News & Press Releases
Gulf Hotels Group B.S.C. announces its financial results for the period of nine month ended 30th Sept 2020
Gulf Hotels Group B.S.C. (GHG) announces its nine-months financial results for the period ended 30th Sept 2020.
Company has achieved the following during 3rd Quarter of 2020:
Net (Loss) of BD (1.683) million compared to a profit of BD 1.428 million in the third quarter of previous year, with a decrease of (3.110) million.
(Loss) per shares is (8) fils compared to earnings of 6 fils in third quarter of last year.
Total comprehensive (loss) of BD (1.174) Million, compared to BD 1.733 Million for the third quarter of previous year, with a decrease of BD 2.907 Million.
Gross Profit of BD 1.155 Million, compared to BD 3.958 Million for the same period in last year, with a decrease of BD 5.568 million or 59.90%.
The decrease in the net profit for the third quarter in comparison to the same period last year resulted mainly from decreases in revenue due to various restrictions introduced to combat the spread of Covid-19 that have had n impact in the hospitality industry in general and have limited the normal operations of the Group’s hotels, restaurants, catering and ancillary services.
Year to date the company has achieved:
Net (Loss) of BD (4.682) million compared to a profit of BD 4.216 million in the same period of previous year, with a decrease of BD (8.897) million.
(Loss) per shares is (21) fils compared to earnings of 19 fils in last year.
Total comprehensive (loss) of BD (5.442) Million, compared to BD 6.306 Million for the same period in the previous year, with a decrease of BD 11.748 Million.
The total equity (excluding minority interests) for the year was BD 103.651 Million compared to BD 114.979 Million in last year, with a decrease of 9.85%.
The total assets for the YTD reached BD 122.888 Million compared to BD 136.727 Million in the previous year, with a decrease of 10.12 %.
Gross Profit of BD 5.371 Million, compared to BD 12.317 Million for the same period in last year, with a decrease of BD 6.946 Million or 56.39%.
Revenue of BD 14.798 Million, compared to BD 28.115 Million for the same period in the last year, with a decrease of BD 13.316 million or 47.37%.
The decrease in the net profit for the year in comparison to the same period last year can also be attributed to measures taken to combat the spread of Covid-19. In addition, the company has booked provisions for property impairment of BD 2.3 million, impairment on trade receivable of BD 400K and loss from associates against last year of BD 709K. On the other hand the Group received government assistance of BD 658K.
The Chairman, Mr. Farouk Almoayyed expressed gratitude for the generous government support program. He stated that, “Regardless of 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. He further reiterated that “Whilst the impact of the pandemic on the Company’s result has been significant, the tremendous efforts of the Board and the Group’s management in reducing costs has ensured a positive result before depreciation and impairment”.
Mr Almoayyed expressed optimism that with the drop in the number of Covid-19 cases and the easing of restrictions that has seen the reopening of restaurants, the worst of the financial impact has passed and we can now concentrate on rebuilding business whilst continuing to follow all measures to ensure the spread of the virus remains in check.
Adding to comments of the Chairman, CEO Garfield Jones stated “Whilst the concentration of the management team has been on efforts to reduce costs, we have also been working on the development of the new transit hotel within Bahrain International Airport. The project is nearing completion and the new ‘Bahrain Airport Hotel’, consisting of 84 rooms and sleeping pods, will be launched along with the opening of the new airport terminal”. He further added “In addition to a spa, salon. and passenger massage area, the hotel will offer luxurious family sized rooms, state-of-the-art compact rooms and, for the first in the region 24 sleeping pods”.
Mr Jones further added that with the reopening of restaurants. the Gulf Hotel has finally been able to open the new outdoor, rooftop terrace of ‘Fusions by Tala’ which was completed back in March but was unable to open due to restrictions. The new terrace, with stunning views over the Manama skyline, is overseen by the Hotel’s talented Bahraini Chef, Tala Bashmi.
The full set of financial statements and the press release are available on Bahrain Bourse’s website.