Companies

TajGVK Hotels posts ₹21-crore loss in Q1

Our Bureau Hyderabad | Updated on August 04, 2020 Published on August 04, 2020

GVK Reddy, Chairman of TajGVK Hotels & Resorts Ltd,

Revenue plunges 95% to ₹3.25 crore

Hit by the Covid-19 pandemic and lockdown, TajGVK Hotels & Resorts Ltd has posted a loss of ₹21.18 crore on a consolidated basis for the first quarter ended June 30, 2020 as against a profit of ₹5.90 crore for the corresponding quarter of previous fiscal.

An associate company of The Indian Hotels Company Limited (IHCL). The company revenue was down 95.5 per cent for the first quarter at ₹3.25 crore as against ₹72.18 crore for the corresponding quarter last year.

GVK Reddy, Chairman of TajGVK Hotels & Resorts Ltd, said: “The global pandemic of Covid-19 and the nation-wide lockdown has had an adverse impact on the performance. With initiatives like Hospitality @ Home and by hosting small wedding events in Unlock- Phase 1, we have been able to generate some revenue. The company has also implemented various cost optimization initiatives, to manage available funds judiciously.”

Greenwoods Palaces & Resorts Private Limited – a JV company which operates Taj Santacruz — reported an income of ₹6.96 crore against the previous year of ₹32.24 crore

All the properties took part in the Vande Bharat Mission, Taj Deccan hosted some wedding functions in June and Taj Deccan and Taj Krishna offered takeaway meals under IHCL’s Hospitality @Home initiative. Taj Santacruz reached out to assist the medial fraternity and provided them accommodation as well as offered rooms to repatriation guests under the Vande Bharat Mission.

The hospitality sector is one of the most affected sectors by this global pandemic, due to which business has seen an all-time low with recovery being rather slow. With the nationwide lockdown starting March 22, the hotel occupancies were severely impacted. Currently, three of the TajGVK hotels are operational and the remaining hotels will reopen over the next few months, in a phased manner.

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Published on August 04, 2020
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