• For the quarter ended September 2006, ROHL reported 39% growth in the consolidated revenues to Rs 25.98 crore. The operating margins dipped by 520 basis points to 32.7% on the back of 220 basis points increase in raw material consumed, 180 basis points increase in staff cost, the resultant operating profits increased by 20% to Rs 8.50 crore. Other Income for the quarter stood at Rs 2.86 crore against Rs 14 lakh in the corresponding previous quarter. Interest cost for the quarter was at Rs 55 lakh & depreciation cost at Rs 1.01 crore. Tax provision including current tax, deferred tax & FBT increased by 36% to Rs 2.36 crore. PAT before minority interest grew by 72% to Rs 7.45 crore. Minority interest for the quarter was up by 12% to Rs 37 lakh. PAT after minority interest stood at Rs 7.08 crore up by 77%.

• For the first half, ROHL reported 47% growth in the consolidated revenues to Rs 51.55 crore with OPM dipping by 310 basis points to 37.4% resulting in operating profit growth of 36% to Rs 19.27 crore. The reported et profit for the period grew by 80% to Rs 15.40 crore.

• In the September quarter, there was a drop in occupancies in Bangalore mainly due to influx of service apartments. Currently there are 1500 rooms in Bangalore with 1500-2000 rooms expected in 2-3 years. Regarding room availability in Hyderabad, currently there are 1200-1300 rooms with 3000-4000 rooms coming up in next few years.

• The company has revised its room rates with effect from October 1, 2006 by 15% upwards.

• The company has reiterated its capex plan of Rs 500 crore with expansion, which will be funded from the IPO funds, debt & internal accruals. The long term plan of the company to have 6 hotels in 5 star category, 14 hotels in 4 star & 20 in budget category.

• By the end of December 2006 quarter, the property in Jaipur Royal Orchid Central with 70 rooms will start getting operational through its 100% subsidiary. Also the Mysore heritage property Royal Orchid Brindavan Garden with 25 rooms will also come up which is owned by the company.

• In June 2007 quarter, the property at Pune Royal Orchid Central with 115 rooms will become operational through its 100% subsidiary on lease with minimum guarantee & Royal Orchid Central, Hyderabad will come up through 51% subsidiary.

• The company has planned for a 100 rooms 5 star hotel in Bangalore with a capex of Rs 30 crore. The hotel would be operational in one & a half years from March 2007.

• Other Income of the company includes interest on IPO funds.

• The debt of the company as of September 30, 2006 is about Rs 25 crore. This amount is likely to go up once the expansion plans crystallize.

• The company is planning to enter the Tier II cities like Jaipur, Simla, Indore, Chandigarh, Ahmedabad, Goa, Cochin etc to set up 4 star hotels or budget hotels.

• In Delhi the company has signed up a property, which will be ready within 2 years on revenue sharing & minimum guarantee.

Occupancies & ARRs