun.
Tarun Jaitly
Yeah. So you know Raghav, I’ll kind of caution you. There are quarterly spikes and changes which happened. But on an overall basis venues would be around 40%. And you know, even so he said 40 and 60 approximately.
Raghav Malik
That’s right. Okay, understood. Thank you. And all the best.
Operator
Thank you. Next question is from Nakul Doshi from ND Associates. Please go ahead.
Nakul Doshi
Thank you for the opportunity. My first question was if you could just share some insight into what influence the service apartment business performance during the quarter.
Varun Saraf
There is no specific reason for that decline in business. I think it is. The rates have gone up, occupancies have been flat. If I’m not mistaken. A few points plus or minus. But I think in a location like Delhi with world mark 3, 4, 5 opening up at the Aero City, there is constant business coming from multinationals. We have reached out a whole set of placement agencies who are relocating agencies who are moving people in. So I think business is very strong in Delhi. Same goes for Bombay. Yeah. So Nakul, just to give you some numbers right. On Aras grand highs, Mumbai in last, that is Q1FY 26 eras grew 24% and Delhi Residences 16%. Right. And in July, on top of a higher base, Mumbai as I said grew 8% and Delhi 19%. And these are apartment numbers. So you know, one of the key things for us is these are all long stay, more annuity like customer profiles here. And one of the strategies for us was to increase the rates of the apartments in Delhi, for instance, to surpass the ARR of the rooms. And that is something that we have been able to achieve over the last year. And we believe that this is a trend which will continue to hold going forward. The demand for apartments in Mumbai and Delhi is continues to be robust and we will see, you know, higher and higher occupancy for apartments as we enter into and close new contracts with long stays.
Nakul Doshi
Understood. And thanks for giving the detailed answer for comparing Delhi and Mumbai both. I had one more question. It was like related to the signality in conjunction with travel periods during the year or is the occupancy relatively stable compared to the Andaz and ghm?
Varun Saraf
So you know, there used to be seasonality which was very acute I think couple of years ago. But post Covid in particular, I think, you know, we’ve seen the first half and second half seasonality come down a little bit. But it is still, you know, second half is still stronger than the first half while the acuteness of that differential between the first half and second half has reduced post Covid.
Nakul Doshi
Understood. And whether this difference has come down significantly or like the difference will keep on coming down or how is the trend you are assuming,
Arun Saraf
I think that, I mean Q3 and 4 will always be strong. Right. There are what they call the. There is groups that travel, there is leisure business also that comes in from international. So those will definitely be stronger than this. Now whether Q1, Q2 improves, I think over time with domestic travel increasing as a component, seasonality will decrease to a little extent, but it will still be there. Weddings are a big part of our business as you see in events we were just discussing. Right. Banqueting is a big chunk so they don’t happen at that time. So occupancies will be a little low across our portfolio.
But compared to past trend, I think it has improved and it should stay there.
Nakul Doshi
Understood. Thank you for the detailed answer and all the best.
Operator
Thank you. A reminder to all the participants, you may press star and one to ask a question. Next question is from Nairof Vruddi Vora from SAS Capital. Please go ahead.
Vrudhi Vora
Yeah, thank you for the opportunity. So my question is like for the development options of further 500 keys where we have said that we have submitted some bids. So I presume this would be a freefold or a lease land.
Arun Saraf
These would be leasehold lands by the various governments that are auctioning the property.
Vrudhi Vora
Okay, okay. And so I also wanted to understand if greenfield is a priority rather than buying a distressed asset and then developing it like we did in our Bangalore. Would acquiring an existing asset reduce development time and give us better returns than a new greenfield development? What are your views on this?
Arun Saraf
You know, actually developing brownfield is always, always desirable. There’s no question about it. There’s no discussion required. Compared to Greenfield, brownfields are. But how many brownfields are coming in the market? And the brownfields have to also come at the right values. So the question here is that we are in the business of creating value for ourselves, our companies, our stakeholders. So focus continues to be our development team is scouting around and pursuing any and every brownfield that comes by in our market.
But it is not something that we can only count on that and expect a robust growth for your company. So we have to look at both the sides and greenfield at this moment where the government bodies are coming with leases which are almost like 50 years, 75 years, they are as good as anything that we can get. And then the whole process with the leased land, with a government auction land becomes much, much easier, transparent and straightforward. So this is also a very desirable to buy a public private land and then to start developing is much, much longer because land use has to be examined.
All those other nitty gritties which are there, risk factors are there with private lands do not exist. That’s why we participate in government bids and we always hope that there will be some good ones are coming up. So kindly bear with us as and when we get value creating bids where we can participate, we will go for them. Brownfield continues to be our priority. No question about.
Vrudhi Vora
Got it. Got it. And I have one more question for your hotels coming. In the northeast, Guwahati and Kaziranga. That is what sre the ar. What we see. The ARR and occupancy expectations we have, will they be at par or an average rate or higher than the consolidated ARR?
Varun Saraf
See, you have to see every micro market has its own rate dynamics which depends more on supply and demand rather than national averages or anything. So we are expecting Guwahati to be performing better or at par as Lucknow. Okay. And if you ask me in detail, we can. I can ask Mr. Jaitley to give you what feasibility studies have been showing us. But Kajiranga, again, being a leisure hotel, I would expect the average room rates to be closer to 15,000 rather than 10,000.
Vrudhi Vora
Okay. Okay. Understood. Thank you. And all the best.
Varun Saraf
Thank you.
Operator
Yeah. Thank you very much, ladies and gentlemen. That was the last question for today. I’ll now hand the conference over to the management for closing comments.
Arun Saraf
Thank you. I would like to thank everybody for taking time out to join the call. If there are any follow on questions, please reach out to us or the MUFG team to answer the questions and clarifications. Thank you so much.
Operator
Thank you very much on behalf of Mung in Time Private Limited. That concludes this conference. Thank you for joining us and you may now disconnect your lines. Thank you. Sa.