EIH Ltd reports profit of Rs 66 crore for quarter ended June 30, revenue from operations at Rs 394

EIH Limited, the flagship company of The Oberoi Group has swung into black with a profit of Rs 66 crore for the quarter ended June 30, compared to a loss of Rs 114 crore in the corresponding period of the last fiscal. The chain reported revenues of Rs 394 crore, up from Rs 95 crore in quarter one of the last fiscal.

The company said as a result of improved business conditions, the management does not foresee stress on liquidity, as it either has access to sufficient sanctioned borrowing facilities for working capital requirements or has sufficient liquid funds available, besides enhanced internal accruals during the period. "The company has access to borrowing facilities worth Rs 530 crore, of which Rs 480 crore remained unutilised as on 30th June, 2022," EIH stated.

EIH stated that the consequences of the Covid-19 outbreak on the company’s and its subsidiaries’ business for the year ended 31st March, 2022 and 31st March, 2021 had been severe. But, vaccination programmes being implemented in India and across the globe, improved domestic air travel and resumption of international flights in India from March 27, 2022, an increase has been witnessed in both business and leisure travel at the company’s hotels resulting in elevated occupancies and improved average room rates in the quarter ended June 30.

For the year ended March 31, 2022, the company reported revenue from operations at Rs 985 crore. It reported a loss of Rs 95 crore for the year ended March 31, 2022.