Manama: Mahmood Rafique, Editor: Gulf Hotels Group (GHG) has reported a net profit of BD 6.786 million for the year 2023, compared to BD 6.669 million in the same period of the previous year, with an increase of 1.7 per cent or BD 117000.
The earnings per share are 30 fils compared to 30 fils in the twelve months of last year.
The board of directors proposes to the shareholders a distribution of 25% dividends equivalent to BD 5.65million at 25 fils per share to the ordinary equity shareholders who are registered on the date of the AGM.
Revenue of BD 32.999 million, compared to BD 30.866 million for the same period last year, with an increase of BD 2.134 million or 7%.
The total equity (excluding minority interests) for the period of twelve months ended 31st December 2023 was BD 104.353 million compared to BD 103.603 million for the financial year ended 31st December 2022, with an increase of 750000 or 0.7%.
The Group reported a net profit of BD 1.911million compared to BD 2.557million in the fourth quarter of the previous year, a decrease of 25 per cent or BD 646,000.
Earnings per share is 8 fils compared to 11 fils in the fourth quarter of last year.
The Group reported a comprehensive income of BD 2.390 million compared to a total comprehensive income of BD 2.301 million for the fourth quarter of the previous year, with an increase of BD 90000 or 4%.
Revenue in the fourth quarter reached BD 9.268 million, compared to BD 8.919 million for the same period last year, with an increase of BD 348K or 4%.
The reason for the decrease in the net profit for the fourth quarter is due to booking a gain on sale of property amounting to BD 819000 in the fourth quarter of 2022 compared to BD5000 in the fourth quarter of 2023.
Total comprehensive income of BD 6.400 million compared to a total comprehensive income of BD 6.328 million for 2023 compared to the previous year, with an increase of BD 73000 or 1 per cent.
The total assets for the YTD reached BD 110.502 million compared to BD 111.784 million for the financial year ended 31st December 2022, with a decrease of 1.282 million or 1.1%.
“The Board of Directors is pleased with the positive financial results achieved in 2023, even though the ambitions were greater than what was achieved due to various challenges faced by hotel industry in Bahrain. These challenges include hotel oversupply, regional competition and increasing operational costs,” Farooq Almoayyed, the Chairman of the Group, said.
“We hope that the implementation of hotel accommodation fee of BD 3 on every room night sold as well as other service fees on hotel guests will not have a negative impact on tourism in Bahrain. We also hope that Bahrain continues to attract tourists from around the world, which will generate demand for hotels”.
“The previous year saw the group persistently achieve notable progress in various areas. The group delivered positive financial results for 2023, marked by increased revenue and profitability. During 2023, we expanded our hotel portfolio by acquiring Novotel Al Dana Resort to enhance our competitive position in the market. Looking ahead to 2024, the company’s strategic priorities remain focused on seizing new opportunities that accelerate our business growth and solidifying our position in Bahrain and the Gulf region,” Ahmed Janahi who has been recently appointed as Group Chief Executive Officer.
