Lemon Tree Q2 FY26 Earnings: Margin Expansion to 59% Plus by FY28 Guided

Management guided margin improvementManagement guided margin pressureOrder pipeline disclosedMulti-year targets disclosedInvestor Communications View source PDF Explain this filing

LEMONTREE · price

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Price reactionminutes from the announcement price · days from the prior close

+1.2%Reaction day

₹151.51

prior close

₹151.51

announcement price

After-mkt

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Nifty Smallcap 250market · index membership as recorded later (tracked since Jun 2026)-0.1%+1.3% vs market

Hotels & Resorts peers, median of 51sector-0.1%+1.3% vs sector

On the reaction day the stock moved 1.3 pts more than Nifty Smallcap 250 and 1.3 pts more than its Hotels & Resorts peers, over the same two closes: a difference in percentage points, not a measure of what the filing did.

Minutes after the announcementfrom the announcement price · no benchmark

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Reaction day

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Next day

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15d

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UpDownMarket · Nifty Smallcap 250Sector · Hotels & Resorts peers, median of 51Pending

Minute windows have no benchmark: there is no intraday index history to compare against.

AI summary

Lemon Tree Hotels posted highest ever Q2 revenue of Rs 308 crore, up 8% YoY. Net EBITDA margin at 43% (down 306 bps) due to renovation, tech and ex-gratia costs at 8% of revenue, expected to fall to 2% by FY28, lifting margin to 59% plus. Debt down Rs 212 crore YoY, rating upgraded to A plus. Won Nehru Place plot for 500 room Aurika. Signed 1,138 management rooms. Fleur demerger update in 3 months. Rs 1,000 crore combined EBITDA target.

Likely market impact

Positive long-term outlook as renovation nears completion. Margin expansion to 59% plus targeted by FY28. Strong pipeline and lower debt support growth.