Gulf Hotels Group to open beach club in Bahrain Bay
Gulf Hotels Group plans to start work this year on a beach club costing around BD4 million as part of the new Bahrain Bay Beach development and will shortly sign its first management contract in Tbilisi, Georgia.
This was revealed by the company chairman Farouk Almoayyed on the sidelines of the annual general meeting of shareholders yesterday.
The Georgia project is a 218-bedroom, 4-star hotel which also features a water park and wellness centre, he added.
The chairman said the deal is part of the company’s plans add new hotels to the portfolio by securing hotel management contracts.
Addressing shareholders, Mr Almoayyed said for the full year 2021, GHG achieved a total gross operating revenue of BD22.918 million compared to BD19.735m in 2020, with an increase of BD3.182m or 16.13pc.
The group generated a net profit of BD3.396m in comparison to a net loss of BD8.128m in 2020, recording an increase of BD11.524m.
Factors contributing to the increase in net profit against 2020 included an increase in management fees of BD121,884, an increase in profit from associates of BD315,239, a property impairment reversal of BD1,731,989 in 2021 compared to an impairment of BD5,064,680 in 2020, a decrease in doubtful debts provision from BD608,895 in 2020 to BD37,135 in 2021 and a decrease in depreciation of BD1,063,779.
These were offset by a decrease in government grants by BD557,733, a decrease in interest income of BD56,455 and a decrease in group dividend income by BD130,733.
The company’s EBIDTA excluding any impairment amounted to BD7.924m compared to BD4.260m for the same period in last year, with an increase of BD3.664m or 86pc.
Mr Almoayyed expressed gratitude for the government’s proactive handling of the pandemic and the efficient vaccination process that is enabling life to return to normal.
He stated, “Despite the impact on the company’s financial performance, the group’s priority remains to support the government’s fight against Covid-19 and the health and safety of our customers and staff.
“During this year of recovery, the company’s result has positively progressed, the tremendous efforts of the board and the group’s management in reducing costs have boosted the outcome of the increase in revenue, reflected at both EBIDTA and net profit.”
Adding to comments of the Chairman, chief executive Garfield Jones said, “Whilst the management’s focus in 2021 has been on maintaining a tight control on costs and guiding the business through the pandemic, we have also seen the opening of the new Bahrain Airport Hotel, an 84-unit property within the Bahrain International Airport. Towards the end of the year, the focus shifted on returning our properties to pre-pandemic operations, with the reopening of outlets.”
Mr Jones added that the hotel saw 100pc occupancy during the just concluded Formula 1 Gulf Air Bahrain Grand Prix 2022 and the expected return to normacly through the year would lead to a better performance by the group.
Source: https://www.gdnonline.com/Details/1037436
