• 10 December 2018
Minor Hotels Reports a Net Profit Increase of 73% in H1 2016

Minor Hotels Reports a Net Profit Increase of 73% in H1 2016

Dillip Rajakarier CEO Minor Hotel Group high res

Minor Hotels (MH), a hotel owner, operator and investor, currently with a portfolio of 151 hotels and resorts in 22 countries across Asia Pacific, the Middle East, Europe, South America, Africa and the Indian Ocean, has reported a net profit increase of 73% in 1H16, reflecting its strong acquisition capabilities as well as the solid operational performance of its existing hotel and residential portfolios.

Excluding the non-recurring revaluation contributions of the acquisition of Tivoli Hotels & Resorts in 1Q16 and Sun International hotels portfolio acquisition in 1Q15, MH’s 1H16 net profit rose by 8% year-on-year. In 1H16, performance of the group’s Thailand hotels, the consolidation of the newly acquired Tivoli portfolio in Portugal, and residential sales were the principal drivers of MH’s performance. The occupancy of the Tivoli portfolio in Portugal was nearly 70% in 2Q16, as Portugal builds towards the upcoming high season in the third quarter. With the sale of one unit of the Residences by Anantara Layan Phuket in 2Q16, in addition to the two units sold in 1Q16, real estate revenue increased by 18% in 1H16 year-on-year.

In 2016, Anantara Hotels, Resorts & Spas is celebrating its 15th anniversary. With Thailand as the brand’s established home base, Anantara today has successfully grown its footprint internationally across Asia, the Middle East, Africa and the Indian Ocean, becoming one of the most reputable luxury hospitality brands in the process. For the second year in a row, Anantara has been ranked #6 out of 37 in ReviewPro’s list of large luxury brands with the highest level of guest satisfaction globally. Organic revenue per available room (RevPar) of owned Anantara hotels in Thailand (excluding new hotels) increased by 6% in 1H16, led by hotels in tourist destinations including Phuket, Koh Samui, Chiang Mai and Chiang Rai.

Going into the second half of 2016, MH’s performance is expected to continue to strengthen. It is expected that performance of Thailand hotels will continue to be strong, supported by high tourist arrivals.

AVANI Hotels & Resorts, MH’s contemporary upscale brand, is experiencing new success with the group having secured management contracts in Khon Kaen, Thailand and Dubai, UAE under the brand. The contribution from management fees of these two rebranded hotels will commence in 2H16.

MH will also begin to record revenue from sales of the Anantara Chiang Mai Serviced Suites in 2H16, upon completion of the project. Furthermore, MH is confident in the long-term prospects of the Residences by Anantara Layan Phuket as the property prices in Phuket are trending up considerably.

Currently MH has close to 20,000 rooms in operation across 151 properties in 22 countries. Looking forward MH has a strong pipeline, which will see three new Anantara resorts added in 2H16. In 3Q16 Anantara Kalutara Resort will open its doors in Sri Lanka, the second Anantara on the island following the opening of Anantara Peace Haven Tangalle Resort in late 2015. In addition, the brand will launch in Oman with the opening of two new resorts in 4Q16 – Anantara Al Jabal Al Akhdar Resort and Al Baleed Resort Salalah by Anantara, further expanding the footprint of the luxury brand.

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