IHCL to open 8 new hotels in 2018, eyes 30 per cent growth in next five years

At the shareholders at the AGM, Chairman N Chandrasekaran said IHCL intends to significantly increase the domestic footprint this year by opening eight new hotels.

“We have drafted a ‘3R’ (restructure, re-engineer and re-imagine) strategy with the objective of doubling the room keys and expanding the operating margin by 800 bps over the next five years.

“Accordingly we will open eight new properties this year in the country,” he said, adding “we are growing at 8-10 per cent now and  we plan to increase this to 30 per cent in the next few years.”

Stating that the overall business sentiment has changed for the good, he said the favourable demographics, a large and growing middle class population coupled with rising income levels and spending patterns have been triggers for growth, which remain extremely favourable to the industry as a whole and to ICHL in particular.

“Our journey of growth has already commenced, with the sharpening of the Taj, Vivanta and Ginger brands as well as launch of a new collection called ‘SeleQtions’,” he said, adding IHCL will also take initiatives to work together with other group companies.

Chandrasekaran said the travel and tourism sector is expected to grow at 6.9 pc per annum, on healthy growth in the aviation industry and other businesses.