1. At a Glance
Ventive Hospitality is India’s largest luxury-focused hotel platform, managing swanky properties like JW Marriott Pune and The Ritz-Carlton Pune, plus an enviable Maldives portfolio. Q1 FY26 saw revenue at ₹520 crore (+18% YoY) and EBITDA at ₹220 crore, with margins hovering around 29%. The stock’s P/E? A nosebleed 126 — because apparently, investors think every booked suite is a ticket to endless compounding. Plans are in place to double key count to 4,000 in five years, backed by ₹5,000 crore capex — which, in hospitality terms, is like saying, “I’ll take more chandeliers, please.”
2. Introduction
Founded in 2002, Ventive started as a hotel owner and developer but has morphed into a fully integrated luxury hospitality and asset management platform. It’s not just about running hotels — they own, develop, and lease high-end commercial/retail spaces alongside. Their alliances with Marriott, Hilton, Minor Hotels, and Atmosphere give them global branding muscle, while their geography spread means they can cater to both a techie at Outer Ring Road, Bangalore, and a honeymooner in the Maldives.
The India portfolio holds 1,521 keys across eight properties, while the Maldives adds another 515 keys of ultra-luxury experiences. The FY25 RevPAR of ₹13,293 and ADR of ₹20,769 put Ventive squarely in the high-yield bracket. But with ROE at just 4.75% and no dividend, the company’s financial elegance is more in presentation than payout.
3. Business Model (WTF Do They Even Do?)
Ventive runs two main revenue streams:
a) Hotel Operations (~78% of FY25 revenue)
- Room Rent (India: 55%, International: 57%)
- F&B (India: 36%, International: 33%)
- Others (Spa, banquets, ancillaries)
b) Annuity Assets (~22% of FY25 revenue)
- Commercial leasing at near-full capacity (98% occupancy).
- This steady cash flow acts as a cushion for the seasonal swings of hospitality.
Their model blends ownership of marquee properties with long-term brand management alliances. In short — own the asset, let a global brand run it, and collect the EBITDA.
4. Financials Overview – Q1 FY26 vs
Q1 FY25 & Q4 FY25
| Metric | Latest Qtr (Q1 FY26) | YoY Qtr (Q1 FY25) | Prev Qtr (Q4 FY25) | YoY % | QoQ % |
|---|---|---|---|---|---|
| Revenue (₹ Cr) | 520 | 440 | 507 | 18.2% | 2.6% |
| EBITDA (₹ Cr) | 220 | 178 | 208 | 23.6% | 5.8% |
| PAT (₹ Cr) | 38 | 37.3 | 26.9 | 1.9% | 41.3% |
| EPS (₹) | 1.15 | 1.13 | 0.81 | 1.8% | 41.9% |
Commentary:
- Solid EBITDA growth YoY, but PAT growth is anaemic due to higher interest and depreciation.
- QoQ jump in PAT is encouraging — the March quarter is seasonally weaker.
- OPM remains attractive at ~29%, though lower than the 40–50% peaks seen in past quarters.
5. Valuation (Fair Value Range Only)
Method 1 – P/E
- EPS (TTM) = ₹4.88
- Sector avg P/E ~ 60 (Indian Hotels, Chalet, Lemon Tree)
- FV = ₹293 – ₹390 per share.
Method 2 – EV/EBITDA
- EV = ₹16,606 Cr (MCap) + ₹2,744 Cr (Debt) – ₹380 Cr (Cash) ≈ ₹18,970 Cr
- EBITDA (TTM) = ₹885 Cr
- EV/EBITDA = 21.4x vs peer avg 19–22x → FV ~ ₹670 – ₹750.
Method 3 – DCF (Simplified)
- Assume 15% EBITDA CAGR, WACC 10.5%, terminal growth 4%.
- FV ~ ₹640 – ₹760.
Educational FV Range:₹640 – ₹750Disclaimer: This FV range is for educational purposes only and is not investment advice.
6. What’s Cooking – News, Triggers, Drama
- Doubling Room Capacity–
