Mumbai, April 4, 2026: CRISIL Ratings has reaffirmed the long-term rating and corporate credit rating (CCR) of
Thomas Cook (India) Limited (TCIL) at ‘CRISIL AA/Stable’, along with its short-term rating at ‘CRISIL A1+’. The
reaffirmation underscores the Group’s resilient business model, strong financial profile and consistent operational
performance, even amidst a dynamic and evolving global environment.
The ratings continue to reflect the strong backing of Fairfax Financial Holdings Ltd, TCIL’s parent, along with the
Group’s leadership position in India’s travel and foreign exchange (forex) sectors. TCIL further benefits from its
diversified presence across hospitality and attraction imaging segments (DEI), strengthening its overall business
risk profile and providing resilience across market cycles.
TCIL reported healthy performance momentum, with revenue growth of 7.4% yoy to ₹6,628 crore in the first nine
months of FY26. This growth was driven by robust demand across key travel segments, including destination
management services (DMS), outbound leisure, MICE and corporate travel. The travel segment continues to
remain the primary growth driver, contributing over 75% of total revenues.
The Group’s ongoing structural cost optimisation initiatives have enhanced operating efficiencies, resulting in
healthy margins and improved return on capital employed (ROCE). While margins witnessed marginal
moderation due to macroeconomic and geopolitical disruptions, overall profitability remains stable, supported by
disciplined cost management and operational agility.
TCIL’s financial risk profile remains strong, characterised by a comfortable capital structure and robust liquidity
position. As of February 2026, the Group reported cash and bank balances of approximately ₹2,346 crore,
including significant unencumbered reserves. Low leverage (gearing at 0.34x) and healthy debt protection
metrics further reinforce its credit strength, while low utilisation of bank limits provides an additional liquidity
cushion.
CRISIL has also taken note of TCIL’s proposed restructuring, including the demerger of its resorts and resort
management (RRM) business into Sterling Holiday Resorts Ltd. While this may moderate consolidated revenues
and EBIT post-completion, the Group’s overall credit risk profile is expected to remain robust. CRISIL has also
acknowledged potential headwinds from ongoing geopolitical developments; however, TCIL’s strong liquidity,
flexible cost structure and proactive management actions are expected to mitigate risks.
CRISIL continues to factor in ongoing support from Fairfax, which remains a key rating strength, along with the
Group’s strong market position, brand equity and diversified business model. These strengths are partially offset
by exposure to geopolitical risks, competitive intensity and risks associated with inorganic growth strategies.
CRISIL has consolidated the business and financial profiles of TCIL and its subsidiaries—including Sterling
Holiday Resorts Ltd, TC Tours Ltd, Travel Corporation India Ltd, SOTC Travel Ltd and other international
entities—reflecting their strategic importance and operational integration within the Thomas Cook India Group.
Mr. Mahesh Iyer, Managing Director & CEO, Thomas Cook (India) Limited said, “CRISIL’s reaffirmation of
Thomas Cook (India) Limited’s credit ratings at ‘AA/Stable/A1+’ underscores the strength and resilience of TCIL’s
business model & recognises the Group’s consistent business performance, strong fundamentals, diversified
portfolio, prudent financial management as well as the strong support from our parent, Fairfax Financial
Holdings. As we move forward in an increasingly complex global business environment, we remain committed to
driving sustainable growth and delivering long-term value to all our stakeholders.”
