Hotel Leela - Q1 net up 36%

Mumbai: July 30, 2007: Hotel Leelaventure Limited has announced the financial results for the 1st Quarter ended 30th June 2007 with Profit after Tax of Rs.30.16 crores; a growth of 36% over the last year's corresponding quarter PAT of Rs.22.20 crores (without including extraordinary income of Rs. 40.58 crores).

The Operating Income has gone up by 24% to Rs.100.18 crores as compared to Rs.80.83 crores in the corresponding period last year.

The EBIDTA has gone up by 26% to Rs.48.99 crores as against Rs.38.83 crores in the corresponding period last year. The Operating Margin has gone up to 50% from 48% in the corresponding period last year which is one of the highest margins in the hotel industry.

The Company also raised US$.100 Million of FCCB's in the quarter. Standard & Poor rated the Company in the Global Challenger list of world beaters amongst 300 mid size companies from 37 countries. Only 8 Indian companies have been featured in this list. Business World rated the Company as the second best performing mid sized Company in India after screening over 2000 companies across a host of financial parameters.

Commenting on the results, Mr. Vivek Nair, Vice Chairman and Managing Director said that we are witnessing a very healthy growth in all the hotels of the Company. The rapid expansion programme which has been undertaken for establishing a Pan India presence is moving at a fast pace.

Issued by
Mithu Basu
Group Head Corporate Communications
The Leela Palaces~Hotels~Resorts
Sahar, Andheri (East), Mumbai 400 059
India
Tel: +91 (22) 66911052
Fax: +91 (22) 6691 1476 / 1455
Cell: +91 9820414732
mithu.basu@theleela.com