PR Newswire - S Hotels & Resorts achieved a record-breaking revenue of 10,352 million Baht in 2024 with 4Q'24 profit surging by 1.3-fold and proposing a 0.03 baht/share cash dividend

BANGKOK, March 4, 2025 /PRNewswire/ -- S Hotels and Resorts PCL (SET: SHR), the global hospitality company from Singha Estate PCL (SET: S) announced its 2024 financial results, revealing a record revenue of 10.352 billion baht, reflecting the ongoing expansion in global tourism demand. Notably, the company's fourth-quarter net profit surged to 147 million baht, more than double the previous period's result. This substantial growth was attributed to the accelerated completion of the SAii Laguna Phuket renovation and the robust recovery of its property in the Republic of Mauritius. These results also underscore the company's enhanced efficiency in financial cost management.

During the fourth quarter of 2024, the company recorded revenue of 2,606.7 million baht. This growth was driven by the successful launch of new vacation experiences at SAii Laguna Phuket, which effectively catered to target tourist segments, resulting in a room rate increase exceeding 30%, and the full operational recovery of Outrigger Mauritius Beach Resort. Furthermore, a commitment to improve operating efficiency and cost management, particularly a reduction of over 20% in finance cost compared to the fourth quarter of the preceding year, significantly contributed to a net profit increase exceeding 130% during this period.

SHR's 2024 revenue reached a record high of 10,352 million baht, representing a 7% YoY increase. This impressive growth was driven by the robust performance of the company's hotel and resort portfolio, which demonstrated impressive growth across most locations. This success underscores the efficacy of a flexible business strategy, encompassing proactive marketing initiatives to optimize the market mix in the Maldives, alongside the ongoing enhancement of asset quality and service standards under the SAii brand, thereby strengthening core operations. As a result, SHR's 2024 core operating profit surged 25% to 1,246 million baht, while net profit rose 55% to 134 million baht. In recognition of these strong results, the Board of Directors has resolved to propose a dividend payment of 0.03 baht per share from 2024 earnings, doubling the 2023 payout.

Beyond its financial growth, the Company has made significant strides in its portfolio profitability enhancement strategy. Notable achievements include the October opening of Mount Royal Edinburgh by The Unlimited Collection in the United Kingdom, in partnership with The Ascott Limited. This was followed by the December launch of SAii Laguna Phuket after its renovation completion, with overwhelming positive response, and the brand enhancement of SAii Koh Samui Villas as well as the debut of Thailand's inaugural SAii Beach Club. Additionally, in early February 2025, the Company successfully issued debentures in the amount of 1.7 billion baht, further optimizing its finance costs as well as preparing for further business expansion.

Mr. Michael Marshall, Chief Executive Officer of SHR, reported, "The substantial performance growth this quarter reflects the resilience and potential of SHR's portfolio, and validates the company's robust business development approach. In addition to the exceptional performance of our Thai properties and Outrigger hotels, we have successfully increased RevPAR at the CROSSROADS Maldives project, amidst heightened competitive pricing in the Maldives. Looking forward to 2025, we aim to complete the renovation plans of three additional hotels in the United Kingdom. This initiative aims to uplift the asset quality, enhance service standards, rebrand and reposition while maintaining stringent cost and expense management, thereby maximising the portfolio's revenue and profit potential."

The company's performance outlook for the first quarter of 2025 shows continued strong growth both YoY and QoQ. This is evidenced by the expansion of advance room bookings across almost all regions, particularly in Thailand, where the RevPAR for January grew by 25% yoy, primarily driven by a 45% increase in room rates at SAii Laguna Phuket. Concurrently, SO/ Maldives experienced a surge in performance during the high season, with occupancy rates reaching 75% and average room rates exceeding 900 USD. Based on these positive trends, coupled with ongoing operational efficiency management and an anticipated 8-10% reduction in finance costs compared to 2024, SHR's overall performance in 2025 is projected to deliver significant growth.

"The promising starts in January serve as an important foundational step in our pursuit of this year's strategic goals. This is a result of the collective dedication of everyone at SHR in delivering exceptional guest experiences. In 2025, we will be resolutely focused on maximizing RevPAR across all market conditions. This will be realized through the implementation of agile business strategies, designed to proactively address potential challenges and drive sustainable profit growth," concluded Mr. Marshall.

For more information about S Hotels & Resorts, please visit www.shotelsresorts.com or follow us on Facebook, Instagram, YouTube or LinkedIn.

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About S Hotels and Resorts Public Company Limited

S Hotels and Resorts Public Company Limited, 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, Youtube, or LinkedIn.