WEBSITE BSE:523023 NSE: SINCLAIR HOT Inc. Year: 1971 Industry: Hotel, Resort & Restaurants My Bucket: Add Stock
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1. Business Overview
Sinclairs Hotels Ltd. is an Indian hospitality company that owns and operates a chain of hotels and resorts. The company primarily caters to both leisure and business travelers, focusing on unique destinations, often in Eastern and North-Eastern India, as well as some popular tourist and commercial hubs. Its core business model revolves around generating revenue through room rentals, food and beverage services (restaurants, bars, banquets), and other ancillary services like conferencing, events (MICE - Meetings, Incentives, Conferences, Exhibitions), and recreational facilities. The company aims to provide a comfortable and quality stay experience across its properties.
2. Key Segments / Revenue Mix
Sinclairs Hotels' primary revenue streams are derived from its owned and operated hotel properties. The key segments contributing to its revenue mix are:
Room Sales: Revenue from the occupancy of its hotel rooms across its portfolio.
Food & Beverage (F&B): Income generated from its in-house restaurants, bars, cafes, room service, and banquet facilities.
Other Services: This includes revenue from conferencing, event hosting, laundry, and other guest services.
While specific percentage contributions are not always segmented publicly with exact figures, room sales and F&B are typically the largest components for hotel operators. The company operates across various tourist and business destinations, indicating a diversified geographic revenue base within India.
3. Industry & Positioning
The Indian hotel industry is highly fragmented and competitive, characterized by the presence of large international chains, established domestic players, and numerous independent hotels. Sinclairs Hotels Ltd. positions itself as a regional player with a strong presence in specific tourist destinations, particularly in regions like West Bengal, Assam, and Sikkim. It typically operates mid-to-upscale segment hotels and resorts, focusing on unique locations that offer both leisure and MICE potential. Its positioning often emphasizes experience and regional appeal rather than direct competition with large, pan-India luxury brands or budget chains.
4. Competitive Advantage (Moat)
Sinclairs Hotels' competitive advantages are primarily rooted in:
Strategic Locations: Several of its properties are located in popular tourist destinations (e.g., Darjeeling, Kalimpong, Dooars, Siliguri, Port Blair), offering access to unique experiences and relatively high barriers to entry for acquiring similar prime land/properties.
Established Brand (Regional): While not a national household name, "Sinclairs" has an established presence and recognition in its operating regions, fostering customer loyalty within its target market.
Operational Experience: Years of operating in specific, sometimes challenging, geographies provide it with valuable local market knowledge and operational expertise.
Asset Ownership: Owning most of its properties provides better control over operations, quality, and potential for asset appreciation compared to pure management contract models.
5. Growth Drivers
Key factors that can drive Sinclairs Hotels' growth over the next 3-5 years include:
Growing Domestic Tourism: Increasing disposable incomes, improving connectivity, and a rising interest in domestic travel, especially to leisure destinations, will boost demand.
Expansion & Renovation: Strategic expansion into new attractive destinations or the addition of rooms/facilities at existing properties, coupled with ongoing renovations to enhance guest experience, can drive higher occupancy and average room rates.
MICE Segment Growth: The revival and growth of corporate travel, conferences, and events will contribute significantly to its banquet and conferencing revenues.
Government Focus on Tourism: Initiatives by central and state governments to promote tourism infrastructure and attractions in its operating regions can increase footfall.
Targeted Marketing: Effective digital marketing and strategic partnerships to attract specific traveler segments can enhance reach and bookings.
6. Risks
Economic Downturns: The hospitality sector is highly sensitive to economic cycles; discretionary spending on travel and tourism can decline during economic slowdowns.
Intense Competition: The entry of new players or expansion by existing competitors, especially in key markets, can put pressure on pricing and occupancy rates.
Seasonality: Many leisure destinations experience seasonal fluctuations in demand, which can lead to periods of lower occupancy and revenue.
Geopolitical/Health Crises: Events like pandemics, natural disasters, or local unrest can severely impact travel and tourism, as demonstrated by past events.
High Capital Expenditure: Maintaining and expanding hotel properties requires significant capital investment, which can impact profitability if returns are not realized.
Regulatory Changes: Changes in tourism policies, taxation, or environmental regulations can affect operational costs and profitability.
7. Management & Ownership
Sinclairs Hotels Ltd. is promoted by the S. K. Roy Group, with the promoters holding a significant stake in the company. The management team has experience in the hospitality sector, overseeing the operations and strategic direction of the hotel chain. The promoter group's substantial ownership indicates a vested interest in the long-term performance and growth of the company. The management's focus appears to be on consolidating its regional strength while selectively exploring expansion opportunities.
8. Outlook
Sinclairs Hotels Ltd. is positioned in the resilient Indian hospitality market, which benefits from strong domestic demand and improving infrastructure. Its focus on unique leisure destinations and regional strengths provides a degree of insulation from direct competition with larger urban-centric chains. The company's asset-heavy model, with owned properties, offers long-term value and control. However, it faces the inherent cyclicality of the hospitality industry, intense competition, and susceptibility to external shocks. Future growth will largely depend on its ability to strategically expand into profitable new locations, effectively manage operating costs, enhance guest experience through renovations and service upgrades, and leverage the ongoing resurgence in domestic tourism and MICE activities in India.
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Market Cap ₹387 Cr.
Stock P/E 27.7
P/B 3.3
Current Price ₹75.5
Book Value ₹ 23.1
Face Value 2
52W High ₹114.8
Dividend Yield 1.06%
52W Low ₹ 69.2
Price goes above X
Price falls below X
PE goes above X
PE falls below X
₹ | |
| #(Fig in Cr.) | Sep 2023 | Dec 2023 | Mar 2024 | Jun 2024 | Sep 2024 | Dec 2024 | Mar 2025 | Jun 2025 | Sep 2025 | Dec 2025 |
|---|---|---|---|---|---|---|---|---|---|---|
| Net Sales | 9 | 14 | 15 | 17 | 8 | 14 | 14 | 16 | 9 | 18 |
| Other Income | 2 | 2 | 2 | 3 | 4 | 0 | 1 | 4 | 0 | 3 |
| Total Income | 10 | 16 | 17 | 19 | 12 | 15 | 16 | 19 | 9 | 21 |
| Total Expenditure | 7 | 8 | 9 | 9 | 7 | 11 | 9 | 10 | 9 | 11 |
| Operating Profit | 3 | 8 | 8 | 10 | 5 | 4 | 6 | 10 | 0 | 10 |
| Interest | 0 | 0 | 0 | 0 | 0 | 1 | 1 | 1 | 1 | 1 |
| Depreciation | 1 | 1 | 1 | 1 | 1 | 1 | 1 | 1 | 2 | 2 |
| Exceptional Income / Expenses | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 |
| Profit Before Tax | 1 | 6 | 6 | 9 | 3 | 2 | 4 | 8 | -3 | 7 |
| Provision for Tax | 0 | 1 | 1 | 2 | 1 | 0 | 0 | 2 | -1 | 2 |
| Profit After Tax | 1 | 5 | 5 | 7 | 2 | 1 | 4 | 6 | -2 | 6 |
| Adjustments | 0 | 0 | 0 | 0 | 0 | 0 | -0 | 0 | -0 | -0 |
| Profit After Adjustments | 1 | 5 | 5 | 7 | 2 | 1 | 4 | 6 | -2 | 6 |
| Adjusted Earnings Per Share | 0.2 | 1.1 | 1 | 1.3 | 0.4 | 0.2 | 0.7 | 1.2 | -0.4 | 1.1 |
| #(Fig in Cr.) | Mar 2015 | Mar 2016 | Mar 2017 | Mar 2018 | Mar 2019 | Mar 2020 | Mar 2021 | Mar 2022 | Mar 2023 | Mar 2024 | Mar 2025 | TTM |
|---|---|---|---|---|---|---|---|---|---|---|---|---|
| Net Sales | 29 | 39 | 47 | 46 | 46 | 45 | 17 | 30 | 54 | 56 | 53 | 57 |
| Other Income | 1 | 1 | 2 | 2 | 4 | 2 | 6 | 4 | 4 | 9 | 6 | 8 |
| Total Income | 30 | 40 | 49 | 48 | 50 | 47 | 23 | 34 | 57 | 65 | 60 | 65 |
| Total Expenditure | 19 | 22 | 27 | 27 | 28 | 28 | 13 | 19 | 32 | 34 | 35 | 39 |
| Operating Profit | 12 | 18 | 23 | 22 | 22 | 19 | 10 | 15 | 26 | 32 | 25 | 26 |
| Interest | 0 | 0 | 0 | 0 | 0 | 0 | 1 | 1 | 1 | 1 | 2 | 4 |
| Depreciation | 4 | 7 | 8 | 7 | 8 | 7 | 5 | 5 | 5 | 5 | 5 | 6 |
| Exceptional Income / Expenses | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 19 | 0 | 0 | 0 |
| Profit Before Tax | 7 | 11 | 14 | 14 | 14 | 12 | 4 | 9 | 38 | 25 | 18 | 16 |
| Provision for Tax | 2 | 4 | 5 | 2 | 4 | 2 | 1 | 2 | 7 | 5 | 4 | 3 |
| Profit After Tax | 5 | 7 | 9 | 12 | 10 | 9 | 4 | 7 | 31 | 21 | 14 | 14 |
| Adjustments | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 |
| Profit After Adjustments | 5 | 7 | 9 | 12 | 10 | 9 | 4 | 7 | 31 | 21 | 14 | 14 |
| Adjusted Earnings Per Share | 0.9 | 1.3 | 1.7 | 2.1 | 1.7 | 1.7 | 0.6 | 1.3 | 5.8 | 4 | 2.7 | 2.6 |
| # | 1 Year | 3 Year | 5 Year | 10 Year |
|---|---|---|---|---|
| Sales CAGR | -5% | 21% | 3% | 6% |
| Operating Profit CAGR | -22% | 19% | 6% | 8% |
| PAT CAGR | -33% | 26% | 9% | 11% |
| # | 1 Year | 3 Year | 5 Year | 10 Year |
|---|---|---|---|---|
| Share Price CAGR | -22% | 10% | 24% | 10% |
| ROE Average | 13% | 19% | 14% | 12% |
| ROCE Average | 18% | 25% | 18% | 16% |
| #(Fig in Cr.) | Mar 2015 | Mar 2016 | Mar 2017 | Mar 2018 | Mar 2019 | Mar 2020 | Mar 2021 | Mar 2022 | Mar 2023 | Mar 2024 | Mar 2025 |
|---|---|---|---|---|---|---|---|---|---|---|---|
| Shareholder's Funds | 71 | 77 | 85 | 94 | 101 | 106 | 108 | 113 | 129 | 107 | 116 |
| Minority's Interest | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 |
| Borrowings | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 |
| Other Non-Current Liabilities | 17 | 12 | 26 | 21 | 18 | 23 | 34 | 35 | 38 | 34 | 35 |
| Total Current Liabilities | 8 | 4 | 4 | 5 | 8 | 5 | 5 | 7 | 7 | 7 | 7 |
| Total Liabilities | 96 | 93 | 115 | 120 | 127 | 134 | 147 | 154 | 173 | 148 | 158 |
| Fixed Assets | 57 | 69 | 66 | 60 | 63 | 58 | 64 | 61 | 55 | 51 | 60 |
| Other Non-Current Assets | 33 | 14 | 18 | 15 | 15 | 29 | 22 | 36 | 37 | 36 | 24 |
| Total Current Assets | 5 | 10 | 30 | 46 | 49 | 48 | 61 | 58 | 81 | 61 | 73 |
| Total Assets | 96 | 93 | 115 | 120 | 127 | 134 | 147 | 154 | 173 | 148 | 158 |
| #(Fig in Cr.) | Mar 2015 | Mar 2016 | Mar 2017 | Mar 2018 | Mar 2019 | Mar 2020 | Mar 2021 | Mar 2022 | Mar 2023 | Mar 2024 | Mar 2025 |
|---|---|---|---|---|---|---|---|---|---|---|---|
| Opening Cash & Cash Equivalents | 1 | 1 | 0 | 0 | 1 | 1 | 0 | 0 | 0 | 0 | 1 |
| Cash Flow from Operating Activities | 10 | 14 | 20 | 17 | 14 | 11 | 3 | 8 | 18 | 15 | 11 |
| Cash Flow from Investing Activities | -8 | -9 | -20 | -14 | -12 | -8 | -1 | -5 | -1 | 29 | -3 |
| Cash Flow from Financing Activities | -3 | -5 | 0 | -3 | -3 | -4 | -3 | -3 | -17 | -44 | -8 |
| Net Cash Inflow / Outflow | -0 | 0 | -0 | 1 | -0 | -0 | -0 | 0 | 0 | 1 | -0 |
| Closing Cash & Cash Equivalent | 1 | 1 | 0 | 1 | 1 | 0 | 0 | 0 | 0 | 1 | 1 |
| # | Mar 2015 | Mar 2016 | Mar 2017 | Mar 2018 | Mar 2019 | Mar 2020 | Mar 2021 | Mar 2022 | Mar 2023 | Mar 2024 | Mar 2025 |
|---|---|---|---|---|---|---|---|---|---|---|---|
| Earnings Per Share (Rs) | 0.85 | 1.27 | 1.67 | 2.11 | 1.75 | 1.7 | 0.63 | 1.28 | 5.75 | 4.01 | 2.73 |
| CEPS(Rs) | 1.65 | 2.44 | 3.11 | 3.43 | 3.1 | 2.92 | 1.61 | 2.09 | 6.62 | 4.96 | 3.71 |
| DPS(Rs) | 0.8 | 0.8 | 0.8 | 0.8 | 1.2 | 0.8 | 0.8 | 1 | 0.75 | 1 | 0.8 |
| Book NAV/Share(Rs) | 12.11 | 13.13 | 14.57 | 16.18 | 17.44 | 18.44 | 18.68 | 19.58 | 23.03 | 20.25 | 21.97 |
| Core EBITDA Margin(%) | 36.74 | 43.17 | 43.27 | 42 | 39.33 | 37.45 | 25.64 | 36.5 | 41.04 | 39.97 | 34.77 |
| EBIT Margin(%) | 24.47 | 28.96 | 30.83 | 30.84 | 31.26 | 26.36 | 28.06 | 34.75 | 74.01 | 47.81 | 36.95 |
| Pre Tax Margin(%) | 24.02 | 28.5 | 30.37 | 30.39 | 30.79 | 25.93 | 24.5 | 30.81 | 71.49 | 45.5 | 33.35 |
| PAT Margin (%) | 16.19 | 18.06 | 19.74 | 25.57 | 21.3 | 20.88 | 20.33 | 23.5 | 58.07 | 36.76 | 26.2 |
| Cash Profit Margin (%) | 31.49 | 34.81 | 36.74 | 41.65 | 37.75 | 35.74 | 51.87 | 38.47 | 66.83 | 45.48 | 35.61 |
| ROA(%) | 5.12 | 7.46 | 8.93 | 9.98 | 7.89 | 7.27 | 2.5 | 4.74 | 19.08 | 12.77 | 9.15 |
| ROE(%) | 7.13 | 10.03 | 12.06 | 13.71 | 10.41 | 9.5 | 3.4 | 6.69 | 26.68 | 17.95 | 12.94 |
| ROCE(%) | 10.78 | 16.09 | 18.83 | 16.54 | 15.27 | 11.99 | 4.69 | 9.89 | 34 | 23.34 | 18.24 |
| Receivable days | 9.27 | 10.26 | 10.79 | 10.36 | 9.28 | 7.93 | 14.11 | 7.34 | 6.98 | 8.07 | 8.33 |
| Inventory Days | 3.81 | 3.38 | 2.53 | 2.93 | 3.5 | 3.01 | 5.85 | 3.64 | 2.5 | 2.05 | 2.42 |
| Payable days | 103.19 | 85.63 | 70.45 | 93.24 | 103.93 | 104.23 | 256.33 | 156.93 | 107.84 | 95.9 | 80.08 |
| PER(x) | 33.78 | 25.47 | 23.93 | 18.91 | 19.31 | 9.84 | 39.82 | 35.7 | 8.57 | 31.39 | 29.94 |
| Price/Book(x) | 2.37 | 2.46 | 2.74 | 2.46 | 1.94 | 0.91 | 1.34 | 2.33 | 2.14 | 6.21 | 3.72 |
| Dividend Yield(%) | 1.39 | 1.24 | 1 | 1 | 1.78 | 2.39 | 1.59 | 1.09 | 1.52 | 0.79 | 0.98 |
| EV/Net Sales(x) | 5.44 | 4.58 | 4.71 | 4.8 | 4.08 | 2.04 | 8.06 | 8.38 | 4.97 | 11.52 | 7.83 |
| EV/Core EBITDA(x) | 13.69 | 10.02 | 9.85 | 10.24 | 8.55 | 4.95 | 13.52 | 16.86 | 10.43 | 20.38 | 16.89 |
| Net Sales Growth(%) | 29.86 | 33.42 | 20.65 | -2.53 | -0.35 | -0.66 | -62 | 75.57 | 77.35 | 3.9 | -4.39 |
| EBIT Growth(%) | -24.04 | 57.9 | 28.4 | -2.5 | 1.01 | -16.21 | -59.55 | 117.4 | 277.74 | -32.88 | -26.11 |
| PAT Growth(%) | -31.99 | 48.77 | 31.89 | 26.23 | -16.96 | -2.65 | -63 | 102.98 | 338.21 | -34.23 | -31.86 |
| EPS Growth(%) | -31.99 | 48.77 | 31.89 | 26.23 | -16.96 | -2.65 | -63 | 102.97 | 349.52 | -30.33 | -31.86 |
| Debt/Equity(x) | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 |
| Current Ratio(x) | 0.67 | 2.24 | 7.24 | 8.55 | 6.07 | 9.44 | 13 | 8.87 | 11.13 | 8.73 | 10.75 |
| Quick Ratio(x) | 0.63 | 2.15 | 7.18 | 8.46 | 6.02 | 9.37 | 12.96 | 8.8 | 11.09 | 8.69 | 10.69 |
| Interest Cover(x) | 53.75 | 62.76 | 67.98 | 68.43 | 66.39 | 60.52 | 7.88 | 8.82 | 29.33 | 20.74 | 10.26 |
| Total Debt/Mcap(x) | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 |
| # | Dec 2023 | Mar 2024 | Jun 2024 | Sep 2024 | Dec 2024 | Mar 2025 | Jun 2025 | Sep 2025 | Dec 2025 | Mar 2026 |
|---|---|---|---|---|---|---|---|---|---|---|
| Promoter | 62.66 | 62.66 | 62.66 | 62.66 | 62.66 | 62.66 | 62.66 | 62.66 | 62.66 | 63.6 |
| FII | 0.05 | 0.05 | 0.15 | 0.06 | 0.07 | 0.01 | 0.01 | 0.4 | 0.04 | 0.03 |
| DII | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 |
| Public | 37.28 | 37.28 | 37.19 | 37.28 | 37.27 | 37.32 | 37.32 | 36.94 | 37.3 | 36.37 |
| Others | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 |
| Total | 100 | 100 | 100 | 100 | 100 | 100 | 100 | 100 | 100 | 100 |
| # | Dec 2023 | Mar 2024 | Jun 2024 | Sep 2024 | Dec 2024 | Mar 2025 | Jun 2025 | Sep 2025 | Dec 2025 | Mar 2026 |
|---|---|---|---|---|---|---|---|---|---|---|
| Promoter | 1.61 | 3.21 | 3.21 | 3.21 | 3.21 | 3.21 | 3.21 | 3.21 | 3.21 | 3.26 |
| FII | 0 | 0 | 0.01 | 0 | 0 | 0 | 0 | 0.02 | 0 | 0 |
| DII | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 |
| Public | 0.96 | 1.91 | 1.91 | 1.91 | 1.91 | 1.91 | 1.91 | 1.89 | 1.91 | 1.86 |
| Others | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 |
| Total | 2.56 | 5.13 | 5.13 | 5.13 | 5.13 | 5.13 | 5.13 | 5.13 | 5.13 | 5.13 |
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