Serendib Group first quarter performance up by 91%

PROFIT: Serendib Group of Hotels recorded a revenue of Rs. 107.2m in the first quarter in 2006 compared to Rs. 56.1m of the same period in 2005, which is a 91% increase.

On a consolidated basis, the group recorded a net loss of Rs. 5.6m in the first quarter which is a 77% improvement in comparison to the loss of Rs. 24.6m in the first quarter in 2005.

Club Hotel Dolphin, currently the lead hotel in the Serendib portfolio, achieved a first quarter revenue of Rs. 57.8m, which is a 67% increase against the same period last year.

The hotel is already returning a net profit of Rs. 4.3m at the end of first quarter this financial year.

The strategic partnership that Club Hotel Dolphin pursued with the UK’s largest outbound tour operator first choice has paid rich dividends, and the hotel has become the best selling hotel for first choice in Sri Lanka.

For the second consecutive year, the hotel has won the first choice gold award, which is totally based on customer feedback analysis.

Hotel Serendib, Bentota (the second hotel in the Serendib Group portfolio) achieved a revenue of Rs. 26.9m at the end of Q1 2006 reflecting a growth of 89% compared to the same period last year. A net loss of Rs. 5.9m is recorded at the end of Q1 2006 compared to a net loss of Rs. 13.5m during the same period last year, which reflects a 56% favourable change.

Post tsunami refurbishment was done in record time with the hotel re-opening for business in January 2005, which was followed by a complete upgrading of 14 ground floor rooms to superior category, for which currently there is great demand.

Hotel Sigiriya (the third hotel in the Serendib Group portfolio) in the Cultural Triangle ended Q1 2006 with a revenue of Rs. 19.4m reflecting over 316% increase with a loss of Rs. 1.3m compared to a loss of Rs. 6.4m last year. New developments carried out during the past 18 months, which included the construction of a new open plan restaurant, purpose built Ayurvedic Center, new lounge and bar, nature/culture interpretation center are all proving to be popular.

“All in all, it has been a good start in spite of a few ups and downs in the security situation and if the current trends continue, we should be heading for an excellent year” concluded Srilal Miththapala, Director/Chief Executive Officer of Serendib Leisure Management Ltd.