EIH Ltd Conference Call hosted by India Infoline Ltd

EIH is constructing a 440 room Trident hotel in Mumbai on which it has so far spent about Rs3.3bn and another Rs4bn would be incurred over the next two years.

* EIH Ltd owns more than 1,800 rooms and has one hotel under management contract. Majority of revenues accrue from five properties-two each in Mumbai and Delhiand one in Bangalore.

* Mumbai and Delhi contributed about 30% each to FY06 revenues

* For the company, Average Room Rates (ARRs) in FY06 was above Rs8,000 while Occupancy Rate (OR) was about 68%.

*The company’s printing press segment had revenues of about Rs350mn and operating profit of about Rs100mn in FY06 which it expects to cross about Rs1bn in the next four years.

* Debt as of FY06 was about Rs7bn which it expects to remain more or less the same for FY07. However, it would be higher if borrowings of about Rs3bn are resorted to for its Mumbai hotel, which would be in tranches

*EIH had a swap loss of about Rs150mn in H1 FY07 which it expects to more than double for the full year.

* Its Bangalore hotel currently has ARRs of Rs14,000 with an OR of about 80%.

* Its Kolkata hotel, Oberoi Grand, has ARRs of about Rs6,000.

Mumbai Expansion

* EIH is constructing a 440 room Trident hotel in Mumbai on which it has so far spent about Rs3.3bn and another Rs4bn would be incurred over the next two years.

*About 220 rooms would be available after the completion of first phase of the hotel in 2008-09.

Outlook

* For FY07, the company expects ARRs to be above Rs10,000 while OR is likely to be in the range of 70-71%.

* Revenue Per Available Room (RevPar) is estimated to increase by about 34% yoy in 2006-07.

*Mumbai and Delhi are expected to register ARR growth of about 25% and 30% respectively in FY07 and about 25% each in FY08.