Mahindra Holidays And Resorts To Invest Rs 1,200 Crore To Add 1,500 Rooms Over Next Four Years
Despite the Covid-19 pandemic that severely hit the hospitality sector, Mahindra Holidays and Resorts India plans to invest around Rs 1,200 crore over the next three to four years.
The chain which opened 10 new resorts in fiscal 2021 plans to add 1,500 rooms in its portfolio. In this financial year, it expanded its presence to the Andamans, Goa and Kerala. It is also looking at new partnerships in international markets such as London, Phuket and Bali.
Mahindra Holidays and Resorts currently has 79 resorts in its portfolio out of which 69 are in India. It has affiliate tie-ups with hotel chains and other brands in markets such as the US, reports The Economic Times.
“The biggest problem in the hospitality businesses is debt and occupancy. Our occupancies in December touched 85 per cent and were 87 per cent, 84 per cent and above 80 per cent in January, February and March. We have a member base of 2,63,000-plus. The fact that we have zero debt on our books also helps matters. We don’t need any debt or loans to grow our business,” Mahindra Holidays & Resorts India chief executive Kavinder Singh said.
“Despite most of our resorts being shut in April, May and June. We grew cash, we delivered 63 per cent growth in profit after tax in the nine-month period (through December). From Rs 20-odd crore five years ago, we were hovering at around Rs 848 crore in December. We have grown cash. Our profit growth has been 24 per cent CAGR over the last five years. We have added members,” he said.
“India has so much to offer. And that is where our sweet spot is. We were known for creating destinations such as Madikeri, Kumbhalgarh and Binsar and are now on a similar track,” he added.
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