OYO parent Prism posts ₹994 crore FY26 profit as revenue rises 49.7%
IPO-bound Prism reported FY26 revenue from operations of ₹9,358 crore and EBITDA of ₹2,594 crore. Net profit rose four-fold to ₹994 crore, including a ₹678 crore deferred-tax credit. Its planned ₹6,650 crore fresh IPO issue is intended largely for debt reduction.
What happened
Prism (OYO parent) · IPO-bound OYO parent Prism reported FY26 profit of Rs 994 crore, aided by a Rs 678 crore tax credit, as revenue rose 49.7%. It plans a Rs
Key facts
- FY26 net profit: Rs 994 crore, up from Rs 245 crore in FY25
- FY26 revenue from operations: Rs 9,358 crore, up 49.7%
- FY26 EBITDA: Rs 2,594 crore, up from Rs 1,084 crore
- FY26 Gross Booking Value: Rs 30,683 crore, up 88.5%
- FY26 gross profit: Rs 5,700 crore, up 82.5%
- Deferred-tax credit included in FY26 profit: Rs 678 crore
- Interest paid on outstanding loans: Rs 1,414 crore
- Planned fresh IPO issue: up to Rs 6,650 crore
- G6 Hospitality FY26 GBV: Rs 14,107 crore
- G6 added 70 net storefronts
Why this matters
Prism’s planned ₹6,650 crore IPO, primarily earmarked for debt reduction, could improve balance-sheet flexibility and make it a better-positioned partner or consolidator in hospitality.
What to watch
- Draft red herring prospectus details on gross debt, interest costs, use of proceeds and post-issue leverage.
- Operating cash flow and free-cash-flow conversion relative to the reported ₹2,594 crore EBITDA.
- Revenue growth, GBV growth, occupancy, average daily rates and take-rate trends in subsequent quarters.
- Breakdown of recurring tax expense versus deferred-tax gains and other exceptional items.
- IPO demand, valuation multiple versus global travel and hotel-platform peers, and any revision to issue size or timing.
- Hotel partner additions, churn, customer complaint trends and discount intensity.
- Emphasize normalized EBITDA, operating cash flow and debt-repayment milestones in IPO disclosures.
- Use balance-sheet improvement to negotiate better terms with hotel partners, lenders and distribution platforms.
- Prioritize high-repeat domestic business, long-stay and international markets where supply expansion can lift occupancy without disproportionate discounting.
- Tighten property-quality and guest-resolution standards to prevent rapid network growth from weakening brand trust.