Restaurant India News: Summit Hotels Sells Over 37,000 Room Nights as Leisure Travel Demand Surges

Summit Hotels & Resorts has reported a strong start to FY2026-27, registering nearly 40 percent growth in business during April and May, driven by sustained demand for leisure travel across the Eastern Himalayas and a rising preference for organised regional hospitality brands.

The company sold more than 37,000 room nights during the first two months of the financial year, while portfolio occupancy reached 78.9 percent. Average room rates crossed Rs 6,000, reflecting improved pricing power across its key operating markets. The performance was achieved despite a temporary slowdown in travel activity in certain parts of eastern India during the West Bengal Assembly election period.

According to the company, destinations across Sikkim and the Darjeeling Hills emerged as the primary contributors to growth, supported by repeat visitation and increasing demand for premium mountain hospitality experiences.

"We entered the year expecting healthy demand, but the pace of bookings has been stronger than anticipated," said Sumit Mitruka, CEO, Summit Hotels & Resorts. "What stands out is not just the occupancy but the ability of travellers to continue choosing these destinations despite temporary disruptions. The appetite for experiential leisure travel remains strong, and we are seeing that translate into both room revenue and higher spending within our hotels," he added.

Food and beverage revenues also recorded growth during the period, while guest review scores remained among the highest across the company's operating markets. The performance comes as Summit broadens its business strategy beyond owned and managed assets in the Eastern Himalayan region.

As part of its next phase of expansion, the hospitality group is actively pursuing partnerships with independent hotels, boutique resorts, heritage properties, wildlife lodges, and spiritual destinations across India. The initiative is aimed at property owners seeking access to organised distribution channels and professional revenue management support while retaining ownership and operational control.

Under the partnership framework, hotel owners can maintain the identity of their properties while benefiting from Summit's central reservations system, revenue management capabilities, digital marketing support, technology infrastructure, and hospitality manpower network. Having completed 18 years in the hospitality sector, Summit Hotels believes a significant opportunity exists within India's large base of independent hotels that possess strong regional appeal but limited access to organised brand support and distribution systems.

With booking momentum continuing into June and advance reservations tracking close to last year's levels, the company expects demand across leisure and destination travel markets to remain stable in the coming quarters. The latest performance underscores the resilience of India's domestic tourism sector and highlights the growing role of regional hospitality players in catering to evolving traveller preferences.