Page 19 - ar2011_2012

17
ANNUAL REPORT 2011/2012
HOTEL OWNERSHIP & MANAGEMENT
Our hotel ownership and management
segment achieved a gross operating proft
of $44.9 million, refecting a healthy 10.2%
increase over the last fnancial year (FY).
Revenue grew by 8.6% to $238.6 million.
Stronger demand, fuelled by a strong
corporate sector, saw many of our hotels
enjoying higher average room rates. This
enabled us to achieve higher revenue per
available room (revpar) for our stable of hotels
that rose by 5.8% over the previous FY.
The Group’s hotels’ occupancy rate was
82.7%, just 0.3% lower than the last FY.
This marginal decrease was due to lower
occupancy in our two Adelaide hotels that
faced pressure fromnew supply and Stamford
Plaza Auckland that was impacted by natural
disasters in Chr istchurch, Chile and Japan.
Staging an excellent performance, Stamford
Grand North Ryde’s Gross Operating Proft
(GOP) saw a steep increase of 35.7% over
the last FY, buoyed by the increased demand
from the fourishing local Macquarie Business
Park and Chinese inbound segment. Vigilant
cost control also contributed to the hotel’s
higher proftability and we ensured that this
did not in any way affect the hotel’s high
service standards.
Stamford Grand North Ryde’s revenue saw
a 9.8% growth with substantially more room
nights sold and average room rate rose by
8.6% over the last FY. F&B revenue also
increased as our popular international
brasserie, Captain Cook’s Cove restaurant,
was unavailable in the previous FY due to
refurbishment.
Operations Review
The hotel’s revpar increased by 11.6% due
to increased room rate growth, mainly in the
Business Individual market segment, and
due to a higher occupancy rate of 83.5%,
refecting a 2.2%-point increase over the last
FY.
We expect another proftable year for
Stamford Grand North Ryde. Our focus is to
replace lower-yielding leisure group business
with higher-yielding business individual
clientele. We have also successfully signed
up new corporate accounts.
Stamford Plaza Sydney Airport achieved
a GOP increase of 18.7% over the last FY.
This was mainly due to the revenue increase
of 2.2% resulting from stronger demand as
a result of the Chilean volcanic ash over the
winter months that caused fight delays. We
also beneftted from an increase in revenue
due to a shortage of accommodation in the
Sydney CBD area during the months of
February and March due to high demand
arising from major conferences and events
including the Australian International Fair,
Red Bull Road Show, NSW Food & Wine
Festival, and XVI International Symposium
on Atheroscleros. This attracted domestic
and international travellers resulting in our
airport hotel doing well.
STAMFORD GRAND NORTH RYDE