Juniper Hotels Q2 FY27 Results (NSE: JUNIPER)
Signal: Growth decelerated
The read
The operating inflection is stronger demand rather than margin expansion: Q2 revenue grew 10% to ₹258.1 Cr on 9% ARR and 12% RevPAR growth, but EBITDA margin fell 2pp to 35%; PAT growth of 121% to ₹37.2 Cr was mainly amplified by lower finance costs and depreciation. This follows the prior quarter's 35% margin and reverses the margin expansion seen through Q4FY26, while the development and acquisition pipeline raises the longer-term scale opportunity.
| Metric | Value | YoY | QoQ |
|---|---|---|---|
| Revenue | ₹258.1 Cr | +10% | N/A |
| Net profit | ₹37.2 Cr | +121% | |
| EBIT margin | 35% |
P&L walk
Total income grew 10% to ₹258.1 Cr, led by 9% ARR and 12% RevPAR growth, while EBITDA rose only 5% to ₹91.4 Cr and margin contracted 2pp to 35%; PAT nevertheless rose 121% to ₹37.2 Cr as lower finance costs and depreciation supported earnings.
Key positives
- ARR increased 9% YoY to ₹11,514 and RevPAR increased 12% to ₹8,601, indicating improved hotel realisations and operating momentum.
- Occupancy rose 2.4pp YoY to 74.7%, supporting the 10% increase in total income to ₹258.1 Cr.
- PAT rose 121% to ₹37.2 Cr as lower finance costs and depreciation amplified the 5% EBITDA growth.
- Net debt reduced to approximately ₹633 Cr and Net Debt/EBITDA stood at 1.4x despite the stated expansion pipeline.
Key concerns
- EBITDA margin declined 2pp YoY to 35% even as total income grew 10% to ₹258.1 Cr, so the earnings acceleration was not driven by operating margin expansion.
- EBITDA grew 5% to ₹91.4 Cr, materially slower than the 10% increase in total income, leaving the margin trajectory weaker than the revenue trajectory.
- The ₹248 Cr Novotel Imagicaa acquisition and multiple hotel developments increase capital-allocation demands even as the company reports approximately ₹633 Cr of net debt.
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