Apeejay Surrendra Park Hotels (PARKHOTE IN) – Management Meet Update – Execution timelines remain a key monitorable – BUY
Published on 10 Sep 2026
We recently interacted with the management of PARHOTE IN to gain insights into their long-term growth strategy and outlook. PARKHOTE IN continues to demonstrate strong growth visibility supported by a dual-engine model of hotel & retail F&B (Flurys) expansion. It is on track to scale its portfolio from 2,677 keys (42 hotels) to 6,719 keys (87 hotels) by FY30E, driven by a calibrated mix of owned additions and faster ramp-up in managed assets, which is expected to drive incremental growth with limited capital intensity. On the other hand, we believe Flurys is well poised for geographical expansion with an aim to reach 130-140 outlets by FY27E and ~300 over the medium term as PARKHOTE IN is actively engaging with mall developers, airport owners and multiplex operators to secure strategic locations across high footfall areas. We expect sales/EBITDA CAGR of 17%/20% over FY26-28E. We retain ‘BUY’ with SoTP-based TP of INR156 valuing the hotel business at 11.5x FY28E EBITDA and Flurys at 1.5x FY28E sales (no change in target multiple).
