MEXICO CITY, Feb. 22, 2018 (GLOBE NEWSWIRE) -- Grupo Hotelero Santa Fe S.A.B. de C.V. (BMV:HOTEL) (“HOTEL” or “the Company”), announced its consolidated results for the fourth quarter (“4Q17”) and full-year ended December 31, 2017. Figures are expressed in Mexican Pesos, are unaudited and are in accordance with International Financial Reporting Standards (“IFRS”) and may vary due to rounding.
Highlights
Fourth Quarter | 12 months ended December 31 | ||||||||||||
Figures in thousands of Mexican Pesos | 2017 | 2016 | Var. | % Var. | 2017 | 2016 | Var. | % Var. | |||||
Total Revenue | 441,308 | 318,628 | 122,680 | 38.5 | 1,581,496 | 1,221,165 | 360,332 | 29.5 | |||||
EBITDA | 146,683 | 106,978 | 39,705 | 37.1 | 528,200 | 426,119 | 102,082 | 24.0 | |||||
EBITDA Margin | 33.2% | 33.6% | (0.4 pt) | (0.4 pt) | 33.4% | 34.9% | (1.5 pt) | (1.5 pt) | |||||
Operating Income | 78,501 | 66,618 | 11,883 | 17.8 | 335,065 | 289,913 | 45,152 | 15.6 | |||||
Net Income | (116,838) | 45,750 | (162,588) | NA | 187,382 | 160,219 | 27,163 | 17.0 | |||||
Net Income Margin | (26.5%) | 14.4% | (40.9 pt) | (40.9 pt) | 11.8% | 13.1% | (1.3 pt) | (1.3 pt) | |||||
Operating Cashflow | 149,652 | 128,064 | 21,588 | 16.9 | 518,492 | 442,756 | 75,736 | 17.1 | |||||
Occupancy | 62.9% | 69.1% | (6.2 pt) | (6.2 pt) | 66.1% | 70.0% | (3.9 pt) | (3.9 pt) | |||||
ADR | 1,437 | 1,453 | (16) | (1.1) | 1,445 | 1,384 | 61 | 4.4 | |||||
RevPAR | 904 | 1,004 | (100) | (10.0) | 956 | 969 | (13) | (1.4) | |||||
Note: operating figures include hotels with 50%+ ownership. | |||||||||||||
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1EBITDA is calculated by adding Operating Income, Depreciation and Total Non-recurring expenses.
2Revenue per Available Room (“RevPAR”) and Average Daily Rate (“ADR”).
Comments from the Chief Executive Officer
Mr. Francisco Zinser, stated:
2017 was a great year for the company, and the fourth quarter was no exception. Tourism in Mexico continues to post strong growth with solid underlying fundamentals. In 2017 Mexico reached 8th place for the country that received most international travelers, marking a new historical milestone. In 2017 International travelers in Mexico increased 5%, reaching 39 million. Also, Income from international tourists in 2017 increased 5% to US$ 21 Billion. The sector is well positioned considering recent events including the removal of Cancun and Los Cabos from the latest travel warning from the US. Local tourism also posted healthy increases, complementing our results.
In terms of our annual results, we posted solid Revenue and EBITDA growth of 30% and 24%, respectively. In terms of our operating indicators of company-owned hotels, we maintained our RevPAR stable driven by a 6.4% increase in ADR which compensated a 4.6 percentage point decrease in occupancy. The lower occupancy is attributable to the inclusion of a significant amount of new rooms in the early stages of stabilization, combined with the consequences of the external factors mentioned in our 3Q17 report.
At the beginning of the year we closed an important acquisition for the Company, which was comprised of a 50% stake of two hotels in Los Cabos and Nuevo Vallarta, where we had no presence. Both locations are strategic as the growth projections of these destinations are very attractive and have solidified our portfolio with a wide footprint that now embraces all the main Resort destinations in Mexico. Both Krystal Grand Hotels are operating with 934 rooms.
Regarding other hotel openings, firstly, the opening of the Altitude Tower of the Krystal Grand Punta Cancun with 100 suites which were added to the 295 existing ones of the hotel. Secondly, we announced the opening of the Krystal Grand Suites Insurgentes property located on Insurgentes Sur. It has 150 long-stay suites including kitchenettes. In 2017 we also announced the signing various of a Management Contracts including the AC by Marriot Distrito Armida, Curio Collection Zacatecas and the Ibis Irapuato. Third-party hotels continue to significantly contribute to our results. In the first half of 2019 we plan on opening the Krystal Grand Insurgentes with 250 suites located in front of the World Trade Center in Mexico City.
Lastly, I would like to mention that none of these achievements would have been possible without the support of our dedicated employees, experienced management team and the confidence placed in us by our investors.
4Q17 Conference Call Details:
HOTEL will host its earnings webcast (audio + presentation) to discuss results: | ||
Date: | Friday, February 23, 2018 | |
Time: | 12:00 p.m. Mexico City Time | |
1:00 p.m. New York Time | ||
To participate in the conference call and Q&A session please dial: | ||
Telephone: | U.S.: 1 800 863 3908 | |
International +1 334 323 7224 | ||
Mexico: 01 800 847 7666 | ||
Conference password: HOTEL 000 | ||
Webcast: | The webcast will be in English. To follow the presentation and audio of the call, please visit https://hotel.adobeconnect.com/hotel/ | |
Contact Information
Enrique Martínez Guerrero
CFO
+52 55 5261 0800
Maximilian Zimmermann
IR Director
+52 55 5261 4508