Profit was impacted by initial gestation period for cost of new hotel in Bangalore, foreign currency fluctuation and lower treasury income, said Raymond Bickson, managing director of IHCL. The sector continues to face pressure on demand because of the current economic environment which has kept the room rates below the desired levels.
The companys consolidated net sales for the quarter increased nearly 20% to R852.57 crore from R711.64 crore in the same quarter last year.
Consolidated net loss after share of losses in associates and minority interest increased to Rs 33.36 crore as compared to Rs 22.27 crore in the same quarter.
On Wednesday, the companys shares closed 0.74% higher at Rs 60.90 on the BSE.