Ventive Hospitality Ltd (NSE: VENTIVE) Q4 2025 Earnings Call dated May. 13, 2025
Corporate Participants:
Unidentified Speaker
Ranjit Batra — Chief Executive Officer
Paresh Bafna — Chief Financial Officer
Milind Wadekar — Executive Vice President, Finance and Investor Relations
Kedar Shirali — Advisor, Investor Relations
Analysts:
Unidentified Participant
Angad Saluja — Analyst
Mohit Agrawal — Analyst
Achal Kumar — Analyst
Vaibhav Mole — Analyst
Sumitkumar Agrawal — Analyst
Vignesh Iyer — Analyst
Presentation:
operator
IT.
operator
SA.
operator
Sam.
operator
IT.
operator
Ladies and gentlemen, good day and welcome to the Ventev Hospitality Limited Q4 and full year FY25 earnings conference call. As a reminder, all participant line will be in listen only mode and there will be an opportunity for you to ask questions after the presentation concludes. Should you need assistance during the conference call, please signal an operator by pressing start and zero on your touchtone phone. Please note that this conference is being recorded. The audio archive transcription, financial statements and other document related to the quarter will be made available on the company’s website. We have with us today from the management team of Ventiv Hospitality Limited by Mr.
Ranjit Bhatta, Chief Executive Officer Mr. Paresh Bhasna, Chief Financial Officer Mr. Milan Varikar, Executive Vice President Finance and Investor Relations and Mr. Keda Shirali, Advisor Investor Relations. Please note that the Ventiv Hospitality Limited do not provide specific revenue or earnings guidance. Anything said on this call will reflect management outlook for the future or which could be constructed as a forward looking statement must be viewed in conjunction with the risk that the company faces. These risks are outlined in the second line. Second slide of earnings update presentation available on company’s website. I now hand the conference over to Mr.
Ranjit Batra. Thank you. And over to you sir.
Ranjit Batra — Chief Executive Officer
Good afternoon everyone and thank you for joining the call. Today we delivered our best ever quarterly performance in Q4. Closing our first financial year as a public listed company at an all time high. We hit two important milestones. Our consolidated revenue for the full year crossed 2000 crore mark. While our EBITDA for the year crossed 1000 crore mark. On a pro forma basis, this positioning positions us amongst the top four listed hospitality companies in the country for the quota. We have set ourselves clear targets for ADR and occupancy improvements to drive revenue and EBITDA growth.
I’m proud to say that we delivered on the objectives on both the objectives. As you can see from the numbers. Let me walk you through some overall performances. In Q4. Our consolidated revenue was 717 crores, a growth of 20% year on year. A Dita for the quarter was 371 crores, a growth of 23%. Consolidated EBITDA margin for the quarter was 52%, one of the highest in the industry. The EBITDA margin was at 46% in our India hospitality business and 47% in Maldives. FY25 consolidated revenue was 2,150 crores growing 13% year on year. Our full year EBITDA was at 1,012 crores.
Growing 16% higher over the previous year. EBITDA margins were at 47% at consolidated level and 37 and 32 in India and Maldives hotels respectively. Our Indian hospitality business recorded a 25% revenue growth in Q4 and 15% growth for the full year driven by a robust improvement in pricing and occupancy in India. Our dynamic revenue management strategies helped us to grow Q4 ADR by 15% year on year to 12,571 while full year ADR grew 10% over the previous year to 11,076, showing our power pricing and reinforcing our premium positioning. Our focus on mice and weddings helped us to drive our weekend occupancy to 65% in Q4 resulting in occupancy expanding 4% points to 71%.
Full year occupancy also improved 4 percentage points to 65.5%. This translated to our RevPAR growing at a standout 24% in Q4 to almost 9,000 rupees while the industry grew at 18%. Our Treva also grew at 25% to 16,531 rupees in Q4. Comparing the Tevpa with Revpar, you can see that we earned almost as much revenue from FNB banquets and other services as we did from room revenue. This is an important customer validation to further highlight our portfolio strengths in FB our full year. For the full year Our RevPAR grew 18% to 7,256 and our PrevPAR grew 15% to 13,347.
Our flagship properties stood out once again with stellar operating metrics in Q4. JW Marriott Pune posted 19% RevPAR growth driven by robust MICE and SMB performance. Olog Orr in Bangalore achieved a remarkable 43% growth in RevPAR. Our Indian hotels hosted over 200 MICE events contributing 20% of hotel revenues. Revenue from weddings also went up 40% in the quarter. Moving to Maldives, I’m proud to report that our portfolio continued to perform well. Our revenues in Q4 grew 27% and full year revenue grew 18% over previous year. We consolidated Zaya by atmosphere in our accounts with effect January 1st this year.
This added 62 crores to our Q4 revenues with 49% EBITDA margin. When reviewing operational performances of our Maldives portfolio, I want to highlight one important difference in Maldives. As you know it’s a one island one resort concept. We have all we have an all inclusive concept which is Raya in our portfolio and also we have half board and full board packages being very popular with holiday makers in our other two resorts. So we track business performing metrics of PREPA instead of the conventional matrix like ADR or Revpar. I’m also happy to share that in Q4 our thread par in Maldives grew 5% on the same store basis.
The thread par including Raya is lower in absolute terms because it operates at a lower price point compared to our other two Uber luxury resorts. Our Maldives portfolio demonstrates its strength with peak occupancy during high demand periods such as Christmas, New Year’s, Easter, Chinese New Year, Valentine’s and all August school holidays. This year the Easter shifted to April, moving some of the Q4 revenues to Q1 and this will help our Q1 performance in Maldives as well. I’m very proud of some of the global recognitions received in our Maldives portfolio. Araya, our newly opened resort was named as the Best new Opening by Travel Time Awards.
Anantara Maldives was awarded Best Bar Retreat in the Indian Ocean. Conrad Maldives, Morocco Residence Our Uber luxury underwater suite was recognized as one of the top 100 suites in the world. An important driver of our pricing, growth and profitability is our channel Strategy. In India, 40% of our business comes through non commissionable distribution and web channels up from 31% last year, reducing our dependency on non direct channels improving profitability in Maldives. While 60% of our business still goes through wholesale channels, we have a clear strategy shift towards direct digital platforms to improve margins. We are directing a lot of effort into building compelling websites and digital channels to drive this change.
We also continue to strengthen our premium positioning and pricing with majority of our portfolio focused on high end offerings in both India and Maldives, allowing us to capture premium rates while delivering exceptional guest experiences. Overall outlook all the drivers for growth and pricing strength remain very much in place. We will continue to drive strong organic growth by leveraging our premium positioning our differentiated FND offering strong structural demand and limited supply in our chosen markets. As per the normal trends, H1 will be softer compared to H2 GP seasonality. Regarding some global uncertainties, we are confident by the time we enter our peak seasons they’ll be behind us and continue our growth trajectory.
Looking ahead, our growth conditions remains unchanged. We plan to double our hotels room inventory to 4,000 fees over the next five years through a combination of Greenfield and Brownfield projects and acquisitions. With that, I’ll ask Milam and Pradesh to walk you through our financial performance and balance sheet strengths.
Milind Wadekar — Executive Vice President, Finance and Investor Relations
Thank you Rajeet Good afternoon everyone. Before we discuss the financial performance for quarter four and FY25. I would once again like to highlight that the acquisition of several entities in the portfolio took place in August2024. Consequently, the financial statement for the first half of FY25 and FY24 do not include the financial number of these entities. Pro forma financial statement prepared based on internal MIS for these periods have been used to provide comparison in the press release and earning update presentation which we have published for the quarter. These pro forma financials are prepared as if those acquisitions were made on April 1, 2023 and their revenue cost and EBITDA are included in the pro forma financial statement of FY24 and H1FY25.
Hence, the number presented in the statutory financial statement will differ from the pro forma figures in our press release and earning update presentation. Let me begin with Q4FY25 headline numbers Our consolidated revenue in Q4 was Rupees 717 crore, a growth of 20% year on year. Our hospitality revenue was at 584 crore, a 26% increase YoY given that our India portfolio contributed revenue of rupees 227 crore up 25% year on year. Driven by strong ADR growth and occupancy growth that Ranjit spoke about, our international hospitality revenue grew 27% to rupees 350 Shangharod due to the Raya Consolidation disorder and strong occupancy growth in quarter four.
Looking at the quarterly numbers it might convey an impression that our bond event business is much larger than our India businesses. This is because Raya was consolidated in Q4 which is typically the seasonally strongest quarter in the financial year. On full year basis our Maldivian properties contributed 54% of our total revenue versus 46% from our India business. Moving on to profitability, our Consolidated EBITDA in Q4 was at 370 occurrence, a growth of 23%. Y Our EBITDA margin was at 52%, one of the highest in the industry. Our hospitality business contributed an EBITDA of rupees 270 crore, a growth of 47%.
Within that our India properties crossed rupees 100 crore mark per quarter milestone with EBITDA of rupees 104 crores. You might have noticed that this arithmetically translated into growth of 76% year on year over the pro forma numbers of the same quarter last year. This is due to one time expenses of rupees 100 crore which depressed the EBITDA of last year and income of rupees 10.5 crores on account of government grants. Government grants will be accounted on quarter on quarter basis in the subsequent year. Adjusting for this, the EBITDA growth will be 33%. Our Maldivian resource generated EBITDA of Rs.
100166 crore in Q4, a growth of 33%. YoY EBITDA margin of our Indian hospitality was 46% while that of our Maldivian business was 47%. The expansion largely driven by operating leverages and prudent cost management. As I mentioned earlier, this is the seasonally strongest quarter in Maldives with Q4 contributing to 37% of Maldives full year revenue and 55% of Maldives full year EBITDA on French sole basis for the full year our Consolidated revenue was 2,160 crores representing 13% year on year growth. Our hospitality revenue was at 1604 crore, a growth of 17% over the prior year.
Within that our Indian hotels contributed rupees 742 crore up 15% or the prior year while our international revenues grew by 18% which is 862 crore. Our full year consolidated Sorry, our full year Consolidated EBITDA was rupees 1,012 crore, a growth of 16% over the prior year. Consolidated margin was 47% up 130 basis point over the prior year. On performer basis our India hospitality business contributed rupees 273 crore of EBITDA up 31% year on year. When our international properties Contributed EBITDA of rupees 280 crore, a robust growth of 38% year on year, EBITDA margins of our Indian business was 34% when that of international portfolio was at 32%, both expanding by around 500 basis points over prior year.
Let me also point out here that our premium positioning and pricing power across our flagship luxury properties significantly boost our profitability and positions us among the top top four listed companies in this sector. We have one of the highest revenue per key in India, a little shy of rupees 50 lakhs. Despite our limited presence in gateway cities, our EBITDA per key in India at Rs. 18 lakhs is also one of the highest in the industry. Finally, a word on our annuity assets. These prime commercial, real estate and retail properties in our portfolio provide tremendous resilience to our business especially during volatile times like what we just went through with a stable and predictable cash flow.
Our annual revenue in quarter four was at rupees 125 crore of 5% yoy. While EBITDA was at rupees 111 crore 111 crore abroad of 5% yoyo for the full year our annuity revenue was at 483 crore and EBITDA was at 437 crore. Now I request Paresh to take you through our debt summary.
Paresh Bafna — Chief Financial Officer
Thank you. Milind and Ranjit. Good afternoon everyone. We maintain a strong balance sheet with a consolidated gross debt of 2,306 crores. This includes 1,340 crores in rupee denominated debt and 113 million equivalent to 965 crores in USD denominated debt. For our Maldives hotels. Our consolidated cash balance stands at 560 crores resulting in a net debt of rupees 1745 crores. Our cost of finance is very competitive in the market as on 31st March rates were at 8.24% for rupee denominated loans and 7.7% for USD denominated loans. We have seen further reductions post March of around 15 basis points in the overall cost of funds.
Our net debt to EBITDA ratio is at 1.7. One of the lowest in the industry at the current level of BET in India and a 6x multiple. The company can raise additional LRD debt of rupees 1300 crores based on a FY25 annuity. EBITDA of rupees 437 crores. We have received strong credit ratings with Kishal assigning us AA rating stable and one of US material subsidiary Panchishil Corporate park receiving AA rating stable. These robust financial fundamentals combined with our conservative leverage provide a solid foundation for growth initiatives. With that we would now like to open the line for questions.
Thank you.
Questions and Answers:
operator
Thank you very much. We will now begin the question and answer session. Anyone who wishes to ask a question may press star and one on their touch tone telephone. If you wish to remove yourself from the question queue you may press star and two 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 who wish to ask a question may press star. Anwan, the first question is from the line of Angad Saluja from UBS Securities India. Please go ahead.
Angad Saluja
Yeah, hi. Thank you for taking my question. I hope I’m audible.
operator
Yes sir, you are.
Angad Saluja
Yeah, yeah, yeah. So the first question is that I think in your opening remarks you did mention about, you know, almost doubling your number of keys from 2000 odd right now to 4000 plus over the next five years. I just wanted to understand you know what would be a mix of acquisitions versus development properties within that. Like how are you looking at that?
Ranjit Batra
Yeah. Good evening Angad. Thank you for your question. So let me give you a little flavor on how we going to reach 400 keys. Our vision continues to double our room inventory in the next five years as we’ve done so in the previous five years.
operator
Hello sir. Ladies and gentlemen, we have lost the connection for the management. Please reconnect it while we reconnect them. Thank you.
operator
IT.
operator
Ladies and gentlemen, thank you for being here.
Ranjit Batra
Technical dish. Apologies.
operator
Yes sir.
Ranjit Batra
I think we are back on so. Yeah, I don’t know how much was I audible so But I’ll quickly re, you know answer the question about our growth in the next five years going up to 400 keys. What I can do is give you a breakup. Before that I like to reintegrate that. We have actually had a growth of. We’ve doubled our portfolio in the last five years. So we have already proven that we can and we continue to do the same going forward. Just a breakup on the we have announced pipeline of 367 keys in the three different cities Varanasi, Sri Lanka and the additional rebranding aloft to AC by Myriad in Bangalore Whitefield, that’s 367.
We have 900 keys in the rofo. The big box being in Navi Mumbai. That’s a combination between a JW and Moxie and two more Moxis in integrated business parks in pune. One of 150 and the other of 250 keys. So the balance we will be looking at a branded DILA projects project around 300 keys which very very close to signing an MOU for two big land parcels. And the balance which is the remainder 500 keys will be covered through acquisitions. That’s our plan.
Ranjit Batra
Got it. And just to follow up on that in terms of funding the acquisitions as well, what sort of debt and equity are you comfortable with? I think in the last one year there’s been significant focus on deleveraging as well and that’s visible in your net debt levels.
But going ahead with the number of keys that you intend to add, how are you looking at that bit to shape up and what are the comfortable levels that you are comfortable with?
Ranjit Batra
So Angad Milibyar, let me take this question. To fund this ambitious growth plan of 2,000 rooms will require significant capital expenditure assuming a mix of luxury and upscale hotels with a capex of around 2.5 crore per quay. We estimate around 5,000 crore will be needed for the next five years. Right? Our existing assets in India and Maldives we expect to generate are generating substantial EBITDA and we conservatively estimate over 6,500 crore will be generated in next five years. Driven by let’s say mid teen revpar growth and high teen EBITDA growth. Right. Even after the accounting for taxes and finance cost of around 2,000 crores.
I mean our debt is at today 2,300 crore. I remain assumed it remains at the same level. So my interest at 8% will be around 185190 crore and tax outflow of 200 crore. So we are assuming average 400 crores 2000 crore for next five years will have sufficient internal acurance to fund this project. I mean 6500 crores minus let’s say 2000 crores. So we’ll have around 4500 crores. There could be temporary mismatch which will manage the debt. Now if you look at our debt profile, our India debt today is at 1400 crore and annuity bid of around 440 crores.
So if I take six multiple I can go up to 2,600 crore. So like Paresh mentioned we can take additional 120013 crore, 1300 crore from LRD. Additionally our hospitality EBITDA is virtually debt free, right? Giving us further handle for strategic growth initiatives. With this strong financial position and growth prospect I think with internal accruals we’ll be funding most of these capex maintaining a healthy net debt to EBITDA ratio for next five years. I hope I’ve answered your question.
Angad Saluja
Yeah, yeah, that’s it for myself. Thank you so much and best of.
Angad Saluja
Luck for the quarters to come.
Angad Saluja
Thank you.
Milind Wadekar
Thank you.
operator
Thank you.
operator
The next question is from the line of Mohit Agrawal from IIFL Capital. Please go ahead.
Mohit Agrawal
Yeah, congratulations on great fourth quarter performance and overall FY25 numbers. So in your previous question you just said that probably you’re looking at a revenue growth of mid teens and an EBITDA growth of high teens. So just trying to understand say over a medium term, two three year period just kind of breaking down into let’s say how your India portfolio will do and how your Maldives portfolio will do. Which do you think will deliver higher kind of revenue growth and if you could break it down further into what will it be driven by broadly occupancy and ARR.
How do you see some color on that will be very, very helpful.
Paresh Bafna
Okay, thank you, Mohit. Over the next five years we see both organic growth, that is through our existing properties and inorganic growth from our additional fees. Let me tell you a little bit about our existing properties. So from our additional 1000 crore will come from our existing properties driven by occupancy mainly stabilizing at 70, 75% India and about 10% ADR growth. While in Maldives we will stabilize our occupancies at around 65% occupancy with about 10%. So this is pretty much how we’re going to go from existing properties. And they will be as per
the question about the split, there will be 40% in India and 60% in Maldives as revenue split.
The inorganic growth will come from acquisitions like I mentioned before and key additions. Another 1000 crores added in revenue and overall story that’s doubling our revenue from 2000 to 4 crores. 4000 crores.
Paresh Bafna
So moving further to what Ranjit said, I mean when you analyze look at the hotel operating cost structure, certain costs such as payroll, utilities, repairs and upkeep are relatively fixed. Right. And tend to rise with inflation. On the other hand, costs like fees to operators, sales and marketing contribution are variable in nature and directly linked to the top line. There are certain controllable costs like operating hotel operating expenses which can manage, which we can manage effectively. Right. One notable aspect in food cost which are largely pass through, meaning we can offset inflationary pressures through price increase.
So the key driver of profitability is operating leverage, which Ranjit had just mentioned. And we are expecting midtime revenue growth from occupancy as well as area and which will translate into high teen EBITDA growth. And that will take our EBITDA from organically from our 1000 crores to around 1700 crores as revenue. We expect to go from 2000 crores to 3000 crores.
Mohit Agrawal
Sure, sir, this is very clear. And sir, you know now that you spoke about profitability, you gave these numbers, the EBITDA margin numbers. 46% for the India portfolio and 47% for Maldives. And you also mentioned that, you know there’s a. So we understand that Maldives would typically have a high cost structure. So. And Maldives have kind of marginally outperformed India portfolio in terms of margins. So if you could explain that, if that is sustainable and also if you could explain that, probably is it due to the consolidation of Raya that you started this quarter. So some color on that as well.
Paresh Bafna
So margins, our India portfolio margins today are at 37%.
Paresh Bafna
Right.
Mohit Agrawal
So our internal target is to take IT to around 42% in next 2, 3 years. And Maldives from 32 to 35, 36. How do we do this? I mean we are confident. I mean there is great demand from GCC and high end manufacturing in Pune, Pune micro market and no new supply luxury segment. So which will drive our revenue as well as EBITDA and EBITDA margins. Right. I hope I answered your question or you have any further.
Paresh Bafna
No, I think this is, this is perfect. So I’m just trying to understand that, you know, typically your Maldives margins are lower this quarter. It seems the Maldives margins are higher, right? Marginally.
Paresh Bafna
So, yeah. Mohit, let me come in here. I think I understand your question. I’ll probably answer it in two parts. India and Maldives. So over the last one year what we’ve done is actually we’ve improved our margins by 500 bits and we’ll continue to improve that through operating leverage as you know, with both ADRs and occupancy growth and cost efficiencies. Currently the margins in India, which is around 37% portfolio, we are targeting around 40, 42. As you can see, we’ve already covered quite a lot with all the operating leverage coming in. And Maldives, we’ve also done the same thing.
We’ve had the same story in Maldives. We’ve improved our margins by 500 base points, which I think is a fantastic achievement. We are at 32% margin and our target is reach 33, 35, which is pretty much the industry benchmark there. And you rightly mentioned that Maldives works on typical higher fixed costs. It’s like running a little mini city. And you know, you have to look at also a little bit on Maldives EBITDA terms, these absolute numbers.
Mohit Agrawal
Sure. Great.
Mohit Agrawal
So then lastly, margins are higher also because of the higher ADRs and occupancies and Maldives. Understood?
Mohit Agrawal
Understood, sir. And lastly, sir, is it possible to provide the full year, you know, revenue EBITDA pack for Raya?
Paresh Bafna
Yeah, sure.
Ranjit Batra
So we have started consolidating Raya by atmosphere from the 1st of January. So the revenue was around 62 crore rupees and EBITDA was 30 crore rupees, 49% EBITDA margin. This being seasonally stronger quarter, the margins are strong.
Ranjit Batra
As I mentioned before. Just to give you a little bit more flavor on Raya we had the best new opening. We consolidated numbers in the last quarter we had some phenomenal occupancy at 71% and our margin at 49%. And we expect Raya to close in line with the budgets for FY26 as well. So we are very, very pleased with this opening. I think it’s a talk of Maldives, how well Raya is actually positioned so quickly. Maybe I’d like to also elaborate for some people who don’t know, Raya is a bit of a unique concept. So I’ll take this opportunity to elaborate.
It’s an all inclusive concept which is actually one of the fastest growing concepts in leisure travel consumption patterns. And we are right there with the right product at the right price.
Mohit Agrawal
Those were my questions. Thanks. And all the best.
Ranjit Batra
Thank you.
operator
Thank you.
operator
The next question is from the line of Achal Kumar from hsbc. Please go ahead. Sorry to interrupt, sir. I would request you to please use your hand, sir.
Achal Kumar
Just a second please. Am I audible now?
operator
Yes, sir.
Ranjit Batra
Yeah.
Achal Kumar
So my first question is around Pune market. So basically, you know, we can see there is a growth in Pune. There are a lot of new GCCs coming. So what kind of impact have you seen in the Pune market in terms of demand and did you speak to the corporates and all and did you sign new corporate contracts? So how does the situation look like in terms of Pune market? And any concrete evidence in terms of more business coming in from your corporate discussions?
Ranjit Batra
Yeah. Hi Anshal. I think we are headquartered in Pune, so we understand Pune quite a lot. And considering, you know, our promoters also are in the real estate space, this is a fairly straightforward question. I would like to draw your attention towards more on the hospitality front. I think that’s what the question is. The important factor here to note, of course is that Pune has very limited or no supply in the luxury market. And one of the reasons why I feel our hotel portfolio in Pune will continue to grow as one of the single biggest reason.
The other is the fact that we actually dominate the luxury space with around over 65% of the inventory that we control. This is also pegged against the office space in Pune which is, I think currently it’s increasing at around 40 million square feet. Over the next five years, Una will see 70 million square feet going up to 110 million square feet which will be easily consumed. And there are some other key drivers to give you the flavor of Pune. I think out of the 40 million, 25 million is coming in the east and 15 is coming in the west.
The best being home for most automobile companies like Hyundai. And then there is a mix of gcc, Microsoft, tcs and all that. New companies setting up shop. Big, big change in infrastructure. So that is the new Naval Mumbai Airport. I feel is going to further propel demand in Pune. The connectivity will become even closer and faster, especially with the international destinations. And you know, one of our key strengths for with our mixed use development where we have hotels adjacent to a grade commercial office space, our mixed use development contribute to actually very stable 25% occupancies to our hotels from the corporate segment.
So that itself is a huge advantage that we have. This is pretty much, you know, giving you a flavor of how poor market is.
Milind Wadekar
Ranit said, I mean for quarter four, I mean let’s take four of our flagship hotels, we were able to drive rates we were not of 19,000 JW, we were close to 15,000 occupancy were also very good. So as occupancy picks up, we’ll be able to drive the rate further. So that will improve our margins.
Achal Kumar
Right, perfect. Thanks for that. No, I mean, so I mean actually, you know, my second question was around the point which you just spoke about the Navi Mumbai Airport. You know, and I think I had a sort of thought around this.
Achal Kumar
I mean, you know, what I want to understand is that do you think Navi Mumbai Airport could actually be negative for the Pune market? And why I’m asking is because, you know, I think given that infrastructure such as a nice road between the Navimbay and Pune and the distance is shortened, do you think people can actually come stay in Navimube and do the morning evening rather than staying at Pune since the roads are good, since the transit time is less, do you think that could be negative or do you see that probably not the right way to.
Ranjit Batra
Think about it from a hospitality perspective, what I have seen in many, many cycles, the infrastructure growth facilitates hotels in a huge way. And we have a huge infrastructure story here, which is the Navi Mumbai. And this is not only catering, we already have an airport in Pune, but this is further connecting Pune to the whole world in a more seamless way and much more convenient way. So I see Pune as a city taking huge advantage of this. And this is not just the Navi Mumbi Airport. There’s further conveniences of traveling in and out of Pune with other infrastructural upgrades that we have such as the metro and outer ring roads.
So you will see in the coming years. All these elements work in synergy to put Pune on one of the rising cities of India, which already is, but at a much faster pace going forward. It’s directly linked to infrastructure growth and hotel success.
Achal Kumar
Okay, perfect. My last question is around how the forward booking Looks like especially in the context of the recent uncertainties because of US Tariff and all. So anything you can highlight about do you see there’s no impact. How do you see the forward bookings, what kind of business you are, you have at books versus probably the same period last year. So any flavor on those things would be really helpful.
Achal Kumar
Please.
Achal Kumar
Aren’t we relieved that everything is behind us?
Ranjit Batra
Hopefully now I think this is the same sentiment across the board with both domestic and international travelers. So yes, there has been a blip. We’ve seen some cancellations due to some airline disruptions and travel advisories. Yes, there’s also some geopolitical tensions. But I feel this is only it was the Lapeers in you know, stress in the word was for a short period of time and we don’t expect to see cancellations as of this morning. I checked there were no cancellations that were happening in the last four or five days.
And our portfolio, as you know Anshul is great, has great resilience. We have also diversified revenue streams as you know, through our annuity backbone. And we are resilient from our Maldives Leisure business. So as a portfolio we are. We are in a very good space. And as we progress towards normalcy and travel, we’ll be able to mitigate whatever impact of these cancellations have had to deliver strong results going forward. And of course, you know, these are. Sorry, please go ahead.
Paresh Bafna
No, please, you can.
Ranjit Batra
Sorry. Yeah. And we believe that we have great assets, we have great partners, we have great channel distributions and we will fire and we’re already firing as and when as we speak.
Paresh Bafna
Yeah, sorry. No, I mean I was not talking about the cancellations because of this geopolitical tension between Nepalistan. I was talking more broadly because of the US Tariff at all. I think there was a definitely there was a slowdown, significant slowdown. Even all the US Airlines reported slowdown. And since Mali is the market where you have a lot of traffic coming from the US and UK Europe basically that’s what I was mean to when I was asking about how the impact you see any slowdown in demand and secondly also if you could please give a bit of a color on the forward bookings maybe I know it’s a bit of a short period or bookings don’t take less four months in Iraq or three months in Iraq.
But whatever bookings you may have maybe April, the June quarter or whatever. Any color would be helpful.
Ranjit Batra
Yeah. So I answered a little bit about India, but I understood from the question that you wanted to know a flavor From Maldives as well and from our current Indian and Indian revenue management team, we are not seeing any huge downward trend through the US tariff situation that you’re mentioning. We just came out of a very strong quarter and our bookings are looking pretty strong in this quarter in India as well. As far as Maldives is concerned, the beauty of Maldives is that it’s widely from a very well diversified customer profile from all over the world.
It doesn’t really depend on a particular country as a source of foreign tourist arrivals. Usually the latest numbers is only 3% of the entire Maldives. So very well spread. Plus there is seasonality which takes care of the Maldives business extremely well. Now we are off the peak two big quarters. Now we are going to soft season. The soft season typically is serviced for from Asia overall China, Japan, Korea and India. So next two quarters these are the big segments that are going to be supporting Maldives.
Ranjit Batra
So archal, from India perspective when we look at April numbers we are not seeing any impact. And see, I mean H1 is typically softer. So I mean when we compare it year on year and we have not seen softness and we don’t see there will be any impact. I mean GCC demand is very high. So don’t say anything. Hello.
Achal Kumar
Perfect.
Achal Kumar
Thank you so much. Thank you and wish you good luck.
Ranjit Batra
Was I able to be convincing on the Maldives front? If my answer or you would like me to elaborate?
Achal Kumar
No, I think that’s fine.
Achal Kumar
That’s fine. Thank you.
operator
Thank you. The next question is from the line of Vaibhav Mole from. From yes, securities. Please go ahead.
Vaibhav Mole
Hi. Congratulations on a great pickup number for the quarter. I had a couple of questions on your Maldives business. So firstly you mentioned that you are targeting to increase the occupancies from current level of 57, 58% to 65% odd levels. So given Maldives is a market and for Q4 we are already registering occupancies of 71, 72% and it’s kind of slattish year on year. So Q4 seems to have little headroom for occupancy growth. So how do you plan to improve this occupancy to 65% for full year? And so basically how do you plan to reduce the cyclicality component for the full year business in Maldives? That’s the first question.
Ranjit Batra
So I think you’re right. There is always these big five, six peaks that Maldives go through. Whether it’s the New Year, Christmas etc. The Chinese New Year. And there is a cyclical first of all this year we’ve Had a shift of the so the Easter has moved from last quarter to this quarter. I think that itself is going to be a huge shift in revenue generation for this quarter. And additionally we do a lot of strategic market wide diversification approach. That’s what we take in Maldives. So depending on which countries and geographies we need to penetrate and we look for new geographies all the time to generate business.
But the uniqueness of Maldives is the attraction for global travelers, for looking out for leisure destinations. And you know we have one of the best partners and loyalty programs in place with our Hilton in Maldives, Anantara and the discovery program or loyalty program that generates a lot of off season business for Maldives typically. And that’s one of the ways we want to further look at increasing business in the off season as well.
Vaibhav Mole
Great sir, understood. And my second question was on the tread path for Maldives market. So that has seen year on year decline including Raya. So I guess Raya basically operates at a lower price point compared to our luxury results. But can you share the levels for Raya specifically what kind of Tripar it operates at? And do you expect improvement in Tripar for Raya going forward given the hotel is currently in a stabilization phase and what kind of uptick can we expect in medium term?
Ranjit Batra
I think very good question specifically for Raya. Raya is operating at a trip around 35,000 rupees now typically especially for Maldives. It takes a long period for ramp up of any resort considering it sitting in isolation. And you have to have a lot of, you know, to showcase the resort to a lot of people all over the world. So I already mentioned that we’ve actually gone very quick on the first quarter with high occupancies and rates. We have strategically moved majority of business on volume based not so much on rate base as a strategy for the first one one and a half years so we can showcase our properties.
The segment that actually fires for all inclusive resorts in the world is actually through wholesale business. And wholesale business typically works on reputation and customer feedback after they go and experience a resort and then that creates further traction. So this is our focus right now. And going forward we will obviously be increasing the rates to a significant amount in the near future. But this is pretty much our strategy. We’ve mutated the rates a little bit. We’ve left a little bit money for the wholesalers to push the resort and that’s our strategy.
Vaibhav Mole
Understood sir. And do you see this all inclusive concept has potential to be applied in your other existing properties or any other New properties where this can be implemented.
Ranjit Batra
To be honest, I mean, take a global view. There are pockets of places like, you know, the Caribbean islands where all inclusive concepts are really popular. It’s mainly popular in the leisure destination leisure product, so to speak. Now it’s convenient for both operator and for the consumer both. And I’m seeing that there’s a lot of traction. Why am I seeing this? Is because in the luxury segment in Maldives and some other places, this half board and full board concept is also coming out quite strong where the customer wants to know how much they’re going to spend and need some certainty on budgeting their holidays.
So yes, while it will go into harbored and full board, all inclusive is a very specialized business. Not everyone can actually emulate or do this successfully because if there is unlimited consumption of food and beverage, there has to be some stringent discipline and cost control as well at the same time to make this work. So only few operators actually mastered the art of doing an all inclusive with high EBITDA margins such as we have. And I already mentioned our beta margins at 49%.
Vaibhav Mole
Great sir, understood. Thank you so much sir for answering my questions and all the best for future.
operator
Thank you. The next question is from the line of Sumit Kumar from JM Financial. Please go ahead.
Sumitkumar Agrawal
Hi team, good afternoon.
Sumitkumar Agrawal
Congratulations on a very good study of.
Sumitkumar Agrawal
My first question is if you could break up the growth of the India hospitality business between Pune and Bangalore and the second question would be on ROFU assets, on what stage of development would you like the roof classes to come into vented? Is it at the last stage or is it more towards completion? Those are my two questions.
Milind Wadekar
Sumit. I mean India business, we don’t have numbers readily available but we’ll share it with you. As far as ROFO is concerned, I mean it is initial stage. We are evaluating various options in what shape and format it will come to ventive and we’ll keep you posted, I mean everyone posted once this is done. But we expect it will be done in two quarters or so.
Ranjit Batra
Just to add to Milan,
Ranjit Batra
I think we will bring the vintage assets from our latest strategy meeting as a warm shell stage at fair market value and I think that will ensure creation of wealth for minority shareholders as well. So the timeline for warm shell transfer will be around two and a half to three years. Just to answer that question as well. You’ll be hearing some announcements very soon on this. Sure sir.
Ranjit Batra
So does that answer your question?
Sumitkumar Agrawal
Yes sir. That’s all from my name. Thank you.
operator
Thank you. The next Question is from the line of Vignesh Iyer from Sequent Investments. Please go ahead.
Vignesh Iyer
Hello. Hello. Yeah, thank you for the opportunity. So my question is more on the lines of your earlier commentary where you said how you will use the Internet accruals to take care of the doubling your keys expansion in next five years. So wanted to understand would it be fair to say that your promoter holding from 88 to 75% that needs to be done as per study guideline. There would be no dilution on your part.
Ranjit Batra
So we still have around two and a half years for that dilution. But the cash flow what I explained is coming out of internal accruals. I mean most of our capex will be funded through internal accruals. We are not looking at any dilution. We look at where that means how to reduce that to 7, 75% as and when it is required as the city guidelines.
Ranjit Batra
So yeah, so basically that would be offer from the promoter side.
Milind Wadekar
Not necessary. Not necessary.
Ranjit Batra
Okay, okay, okay. Because. Because of calculation based on. I mean EBITDA minus tax and interest which is your. The prop. You know accrual that get take. You know takes care of the capex. And if there is no dilution that has to be OFS only.
Vignesh Iyer
Right?
Milind Wadekar
I mean there is no other way to reduce the promoters stake in the company.
Milind Wadekar
See there are ways and means. I mean we’ll discuss on it when it comes. And we still have two and a half years. So there are quite, quite a few options on that.
Vignesh Iyer
Okay, okay.
Vignesh Iyer
Okay, got it. And just one more question on my end. Just wanted to understand what would be the taxation going ahead in FY26 on standalone level as well as Maldives business.
Ranjit Batra
Maldives tax is at 15% on profit. So we have some debt there. So taxable. The income is not taxable there. In India we have different entities so tax rate is different. One of our material subsidiaries are at 25%. We have carried forward tax losses on account of 35, 85 incentive given to hospitality companies. So we’ll use that. Once we exhaust with that we will move to new tax rate and effective tax rate will come at 25%. So this is the basis of our broad calculation. But if you look at the financial statement it will be current tax and deferred tax.
Right. So in our calculation we are discussing only current tax which is actual outflow.
Milind Wadekar
Right, Right, right, right.
Milind Wadekar
With this we are saying interest and tax and some repairs and maintenance. Capex all put together will be around. Will average to around 400 crores a year.
Ranjit Batra
Okay, okay. Because I mean, since the rate of tax is changing almost every quarter, to look from a PBT point of view.
Ranjit Batra
Rate of taxes is changing every quarter because I mean due to seasonality and tax is paid at legal entity level. Right. So when you arithmetically add on subsidiary and profit of one company, legal entity is reduced by losses of other entities. So we cannot do that. I will straight away PBT to tax percentage. So we’ll have to. You’ll have to look at each legal entity level. But I mean tax rate will not go beyond 25%. Actual outflow.
Ranjit Batra
Actual outflow.
Vignesh Iyer
Yeah.
Vignesh Iyer
Thank you. Thank you. Thank you for the clarity. That’s all from us.
operator
Thank you ladies and gentlemen. That was the last question for today. I now hand the conference over to Mr. Ranjit Batra for closing comments.
Ranjit Batra
Thank you. So S525 has been a landmark year for Ventis Hospitality. Marked by record breaking results, operational discipline and strategic progress. We crossed 2, 2 key milestones surpassing 2000 crore in full year revenue and 1000 crore mark in EBITDA. We’ve delivered our best ever quarterly performance with 20% revenue growth and 23% EBITDA growth. Our hospitality business delivered outstanding KPIs across the board. We remain focused on driving margin improvement. Our overall EBITDA margin in Q4 was 52%, one of the highest in the industry. Lastly, we remain confident of sustaining our growth both organically and achieving our vision through doubling a number of keys in the next five years.
All of these accomplishments were made possible by a fabulous team at Ventiv. Our operators, our associates and most importantly, our customers. I want to thank each one of them for their support and everyone here on the call today for your support and encouragement. Thank you once again for joining this call and have a good evening.
operator
Thank you. On behalf of Ventiv Hospitality Limited. That concludes this conference. Thank you for joining us and you may now disconnect your lines.