Royal Orchid Hotels Limited (ROHLTD) AI Stock Analysis

• Market Cap: ₹8.83B
• Dividend Yield: 0.61%
• Average Volume (3M): 2.48K
• Price to Earnings (P/E): 31.7
• Beta (1Y): 1.14
• Revenue Growth: 10.77%
• EPS Growth: -4.40%
• Country: IN
• Employees: 1,098
• Sector: Services
• Sector Strength: N/A
• Industry: Travel Lodging
• EPS (TTM): 3.30
• Shares Outstanding: 27,425,217
• 10 Day Avg. Volume: 2,468
• 30 Day Avg. Volume: 2,477
• PEG Ratio: -9.21
• Price to Book (P/B): 4.90
• Price to Sales (P/S): 3.54
• P/FCF Ratio: 816.07
• Enterprise Value/Market Cap: N/A
• Enterprise Value/Revenue: N/A
• Enterprise Value/Gross Profit: N/A
• Enterprise Value/Ebitda: N/A
• 1Y Price Target: N/A
• Price Target Upside: N/A
• Rating Consensus: N/A
• Number of Analyst Covering: 0
• EPS Forecast (FY): 20
• Revenue Forecast (FY): ₹5.05B

• Rating: 61 Neutral
• Price Target: ₹340.00 ▼(-16.52% Downside)
• Action: Reiterated Date: 11/14/25
• Date: Action: Reiterated 11/14/25

The overall stock score of 61 reflects a strong financial performance, which is the most significant factor, supported by robust revenue growth and profitability. However, bearish technical indicators and moderate valuation metrics weigh down the score. The absence of earnings call data and notable corporate events means these factors do not influence the score.

Positive Factors

Revenue Growth

Sustained revenue growth near 16% indicates recovering and expanding demand for the company’s hotels. Over a 2–6 month horizon this supports occupancy and pricing leverage, enabling reinvestment in assets and profit recovery while underpinning medium-term revenue predictability.

Cash Generation

Positive operating cash flow and standing free cash flow demonstrate the business converts room and F&B revenues into cash. This durable cash generation supports ongoing capex, working capital needs and strategic investments, sustaining operations through hospitality cycles.

Business Model Diversity

A multi-brand hotel portfolio and diversified revenue streams (rooms, F&B, banquets, management/brand fees) reduce single-segment exposure. This structural mix supports steadier revenue across business and leisure demand patterns and offers multiple margins and revenue levers over time.

Negative Factors

Earnings Volatility

A marked decline in EPS growth signals earnings volatility despite revenue gains. Persisting EPS weakness can limit retained earnings, constrain investment capacity, and pressure stakeholder confidence, making near-term profitability swings a structural risk for operational planning.

Capex Pressure on FCF

Rising capital expenditures that reduce free cash flow growth indicate the company is investing to expand or refurbish properties. While strategic, sustained high capex can compress available cash for dividends, deleveraging or opportunistic investments and raises execution and timing risk.

Balance Sheet Funding Mix

A moderate debt-to-equity stance and room to improve the equity ratio imply limited capital buffer. In a cyclical hospitality sector this funding mix elevates refinancing and liquidity risk during downturns and could constrain strategic flexibility for acquisitions or large projects.

Royal Orchid Hotels Limited Business Overview & Revenue Model

Company Description

Royal Orchid Hotels Limited operates and manages hotels and resorts in India. The company also offers restaurants and mobile food services. It operates 74 hotels and resorts with approximately 4,500 guest rooms, as well as 145 restaurants and bars in 45 cities. The company was formerly known as Universal Resorts Limited and changed its name to Royal Orchid Hotels Limited in 1997. Royal Orchid Hotels Limited was founded in 1973 and is based in Bengaluru, India.

How the Company Makes Money

Royal Orchid Hotels Limited makes money primarily through hotel operations and hotel management/branding arrangements. Key revenue streams typically include: (1) Rooms revenue: income from selling room nights (transient, corporate, group, and long-stay stays), often influenced by occupancy levels and average room rates. (2) Food & beverage (F&B) revenue: sales from in-house restaurants, bars, banquets, and catering, including events such as weddings, conferences, and corporate meetings. (3) Banquet and event services: rental and service income from meeting rooms and banquet halls, frequently bundled with F&B and event-related services. (4) Management and franchise/brand fees (where applicable): income earned for operating hotels on behalf of property owners or allowing third-party hotels to use the company’s brands and systems; this can include base management fees and/or incentive fees tied to performance, though specific fee structures are not available here (null). (5) Other hotel-related income: ancillary revenues such as laundry, spa/fitness services, transport/airport transfers, and miscellaneous guest services where offered at individual properties. The company’s earnings are driven by its ability to maintain strong occupancy and pricing, grow its network of operated/managed hotels, and generate higher-margin ancillary and event revenues. Specific material partnerships, named counterparties, or exact segment-wise revenue contributions are not available here (null).

Royal Orchid Hotels Limited Financial Statement Overview

Summary

Royal Orchid Hotels Limited is showing a robust financial performance with strong revenue growth and improved profitability. The balance sheet remains stable with a prudent approach to leveraging, while cash flow management supports long-term investments. Nonetheless, some fluctuations in operational efficiency and increased capital expenditure warrant attention.

Income Statement

Royal Orchid Hotels Limited has demonstrated strong revenue growth over the past years, recovering significantly from a low point in 2021. The gross profit margin has remained robust, and the net profit margin has improved, indicating effective cost management. However, the EBIT and EBITDA margins show some fluctuation, reflecting potential volatility in operational efficiency.

Balance Sheet

The company maintains a moderate debt-to-equity ratio, indicating a balanced approach to leveraging. The return on equity is commendable, showcasing effective use of shareholder funds. However, the equity ratio could be higher, suggesting room for improving asset funding through equity rather than debt.

Cash Flow

The cash flow situation is stable with positive operating cash flow and free cash flow. However, there has been a decline in free cash flow growth due to increased capital expenditure. The operating cash flow to net income ratio indicates strong cash earnings, but the free cash flow to net income ratio has decreased, pointing to higher capital investments.

Breakdown	TTM	Mar 2025	Mar 2024	Mar 2023	Mar 2022	Mar 2021
Income Statement
Total Revenue	3.34B	3.19B	2.94B	2.64B	1.39B	808.50M
Gross Profit	1.36B	1.29B	1.92B	1.81B	882.99M	432.48M
EBITDA	1.01B	967.78M	951.60M	980.75M	661.88M	-103.92M
Net Income	461.57M	472.45M	484.90M	470.25M	293.65M	-324.75M
Balance Sheet
Total Assets	10.22B	5.38B	4.70B	4.24B	3.63B	4.19B
Cash, Cash Equivalents and Short-Term Investments	477.90M	680.88M	510.02M	714.38M	470.04M	436.27M
Total Debt	6.77B	2.21B	2.00B	1.58B	1.49B	1.63B
Total Liabilities	7.65B	2.91B	2.62B	2.27B	2.16B	2.46B
Stockholders Equity	2.40B	2.31B	1.91B	1.73B	1.25B	1.40B
Cash Flow
Free Cash Flow	-71.04M	13.87M	476.35M	447.53M	204.26M	40.88M
Operating Cash Flow	72.63M	246.91M	593.94M	555.19M	218.23M	52.84M
Investing Cash Flow	49.21M	-219.00M	-373.13M	-88.69M	-28.96M	-74.62M
Financing Cash Flow	-211.99M	-298.00K	-385.21M	-251.76M	-133.38M	-8.97M

Royal Orchid Hotels Limited Technical Analysis

• Technical Analysis Sentiment: Negative
• Last Price: 407.30
• 50DMA: Negative
• 100DMA: Negative
• 200DMA: Negative
• MACD: Positive
• RSI: Neutral
• STOCH: Neutral

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For IN:ROHLTD, the sentiment is Negative. The current price of 407.3 is above the 20-day moving average (MA) of 348.18, above the 50-day MA of 367.00, and below the 200-day MA of 420.74, indicating a bearish trend. The MACD of -12.59 indicates Positive momentum. The RSI at 31.73 is Neutral, neither overbought nor oversold. The STOCH value of 36.90 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Negative sentiment for IN:ROHLTD.

Royal Orchid Hotels Limited Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
VHLTD	74 Outperform	₹9.58B	21.57	―	―	-11.23%	-65.46%
ADVANIHOTR	72 Outperform	₹4.70B	12.58	―	3.31%	0.14%	7.90%
ROHLTD	61 Neutral	₹8.83B	31.71	―	0.61%	10.77%	-4.40%
KAMATHOTEL	61 Neutral	₹5.39B	10.10	―	―	9.52%	-39.66%
SINCLAIR	59 Neutral	₹3.65B	18.56	―	0.94%	-0.10%	-54.46%
Sector *	55 Neutral	$13.29B	17.42	10.03%	0.93%	7.13%	-12.93%

Royal Orchid Hotels Limited Corporate Events

Royal Orchid Hotels Gets Positive Outlook on Reaffirmed ICRA Rating

Royal Orchid Hotels Limited reported that ICRA has reaffirmed its long-term credit rating at [ICRA]A- while revising the outlook to Positive from Stable for its term loan and unallocated facilities, covering total rated debt of Rs. 46 crore. The improved outlook signals a stronger assessment of the company’s credit profile, which may enhance its financial flexibility and borrowing terms, underscoring growing confidence in its stability within the hospitality industry.

ICRA’s decision applies to a Rs. 26.14 crore term loan and Rs. 19.86 crore in unallocated facilities, both now carrying the [ICRA]A- (Positive) rating. The move indicates rating stability with an expectation of further improvement, providing a supportive backdrop for Royal Orchid Hotels’ future funding needs and potentially reassuring lenders and investors about its debt-servicing capacity.

Royal Orchid Hotels Files SEBI Dematerialisation Compliance Certificate for December Quarter

Royal Orchid Hotels Limited has submitted a quarterly compliance certificate from its Registrar and Share Transfer Agent, Integrated Registry Management Services Private Limited, confirming adherence to Regulation 74(5) of the SEBI (Depositories and Participants) Regulations, 2018 for the quarter ended December 31, 2025. The certificate confirms that all securities received for dematerialisation during the period were duly processed, listed on the appropriate stock exchanges, and that physical certificates were mutilated and cancelled with depository names updated in the register of members within the prescribed 15-day timeline, underscoring the company’s ongoing compliance with securities handling and dematerialisation norms.

Royal Orchid Hotels Deepens Vadodara Footprint with Launch of Regenta Z

Royal Orchid Hotels Ltd. has launched Regenta Z Vadodara, its fourth property in Vadodara, Gujarat, strengthening the group’s presence in one of India’s important commercial centres. The new hotel, positioned under the newly introduced Regenta Z brand, is tailored to Gen Z and millennial travelers seeking modern, digitally enabled and affordable hospitality, and is strategically located in Alkapuri with strong connectivity to the city’s transport hubs and as a convenient stopover for visitors heading to the Statue of Unity, underscoring ROHL’s broader strategy to deepen its footprint in high-growth urban markets.

Royal Orchid Hotels Discloses Promoter Group Share Acquisition and Regulatory Filings

Royal Orchid Hotels Limited has notified the stock exchanges that Harsha Farms Private Limited, a member of its promoter group, has submitted regulatory disclosures related to an acquisition of shares in the company. The filing comprises mandatory intimations under the SEBI Prohibition of Insider Trading Regulations and SEBI Substantial Acquisition of Shares and Takeovers Regulations, indicating a change in promoter group shareholding that is significant enough to trigger formal reporting requirements, and underscoring ongoing compliance with securities market norms for transparency toward investors and regulators.