GHG reports BD9.197 million net profit in 2015

Manama: Gulf Hotels Group yesterday announced that it has achieved a net profit of BD9.197 million in 2015, a decrease of BD2.080m or 18.44 per cent on 2014. Total Gross Operating Revenue was BD32.370m compared to BD33.311m in 2014, a decrease of BD0.941m or 2.82pc for the year.

The results were announced during the forty sixth Annual General Meeting held in Awal 3 Ball room of the Gulf Hotel. The meeting presided over by Group’s Chairman Farouk Y Almoayyed was held in the presence of representatives from the Ministry of Commerce, Central Bank of Bahrain, Auditors Ernst and Young and Share Registrars Karvy Computer
Share.

On the occasion shareholders approved a dividend payout of 30pc or 30 fills per share, totalling BD5,208,163. In addition
director’s fees of BD205,000, Charity Reserve Expenses of BD225,823 and BD10,000 towards National Promotional activities were also
approved.

Commenting on the results, Chairman, Farouk Y. Almoayyed expressed his thanks to Chief Executive Officer and Director, Aqeel Raees, and executive management for continuously upholding an excellent standard of service, while diversifying the Group’s activities.

On the occasion, Almoayyed also announced the submission of its voluntary conditional offer for the acquisition of 100pc of the shares of Bahrain Tourism Company BSC (BTC).  The offer was submitted to BTC’s board of directors on Sunday and was prepared in compliance with the Central Bank of Bahrain’s Takeovers, Mergers & Acquisitions (TMA) Module of Rulebook Volume 6.  

Almoayyed confirmed that the company has commenced the development of the 224 rooms, five star Gulf Hotel Business Bay in Dubai, a waterfront property located 1.5km from Burj Khalifa and Dubai Mall, which is now in design stage with construction expected to commence late -2016 and be completed late-2018.

On the expansion of the Group into the stand-alone restaurant market, CEO and Director Aqeel Raees said that the company has acquired Block 338 in Adliya Tourism Zone and is developing plans for a multi-unit restaurant and leisure facility. Construction is expected to commence very soon.

He further stated that the development of the Gulf Residence Amwaj in conjunction with Lona Real Estate is nearing completion and the 173 unit; four star apartment-hotels will also open soon. The construction of the new Spa is almost ready and it is ready to welcome the guests soon, he added.

GHG is currently developing a 108 unit serviced apartment facility in Juffair, with construction expected to commence by the end of quarter one of 2016 and take 18 months to
complete. 

Renovation of Gulf Executive Residence, Tower block and South wing were completed and opened for
business.

He also stated that The K Hotel has recorded high occupancy levels and a strong average rate, resulting in a Net Operating Profit that exceeded 2014.