Gulf Hotels Group posts 2016 net profit of $42.4 million
Feb 16, 2017 9:52 AM
The Gulf Hotels Group (GHG) a leading hospitality chain in Bahrain has reported a gross operating revenue of BD36.377 million ( 95.8 million) and a net profit of BD16.133 million ( 42.4 million) for the...
The Gulf Hotels Group (GHG), a leading hospitality chain in Bahrain, has reported a gross operating revenue of BD36.377 million ($95.8 million) and a net profit of BD16.133 million ($42.4 million) for the year 2016 after consolidating the results of BTC with GHG, including one time provisional bargain profit of BD 6.126 million ($16.1 million).
Standalone results (excluding BTC) for the year showed that GHG achieved a total gross operating revenue of BD33.134 million/$87.2 million (BD36.377 million less BD3.243 million BTC gross operating revenue from June to December 2016) compared to BD32.370 million ($85.25 million) in same period of 2015, an increase of BD763,512 ($2.01 million) or 2.36 per cent and has generated a net profit of BD9.134 million (BD16.133 million less BD873,231 BTC Profit from June to December 2016 and BD6.126 million one-time bargain profit) in comparison with BD9.197 million ($24.2 million) achieved in the same period 2015,a decrease of BD 63,281 ($166,669) or 0.69 per cent on 2015.
For the three months period from October to December 2016 the group has achieved a gross operating revenue of BD10.322 million ($27.2 million) and a net profit of BD3.785 million ($9.96 million) after consolidating the results of (Bahrain Tourism Company) BTC with GHG, including bargain profit of BD1.159 million ($3.05 million).
Chairman, Farouk Y Almoayyed stated that year 2016 was very challenging with more hotels opening on the island.
He said based on the results, the Board of Directors have recommended during the Board Meeting held on February 15, 2017 a cash dividend of 25 per cent or 25 fills per share on the paid up capital for the approval of the shareholders and 10 per cent bonus shares (one for every 10 shares).
The group owns Gulf Hotel and recently acquired Bahrain Tourism Company (BTC) and operates The K Hotel, Asdal Gulf Inn, The Ocean Paradise Resort (Zanzibar)(part owned) and Gulf Residence Amwaj.
CEO Garfield Jones expressed his satisfaction with the results and also highlighted the group's future projects, which include
• The group’s plans to enter into the stand-alone restaurant market in both Bahrain and Saudi Arabia, having already acquired Block 338 in Adliya Tourism Zone for developing it into a multi-unit restaurant and leisure facility, and pursuing Joint Venture proposals for opportunities in Saudi Arabia.
• The construction of 108-key Gulf Executive Residence Juffair, which is well underway and expected to be completed by Q1 2018. - TradeArabia News Service