Grand Continent Hotels Limited, established in November 2011, is a hospitality company operating in the mid-scale hotel sector, catering to the diverse needs of business and leisure travelers across India. The company, headquartered in Bengaluru, Karnataka, operates in the mid-scale segment, covering Upper Mid-Priced, Mid-Priced, and Economy hotels. The company focuses on providing a differentiated and superior service experience for middle-class Indian guests and business travelers, with a strong emphasis on offering value-for-money propositions.
The company primarily follows an asset-light model, leasing most properties except for two owned hotels in Bengaluru. As of September 30, 2024, the company operates a total of 753 hotel keys across the states of Karnataka, Tamil Nadu, Goa, Andhra Pradesh, and Telangana. The Karnataka-based company, along with JV Partner Entities, manages 16 operational hotel properties. These 16 hotels with 753 keys are located in Karnataka (Bengaluru/Mysuru), Tamil Nadu (Hosur), Goa (Anjuna/Morjim), Andhra Pradesh (Tirupati), and Telangana (Secunderabad).
The company's expansion began with its first hotel property launch in 2010. Promoter Mr. Ramesh Siva initiated the hospitality business by setting up his first hotel property in Bengaluru with 54 keys under the name "Grand Continent" on October 21, 2010. The first hotel launched under Grand Continent Hotels Limited commenced operations on Bannerghatta Road, Bengaluru, with 24 keys on April 04, 2016. This was followed by the launch of the second hotel, Hotel Grand Continent, in Malleswaram with 34 keys in 2017. Subsequently, Hotel Regenta Inn at Indiranagar (40 keys) and Hotel Regenta Inn Grand at 8th Block Koramangala (40 Keys) were launched under the Royal Orchid brand in 2019. In 2022, Hotel Tulip Inn - Ejipura Koramangala (54 Keys), Hotel Regenta Inn - ORR Mahadevapura (49 Keys), and Hotel Regenta Inn - 4th Block Koramangala (25 Keys) were added to the portfolio.
The company has demonstrated strong operational metrics across its hotel portfolio.
- Occupancy Rates:
- Six months ended September 30, 2024: 67.69%
- FY24: 71.98%
- FY23: 73.92%
- FY22: 61.04%
- Adjusted Occupancy Rates:
- Six-month period ending September 30, 2024: 72.33%
- FY2024: 75.17%
- FY2023: 79.00%
- FY2022: 61.90%
As of September 30, 2024, the company had 538 employees.
Grand Continent Hotels has shown consistent growth in its financial performance.
- Recent Data: Revenue of ₹72.6 crores and Profit of ₹10.7 crores.
- FY25 (Annualised Basis): Revenues of ₹ 63.72 crores and PAT of ₹ 13.62 crores.
- Quarterly Performance (ended September 30, 2024): Revenue from operations of ₹ 31.84 crore and Net Profit of ₹ 6.81 crore.
The company's financial trajectory shows significant improvement over the years.
- Consolidated Performance:
- FY22: Total Income ₹ 6.03 cr. / Net Profit ₹ –(0.79) cr.
- FY23: Total Income ₹ 17.05 cr. / Net Profit ₹ 1.05 cr.
- FY24: Total Income ₹ 31.53 cr. / Net Profit ₹ 4.12 cr.
- H1 FY25 (ended September 30, 2024): Net Profit of ₹ 6.81 cr. on a Total Income of ₹ 31.86 cr.
- The company's PAT margin has improved significantly, reaching 19.53% in H1 FY25.
- Market Capitalization: ₹426 crores
- Revenue (FY25): ₹ 63.72 crores
- EBITDA (FY25): ₹ 22.48 crores
- PAT (FY25): ₹ 13.62 crores
- Net Worth: ₹ 40.18 crores
Grand Continent Hotels made a muted debut on the NSE SME platform on Thursday, March 27, 2025. The stock listed at ₹112.90 per share on the NSE SME, a marginal decrease of 0.09% from the issue price of ₹113 per share. The IPO was a book-built issue totaling ₹74.46 crore, comprising a fresh issue of 6.2 million shares worth ₹70.74 crore and an offer for sale (OFS) of 0.32 million shares amounting to ₹3.72 crore.
- Promoter Holding: 54.8% (As of March 2025, company promoters held 54.85% stake. No shares were pledged.)
Grand Continent Hotels Limited was originally incorporated as a Private Limited Company on November 11, 2011, under the name "Grand Continent Hotels Private Limited" with the RoC, Chennai, Tamil Nadu. Subsequently, the company was converted into a Public Limited Company, and its name was changed to "Grand Continent Hotels Limited." A fresh Certificate of Incorporation was issued on August 30, 2024, upon its conversion to a Public Company by the RoC, Central Processing Centre. The company is engaged in the hospitality business, focusing on the ownership and development of hotels, operating within the mid-scale hotel sector which includes the upper-mid priced, mid-priced, and economy hotel segments.
The company has maintained a conservative dividend approach, not paying any dividends since its incorporation. It adopted a formal dividend policy in September 2024, which is based on its financial performance and future prospects. Despite reporting repeated profits, the company has not paid out dividends.
Grand Continent Hotels represents a growing player in India's mid-scale hospitality sector, with a strategic focus on asset-light expansion and serving the value-conscious segment of business and leisure travelers. Post-IPO, the company is expected to be debt-free, further boosting profitability and positioning it well for future growth opportunities in the Indian hospitality market.
