Bangkok, 18 May 2020, – S Hotels and Resorts Public Company Limited or ‘SHR’, the hospitality arm of Singha Estate Public Company Limited, revealed its Q1/2020 performance with a total revenue of THB 1,145 million or an 18% rise comparing to the same period last year, and a net profit of THB 235 million.
Mr. Chairath Sivapornpan, Chief Financial Officer of S Hotels & Resorts Plc, revealed that although the tourism industry has received significant impacts from the global outbreak of COVID-19, SHR still managed to generate a comparative rise on revenue in Q1 with increased profits.
The revenue growth was driven by the two new resorts, SAii Lagoon Maldives and Hard Rock Hotel Maldives, as well as the first ultimate leisure complex, The Marina @ CROSSROADS, opened in September 2019 as part of the groundbreaking project CROSSROADS Maldives. The company also reported a net profit of THB 235 million, mainly resulted from the completed sale of 50% stake in Prime Locations Management 3 Ltd to Wai Eco World Developer Pte (WEWD), a big conglomerate from Myanmar, to develop a high-end lifestyle resort on Island 3 in the CROSSROADS Maldives following its business expansion strategies in 2020. The construction is expected to start this year and to be completed by 2022.
“We have seen a great business performance at the start of the year amongst our properties, particularly with high occupancy achieved at both of the two new resorts in the Maldives, but the demands have slowed down from February and March at each destination due to the pandemic which has affected our operating profits. However, we still managed to obtain a net profit of THB 235 million with a complete sale of 50% stake through the successful joint venture partnership between SHR and WEWD,” he added.
S Hotels & Resorts has suspended majority of its hotel operations since April, following the lockdown measures implemented by the countries where SHR owns or operates its businesses, with the exception of some hotels in United Kingdom continuing their operations in support to host personnel from essential sectors.
Mr. Dirk De Cuyper, Chief Executive Officer of S Hotels & Resorts Plc, said that with the temporary suspension of its hotel operations around the globe, the second quarter may see a most challenging period of this year for the company, however there are pend-up demands, and restrictions have started to be eased at certain markets.
“We expect that tourists from domestic market will firstly resume their plans on travels, following by the inter-regional markets. We will be ready to welcome guests at our hotels with same warmth and hospitality, but with assured safety and hygiene procedures, and most flexible booking terms possible, supporting our guests to book and stay with confidence,” he added.
In preparation for a smooth reopening from the suspension, SHR has rolled out a series of actions and adjustments including effective cost and cash management from corporate to property levels, newly implemented hygiene measures at all properties, trainings for team members, and soft refurbishment at rooms and public areas. The company has also been conducting active commercial and communicational activities across key feeder markets, especially incorporating with the trend of home-based audience.
“We hope that all the stakeholders, our guests, team members, business partners and financial institutions, will get through this trying time together. With effective collaborations among all sectors and a proactive planning, we are confident that SHR will continue to grow per our business direction,” said Mr. De Cuyper.
About S Hotels & Resorts Public Company Limited
S Hotels & Resorts Public Company Limited (SHR), the hospitality arm of Singha Estate Public Company Limited, is a fast-growing, Thai-inspired company with an extensive international portfolio and world-class standards. Specialising in the management and investment of high-quality hotels and resorts in desirable destinations across the globe, S Hotels & Resorts has created a collection of its own distinctive lifestyle brands, whilst also partnering with the hospitality industry’s leading names. The company aims to set new standards for leisure and lifestyle through diversified business platforms and to enhance value for all its stakeholders based upon a philosophy of sustainable development and delivering benefits to local communities. To learn more, please visit www.shotelsresorts.com or follow us on Facebook, Instagram, or LinkedIn.