EIH Associated Hotels announces Q2 results: Profit Rises by 326.09% YoY

The comprehensive analytics outlining the performance and outlook of EIH Associated Hotels Limited‘s stock. This analysis encompasses various metrics including stock performance, investor sentiment, market trends, future outlook, risk factors, investment opportunities, long-term strategy, dividend policy, analyst insights, and the overall risk-reward profile. These insights aim to provide investors with a holistic understanding of the company”s stock, enabling informed decision-making and strategic investment planning.

Today, we’re looking at EIH Associated Hotels Limited’s financial performance for the Q2(Sep 2024-25).Starting with the top line, the company reported a robust year-over-year sales growth of 20.52 %. However, it did see a marginal increase of 9.86 % from the previous quarter. Expenses ticked up slightly by 6.57 % quarter-on-quarter, aligning with the annual rise of 9.09 %. Operating profit, while up 1438.3 % compared to last year, faced a quarter-on-quarter increase of 50.94 %, signaling a short-term expansion in margins.
The Operating Profit Margin (OPM) % echoes this narrative, showing resilience on an annual basis with an increase of 9.41 %, but an expansion of 2.78 % sequentially. Other income fell by -98.13 % compared to the last quarter, despite an annual decline of -97.23 %. Interest expenses dropped significantly by -9.09 % from the previous quarter, yet the year-over-year decrease remains at a moderate -78.26 %. Depreciation costs climbed by 1.84 % quarter-on-quarter, whereas on an annual scale, they saw an increase of 4.73 %. Profit before tax grew annually by 333.61 % but saw a reduction from the preceding quarter by -42.44 %.
Tax expenses as a percentage of profits increased slightly by 48.18 % compared to last year, with a more notable quarter-on-quarter decrease of -0.71 %. Net profit rose by 326.09 % year-on-year but witnessed a -41.9 % contraction from the last quarter. And finally, Earnings Per Share (EPS) displayed an annual uptick of 213.33 % but a quarterly fall of -70.94 %. In summary, EIH Associated Hotels Limited’s annual performance indicates steady growth, although the quarter-on-quarter figures suggest some areas may require strategic attention.

In reviewing EIH Associated Hotels Limited’s 2024-25(Q2) financial snapshot, key trends emerge, shedding light on the company’s performance.Sales saw a robust 20.52 % year-on-year growth, however, there was a minor increase of 9.86 % from the previous quarter. Expenses rose by 9.09 % compared to the previous year, with a 6.57 % increase quarter-on-quarter. Operating Profit surged by 1438.3 % annually, and saw a 50.94 % increase from the last quarter.
Net Profit showed yearly increase of 326.09 %, and experienced a -41.9 % decrease from the previous quarter. Earnings Per Share (EPS) rose by 213.33 % annually, however dipped by -70.94 % compared to the last quarter. In essence, while EIH Associated Hotels Limited exhibits strong annual growth indicators, short-term improvements suggest the potential for recovery and the importance of strategic adjustments to counter market challenges effectively. That’s all for now in the financial sector.