Hotels firm optimistic

31/03/2014 07:11 AST

The board of National Hotels Company has an optimistic outlook for the hotel sector and the economy in general.

The company's chief executive Abdulrahman Morshed told the GDN on the sidelines of the Annual General Meeting (AGM) that he expected occupancy levels at the Diplomat Radisson Blu Hotel Residence and Spa to be more than 50 per cent during the year, based on the trends of the first quarter.

"The completion of the refurbishment of the Grand Ballroom in August will further assist in improving results," he said.

Last year the company saw occupancy rise to 46pc from 41pc in 2012. Total company revenue increased by 15pc compared to the previous year.

Net profit for the year increased by 25pc and earnings per share rose to 26fils from 21fils in 2012.

During the meeting, the members of the board pointed out that last year's report has proven, without a shadow of a doubt, the gradual recovery of the Bahrain market in general and the tourism and hotel sectors in particular.

The increase in hotel revenues through higher room occupancy and other revenues resulting in an improved net profit of the company compared to last year is a clear proof of this fact, they said.

Chairman Faisal Al Zayani said that on the office building front, the signing of a lease agreement with the Social Insurance Organisation gave a significant boost to the building occupancy, raising it to 35pc.

The company was negotiating similar agreements with other government agencies, the chief executive said.

Gulf Daily News