Sri Lankaâ€™s Asian Hotels & Properties June quarter profit down 10-pct
ECONOMYNEXT – Sri Lanka’s Asian Hotels & Properties said group net profit fell 10 percent to 302 million rupees in the June 2015 quarter from a year ago as competition from new hotels hit business at its city hotels.
The firm, part of John Keells Holdings, said in a stock exchange filing that sales in the June quarter fell six percent to 1.67 billion rupees.
Earnings per share for the quarter were 68 cents compared with 76 cents the year before.
The company operates two five star city hotels – Cinnamon Lakeside Colombo and Cinnamon Grand Colombo – under the brand ‘Cinnamon Hotels and Resorts’ while its property development division runs the Crescat Boulevard shipping mall.
The June 2015 quarter downturn came from its hotels business where sales and profits fell.
Asian Hotels & Properties has said it had a 46 percent market share among Colombo’s five-star city hotels in 2014 although business fell owing to intensifying competition that restricted growth in average room rates.
(Colombo/July 29 2015)