BANGKOK, 12 April 2022: S Hotels & Resorts Pcl, the flagship hospitality arm of Singha Estate Pcl, expects a return to robust growth this year, forecasting record-high revenue of THB8.5 billion in 2022.
That would double the YoY growth compared with 2021, which closed with THB4.5 billion in revenue. In a media statement on its 2022 financial objectives, the group said it would become the second-highest revenue earner among Thai hotel operators listed on Thailand’s stock exchange.
Driving direct bookings is now the priority in 2022. The company forecasts the revenue contribution from direct bookings will increase from an average of 10% in previous years to 30% of all booking revenue in 2022.
“We foresee increasing demands in the hospitality business, including our properties in the five top leisure destinations, particularly in the UK and The Maldives, whose contributions are accounted for 44% and 28%, respectively,” said S Hotels & Resorts Pcl Chief Executive Officer Dirk De Cuyper,
“In the UK, experts project the revenue per available room or RevPAR to return to the pre-pandemic level of 2019; while the upside to restore 2022 RevPAR to pre-Brexit level is expected from MICE (Meetings, Incentive Travel, Conventions, Exhibitions) activities, around 50% of which containing in-person components, setting at hotels.
“The Maldives also sees strong demand thanks to the return of visitors from Europe and the Middle East. In addition, the Maldivian government expects the estimated tourist arrivals to the Maldives in 2022 to increase from the same period last year by 21%, reaching 1.6 million visitors.”
“Tourism growth is also expected in other destinations, such as Fiji, Mauritius, and Thailand, as Covid-19-related travel restrictions in each market begin to ease. We, therefore, are confident that the macro trends will significantly contribute to our revenues, considering we have an average of 30% repeat guests in our hotels.”
Group expansion opportunities focus on resort projects at coastal locations in the Asia-Pacific, the Mediterranean, and the Indian Ocean, requiring an investment of around THB4.5 billion to fund acquisitions and triple its portfolio by 2024.