Hospitality major OYO has reported a net profit of ₹200 crore in the first quarter of FY26, marking a strong turnaround for the SoftBank-backed company.
The company, known for its budget hotel and homestay network, has been focusing on profitability over rapid expansion. This shift seems to be paying off as it records another profitable quarter, building on its earlier positive results in FY25.
According to OYO, the profit was driven by higher bookings, cost optimisation, and steady demand in both domestic and international markets. The company also saw growth in its premium hotel segment and vacation homes business.
Founder and CEO Ritesh Agarwal said that consistent profitability reflects OYO’s strong business model and focus on sustainable growth. He added that the company will continue to invest in technology, customer experience, and global expansion while keeping profitability as a priority.
OYO’s positive Q1 FY26 results come at a time when the hospitality sector is seeing a strong rebound in India, fueled by rising domestic tourism and corporate travel.
Summary Table
| Detail | Information |
|---|---|
| Company | OYO |
| Quarter | Q1 FY26 |
| Reported Profit | ₹200 crore |
| Key Drivers | Higher bookings, cost optimization, demand recovery |
| Growth Areas | Premium hotels, vacation homes, domestic & international markets |
| CEO Comment | Ritesh Agarwal highlighted sustainable profitability and focus on technology |
| Industry Context | Strong rebound in travel & hospitality sector |
| Future Focus | Technology, customer experience, global expansion |
| Previous Performance | Continued profitability trend from FY25 |
| Sector Impact | Boosts confidence in Indian hospitality recovery |
