Sour Times: Lemon Tree Hotel Hit by Revenue Slowdown

Priyal DuttaAugust 26, 20241 Mins read617

Despite a dismal first quarter, major hospitality corporations like IHCL and Lemon Tree are optimistic about future growth. Over the past month, the stock values of Indian Hotels Company, Lemon Tree Hotels Ltd., Chalet Hotels Ltd., and EIH Ltd. have decreased following the publishing of their subdued first-quarter financial results. This year’s sales growth was only 6-20% compared to the previous year’s 16–26% rise.

An additional factor in the restrained expansion of the hospitality industry was the date of the elections

In addition, this year’s quarter saw fewer weddings than usual, which is usually a good sign for wedding-related reservations. The MICE (Meetings, Incentives, Conferences, and Exhibitions) sector suffered. This, along with the election period, contributed to the hotel industry’s muted growth.

Hotel Stocks Return in the Last 1 Month and 6 Months:

Company	1 Month Return (%)	6 Months Return (%)
IHCL	2.8	7.8
Lemon Tree Hotels	-6.8	-6.7
Chalet Hotels	-1.3	-7.9
EIH Ltd	-6.3	-6.9

Written by

Priyal Dutta - Senior Correspondent/Editor

As Senior Correspondent and Editor at Safari India, I write about the people, businesses, and trends shaping the travel, tourism, hospitality, aviation, and lifestyle industries. My work ranges from breaking news and exclusive interviews to in-depth features and industry analysis, with a focus on delivering accurate, balanced, and engaging stories. I enjoy uncovering the details behind every story and presenting them in a way that keeps readers informed and connected to an ever-evolving industry.