India’s Hospitality Sector Poised for 16% EBITDA Surge Post-Crisis

Forward-looking intelligence for your investment portfolio Kotak Securities released a report on June 6 projecting a 16% EBITDA CAGR for India’s hotel industry between FY2026 and FY2028 . While Q4FY26 saw occupancy dip 67 basis points to 68% due to the West Asia war, analysts view this as a temporary trough.

The Numbers

RevPAR grew 5.3% YoY to ₹6,868/day, driven by a 6.3% increase in Average Room Rates (ARR) to ₹10,100/day . Kotak models occupancy climbing back to 72% as foreign travel normalizes. For hotel suppliers and aggregators, the takeaway is clear signings are accelerating (61.9k keys in FY2026), but actual supply commissioning remains measured, protecting pricing power for incumbent players .