**H S India Limited**, incorporated on **September 12, 1989**, is a Bombay Stock Exchange (**BSE**) listed entity operating within the Indian hospitality and restaurant sector. The company is strategically positioned to capture demand from corporate travel, domestic leisure, and the burgeoning events and wedding market in Western India. --- ### Strategic Asset Positioning and Core Operations The company follows a focused business model, concentrating its resources on a single primary operating segment: **'Hoteliering'**. * **Flagship Property:** The company’s primary revenue-generating asset is located at **Delhi Gate, Opp. Linear Bus Stand, Ring Road, Surat - 395 003**. This location provides a competitive advantage due to its proximity to major transport hubs and the commercial center of Surat. * **Service Mix:** Revenue streams are diversified across accommodation, food and beverage services, and MICE (Meetings, Incentives, Conferences, and Exhibitions). Key demand drivers include: * **Corporate Travel:** Resumption of nationwide business travel and airline crew layovers. * **Social Events:** High-volume demand from weddings and social gatherings. * **Macro Events:** Tailwinds from international events such as the **G20 Presidency** and the **ICC Men's World Cup**. * **Corporate Infrastructure:** The registered office is maintained in **Andheri West, Mumbai**, providing a central base for administrative and strategic functions. --- ### Governance Framework and Leadership Continuity H S India Limited emphasizes management stability and independent oversight as core pillars of its corporate strategy. The board consists of **6 members**, with **50%** being **Independent Directors**. | Executive / Auditor | Designation | Tenure / Status | Period | | :--- | :--- | :--- | :--- | | **Mr. Pushpendra R. Bansal** | Managing Director | **3 Years** | Sept 2025 – Sept 2028 | | **Mr. Ramesh Bansal** | Managing Director / CFO | **3 Years** | Aug 2025 – July 2028 | | **Mr. Mehul N. Hingu** | Independent Director | **5 Years** | Sept 2024 – Sept 2029 | | **Mr. Manish R. Patel** | Secretarial Auditor | **5 Years** | FY 2025-26 – FY 2029-30 | | **Mr. Hitesh Limbani** | Company Secretary | KMP | Ongoing | **Key Governance Highlights:** * **Experience:** The Managing Director, **Mr. Pushpendra Bansal**, brings over **27 years of expertise** in the hospitality sector. * **Cost Management:** Executive compensation is structured to be lean, with the Managing Director’s remuneration set at **Rs. 1,00,000 per month** plus performance-linked increments, ensuring compliance with **Schedule V** and **Section 197** of the Companies Act. * **Audit Oversight:** Internal audits are conducted by **M/s. J. Bhavsar & Co.**, while statutory audits are handled by **M/s. K. K. Haryani & Co.** --- ### Financial Performance and Capital Structure The company has demonstrated a steady recovery in the post-pandemic era, characterized by revenue growth and a disciplined approach to deleveraging. **Comparative Financial Position (₹ in Lakhs):** | Particulars | FY 2024-25 | FY 2023-24 | FY 2022-23 | | :--- | :--- | :--- | :--- | | **Total Revenue** | - | - | **2,462.00** | | **Net Profit After Tax** | - | - | **103.00** | | **Floating Rate Borrowings** | **1,472.20** | **1,772.08** | **2,060.59** | | **Fixed Rate Borrowings** | **166.92** | **-** | **-** | | **Total Borrowings** | **1,639.12** | **1,772.08** | **2,060.59** | | **Trade Payables** | **51.30** | **71.09** | **70.39** | **Debt and Liquidity Profile:** * **Primary Term Loan:** Secured by a **1st and exclusive charge** on **Hotel Land and Building** and all movable fixed assets. The interest rate is floating at **8.90% p.a.** (as of Aug 2025) with a maturity date of **July 7, 2030**. * **GECL-2 Facility:** A government-backed emergency credit loan at **9.00% p.a.**, featuring a **24-month moratorium** on principal, repayable by **August 7, 2027**. * **Credit Rating:** The company maintains a **'CRISIL BB-/Stable'** rating (as of **November 21, 2023**). * **Maturity Profile:** As of March 2025, **₹385.85 Lakh** of debt is maturing within **one year**, while **₹1,253.27 Lakh** is classified as long-term. --- ### Strategic Investments and Asset Quality Beyond its core hotel operations, the company has engaged in strategic capital allocation and asset monitoring: * **EV Sector Entry:** In **July 2025**, the company made a significant strategic investment of **₹17,000 Lakh** to acquire a **4.6153% holding** in **Blue Energy Motors Limited**, signaling a diversification into sustainable energy sectors. * **Legacy Impairments:** An investment of **₹3.15 Crore** in **Naroli Resorts Private Limited (NRPL)** remains fully impaired since **March 2020** as liabilities continue to exceed assets. * **Receivables Management:** The company faces a concentration of aged receivables, with **₹203.35 Lakh** outstanding for **more than 180 days** as of March 2025. --- ### Risk Management and Contingencies H S India Limited operates in a sensitive service environment where performance is tied to macroeconomic stability and regulatory compliance. **1. Financial and Legal Risks:** * **Interest Rate Sensitivity:** High exposure to floating interest rates on long-term debt. * **Tax Litigation:** An outstanding demand notice of **Rs. 56,95,740** from the **Income Tax Department** (Section 154) for **AY 2016-17**. * **General Litigation:** Ongoing disputes disclosed under **SEBI Regulation 30** that could have a material impact on the entity. **2. Operational and Industry Headwinds:** * **Human Capital:** A persistent shortage of **trained manpower** threatens service standards. * **Fiscal Policy:** The **high GST tax structure** and **rising inflation** are viewed as primary deterrents to revenue growth and discretionary spending. * **Cyber Security:** Data breaches are identified as a top-tier risk due to the high volume of **sensitive customer and corporate information** stored digitally. **3. Market Dynamics:** * The company mitigates seasonal fluctuations by balancing **national and inbound tourist** cycles, though it remains vulnerable to sudden shifts in **tourist traffic** and **monetary policy** changes that impact the broader economy.