Buy JUNIPER Ltd for the Target Rs.240 by Choice Institutional Equities
Key Conference Call Highlights
Asset Updates & Pipeline
* The "Yashobhoomi" expansion: JUNIPER was awarded a 2.5-acre land parcel in Dwarka, Delhi, to develop a 500-key luxury "big box" asset. Management highlighted extremely favourable terms with minimal upfront investment of INR 97.5 Mn (payable over 4 years) and no lease payments during the 5-year construction period
* Westin Bengaluru Opening: Phase 1 (238 keys) is slated to open in Q2 FY27E under the Westin brand. Phase 2 (266 keys) will start development in H2FY27E, creating a 504-key luxury hub. Management expects Phase 1 to contribute INR 300 Mn in revenue in its first year, reaching INR 1.2 Bn upon stabilisation with 40%+ EBITDA margi
* Northeast Expansion: Construction work is on track for the 315-key Guwahati project and the 106-key Kaziranga luxury resort to capture experiential and commercial demand
* Grand Hyatt Mumbai (GHM) Value Unlocking: Revenue from the "Grand Showroom" reached INR 280 Mn in FY26, with 25–30% further upside expected. JUNIPER plans to develop a commercial asset spread over 80,000 sq. feet on its owned adjacent land parcel by late CY26E.
Balance Sheet & Capital Allocation
* De-risking Strategy: The company fully repaid INR 2.7 Bn of ECB debt to mitigate USD-INR volatility risk
* Capex Guidance: JUNIPER plans a total capex of INR 18 Bn through FY30E.
* Leverage: Peak debt is forecast for FY28E, Net Debt / EBITDA is expected to remain below 2.5x Market Outlook & Risk Factors
* Demand Dynamics: April saw some "softness" due to geopolitical tension, May occupancy is better than the corresponding month last year. Management expects luxury demand CAGR of 10%+ in the next 3–4 years to outpace supply additions in key metros
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SEBI Registration no.: INZ 000160131
