BYKE - The Byke Hospi.

📊 NSE: BYKE 🏢 Hotels 📅 Last Updated: 12/14/2025 14:18

💰 Financial Performance

Revenue Growth by Segment

Hotel business revenue was INR 96.64 Cr in FY24-25. Total operating income grew from INR 93.29 Cr in FY22 to INR 114.41 Cr in FY23, representing a 22.6% YoY increase.

Geographic Revenue Split

The company maintains a pan-India presence across 17 properties to mitigate geographic concentration risk; specific regional percentage splits are not disclosed in available documents.

Profitability Margins

For FY24-25, the company reported a PAT Margin of 4.75% (INR 4.59 Cr PAT) and an EBITDA Margin of 38.25% (INR 36.96 Cr EBITDA). Return on Equity (ROE) was 2.05% and Return on Capital Employed (ROCE) was 2.57%.

EBITDA Margin

EBITDA Margin was 38.25% in FY24-25 with an absolute EBITDA of INR 36.96 Cr. Core profitability is driven by an asset-light model with 82% of properties under lease.

Capital Expenditure

Total utilization of funds for the period included INR 9.07 Cr for repayment of borrowings and INR 31.89 Cr for working capital, totaling INR 40.96 Cr. A balance of INR 13.80 Cr remains for future deployment.

Credit Rating & Borrowing

The company is rated by CARE Ratings. Finance costs for H1FY25 were INR 6.03 Cr, an 89.6% increase from INR 3.18 Cr in H1FY24. Debt-to-Equity ratio remains very healthy at 0.05 times.

⚙️ Operational Drivers

Raw Materials

Food ingredients, beverages, and housekeeping/linen supplies; specific percentage of total cost for each is not disclosed.

Capacity Expansion

Current capacity is 1,081 keys across 17 properties (2 owned, 14 leased with 1042 keys, 1 managed with 39 keys). Expansion strategy focuses on increasing the mix of leased and managed properties.

Raw Material Costs

Raw material price fluctuations are cited as a key risk to operations; however, specific YoY cost change percentages are not disclosed.

📈 Strategic Growth

Expected Growth Rate

Not disclosed%

Growth Strategy

Growth is targeted through a balanced mix of owned, leased, and managed properties to enhance flexibility. The company is positioning itself to capture demand from 'Affluent India' by shifting from simple stays to meaningful, memorable holiday experiences.

Products & Services

Hotel room stays, vegetarian dining services (Eat Green), event hosting, and managed hospitality services.

Brand Portfolio

The Byke

Market Expansion

Focus on expanding the 'The Byke' brand reach through managed and leased properties across India.

Strategic Alliances

The company operates 1 property (39 keys) under a management contract as of September 30, 2022.

🌍 External Factors

Industry Trends

The hospitality industry is evolving toward experience-based travel. The services sector is expanding, and the company is positioning itself as a leader in the mid-market vegetarian hospitality segment.

Competitive Landscape

The landscape is characterized by growing interest from major international and domestic brands expanding their reach into regional markets.

Competitive Moat

Durable advantages include an asset-light model (82% leased) which allows for rapid scaling with low capital intensity, and a niche focus on 'Eat Green' vegetarian hospitality which caters to a specific, large demographic in India.

Macro Economic Sensitivity

Highly sensitive to rising disposable incomes in India; the emergence of 'Affluent India' is a primary driver for demand in the leisure services segment.

Consumer Behavior

Discerning travelers are increasingly seeking meaningful and memorable experiences rather than just standard hotel stays.

⚖️ Regulatory & Governance

Industry Regulations

Operations are subject to safety rules, regulations, and periodic safety audits at each property. Compliance with SEBI (LODR) and Companies Act 2013 is monitored by the Board.

Taxation Policy Impact

The company paid INR 0.298 Cr in income taxes in H1FY25 on a Net Profit Before Tax of INR 3.60 Cr.

Legal Contingencies

The company identifies litigation as a factor that could impact operations, but specific pending case values in INR are not disclosed.

⚠️ Risk Analysis

Key Uncertainties

Competition from major brands and business continuity risks (fires/natural disasters) are the primary uncertainties with potential to impact revenue by over 10-15%.