Thomas Cook India PBT Rises 20% in Q3, Segments Show Mixed Performance

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AuthorRiya Kapoor|Published at:
Thomas Cook India PBT Rises 20% in Q3, Segments Show Mixed Performance
Overview

Thomas Cook India reported a robust 20% year-on-year growth in Profit Before Tax (PBT) to Rs 897 Mn for the third quarter of FY26, excluding a one-time provision. Consolidated income from operations rose 4% YoY to Rs 21,457 Mn. However, for the nine-month period (9M FY26), consolidated PBT saw a marginal decrease. Performance varied across segments: Financial Services (Forex) and Leisure Hospitality delivered strong growth and healthy margins, while Travel Services and Digital Imaging Solutions exhibited lower profitability. The company maintains a strong cash position and anticipates positive momentum from recent Union Budget announcements.

📉 The Financial Deep Dive

Thomas Cook India has unveiled its Q3 FY26 financial results, showcasing a significant 20% year-on-year surge in Profit Before Tax (PBT) to ₹897 Mn. This figure notably excludes a one-time provision of ₹301 Mn related to the new Labour Code implementation. The consolidated income from operations for the quarter grew by a more modest 4% YoY to ₹21,457 Mn.

However, a look at the nine-month period (9M FY26) reveals a more nuanced picture. Consolidated income from operations increased by 7% YoY to ₹66,275 Mn, and consolidated EBITDA saw a 13% YoY rise in Q3 FY26 to ₹1,554 Mn. Yet, consolidated PBT (before exceptional items) for 9M FY26 registered a marginal decrease to ₹2,852 Mn from ₹2,936 Mn in the prior year. Consolidated EBITDA for 9M FY26 was ₹4,740 Mn, up 1% YoY.

Segmental Performance Analysis:

  • Financial Services (Forex) emerged as a strong performer, with retail turnover soaring 25% YoY in Q3 FY26. Education sales jumped 39% and holiday sales increased by 11%. Digital transactions saw substantial growth, with Forex by WhatsApp transactions increasing 1.7x and app transactions growing threefold YoY. The segment reported robust EBIT margins of 41.5%.

  • Travel Services reported a 3% YoY revenue growth in Q3 FY26. Corporate Travel turnover was up 12% YoY, but MICE and India DMS experienced slight declines. This segment operated with comparatively lower EBIT margins at 3.1%.

  • Leisure Hospitality (Sterling Holidays & Nature Trails) demonstrated healthy growth, with revenue from operations up 12% YoY in Q3 FY26. Strong room revenue (+15% YoY) and F&B performance were key drivers. The segment posted healthy EBIT margins of 30.4%. The company also expanded its resort network by adding 4 new properties.

  • Digital Imaging Solutions (DEI) saw a 5% YoY revenue growth in Q3 FY26, but EBIT margins remained at a modest 3.5%.

Financial Health & Outlook:

The company maintained a strong liquidity position with Cash & Bank balances standing at ₹25,449 Mn as of December 31, 2025. Further bolstering confidence, CRISIL upgraded the company's long-term debt rating to ‘CRISIL AA/Stable’ and its short-term rating to ‘CRISIL A1+’.

Management, led by MD & CEO Mahesh Iyer, expressed optimism for the upcoming peak summer travel season, citing expected momentum from recent Union Budget announcements related to travel and tourism. This positive outlook, coupled with segment strengths in Forex and Hospitality, provides a forward-looking perspective.

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