Manama: Mahmood Rafique, Editor: Gulf Hotels Group (GHG), has reported a net profit of BD 6.669 million for the financial year ended on 31st December 2022, an increase of 96.4 per cent versus BD 3.396 million the Group had reported in 2021.
The earnings per share is 30 fils compared to earnings per share 15 fils during the same period in 2021.
In a statement the company said that it achieved net profit of BD 2.557 million in Q4 of 2022 compared to a profit of BD 3.194 million in the fourth quarter of the previous year, with a decrease of 19.94%.
The earnings per share were 11 fils compared to 14 fils in the fourth quarter of last year.
Total comprehensive income of BD 2.301 million compared to BD 3.188 million for the fourth quarter of the previous year, with a decrease in profit of 27.9%.
Revenue for the fourth quarter was BD 9.449 million, compared to BD 7.673 million for the same period last year, with an increase of BD 1.776 million or 23.1%.
The decrease in the net profit for the fourth quarter in comparison to the same period last year resulted mainly from Impairment reversal of BD 1.732 million in the last year.
For the 12 months net profit were BD 6.669 million compared to a net profit of BD 3.396 million in the twelve months of the previous year, with an increase of BD 3.273 million or 96.4%
The earnings per share are 30 fils compared to 15 fils in the twelve months of last year.
Total comprehensive income of BD 6.328 million compared to a profit of BD 3.519 million for the twelve months of the previous year, with an increase in profit of BD 2.809 million or 79.8%.
Revenue of BD 31.395 million, compared to BD 23.001 million for the same period last year, with an increase of BD 8.394 million or 36.5 %.
The total equity (excluding minority interests) during the twelve months was BD 103.603 million compared to BD 101.829 million at the end of last year, with an increase of BD 1.773 million or 1.7 %.
The total assets for the YTD reached BD 111.795 million compared to BD 113.446 million at the end of the last year, with a decrease of BD 1.652 million or 1.5 %.
The increase in the Net Profit for the twelve months in comparison to the same period last year resulted mainly from an increase in revenue of BD 8.394 million from the core business of the Group, increase in profit from associates of BD 693,599; increase in dividend income of BD 67,116; BD 819,228 from the sale of owned land, increase in management fees by BD 152,412 and BD 172,473 increased in restaurants & office/ shops rental. While last year GHG enjoyed a government support of BD 365,145 and impairment reversal on PP&E of BD 1.732 million. On the other hand, Operation expenses have increased proportionately by BD 6.084 million with the increase in revenue and Depreciation reduced by BD 734,000.
The positive increase in net profit is largely attributable to the improvement of the travel & tourism sectors post the pandemic in addition to the Group’s tight controls on costs.
Henceforth, and in view of the Groups’ solid financial performance, The Board of Directors recommended a cash dividend of 25% equivalent to 25 fils per share (BD 5,649,872 million) subject to shareholders’ approval at the Annual General Meeting against an approved 20% equivalent to 20 fils per share (BD 4,519,871 million) in 2021.
“We are pleased with our positive results which continue to progress thanks to the efforts of the Board and the Group’s Executive Management whose strategies contributed highly to reducing the impact of the pandemic. Additionally, we remain dedicated to executing our expansion strategy locally, regionally, and internationally,” Farouk Almoayyed, Chairman of Gulf Hotels Group, said.
“The year 2022 was a challenging but positive year with the continued recovery from the pandemic period and the return of the MICE market in the second half of the year. Our restaurant brands continue to go from strength to strength, picking up several awards and with “Fusions by Tala” recently being awarded the best restaurant in Bahrain and 3rd position in the Middle East North Africa 50 Best Restaurants 2023,” Garfield Jones, Chief Executive Officer at the Group, said.
