14-05-2025
Gulf Hotels Group announces financial results for Q1 2025
Gulf Hotels Group, a hospitality pioneer in Bahrain, announced its financial results for the first quarter of 2025, reporting a net profit of BD2.452 million compared to BD2.663 million for the same period in 2024, a decrease of 8%.
Earnings per share amounted to 11 fils compared to 12 fils in the first quarter of the previous year.
Total comprehensive income reached BD2.542 million compared to BD2.382 million for the first quarter of the previous year, an increase of BD160,000 or 7%.
Revenue for the first quarter stood at BD8.611 million compared to BD8.983 million for the same period last year, a decrease of BD373,000 or 4%.
Total equity (excluding minority interests) as of 31 March 2025 was BD102.424 million compared to BD105.532 million as of 31 December 2024, a decrease of BD3.108 million or 3%.
Total assets as of 31 March 2025 were BD113.786 million compared to BD112.862 million as of 31 December 2024, an increase of BD924,000 or 0.8%.
Fawzi Kanoo, Chairman of the Board, commented on the results: 'The first quarter results reflect the strength and resilience of the Group's portfolio in facing seasonal challenges. We achieved a net profit of BD2.452 million compared to BD2.663 million for the same period in 2024, despite lower travel activity during Ramadhan, which impacted hotel occupancy rates. We are optimistic about the future of the hospitality sector in the Kingdom of Bahrain, supported by ongoing government initiatives aimed at developing the tourism sector. We will continue focusing on enhancing operational efficiency, investing in promising growth opportunities, and delivering sustainable, long-term value to our shareholders.'
Ahmed Janahi, Group Chief Executive Officer, said: 'The Group maintained strong performance during the first quarter of 2025, reflecting the efficiency of our operations in the hotel and food and beverage sectors, despite the decline observed in the hospitality sector in Bahrain during the first quarter of 2025. Hotel occupancy rates fell by 4%, from 54.2% in the first quarter of 2024 to 52.1% in the same period this year. Revenue per available room (RevPAR) also dropped by 11.7%. This performance was mainly due to seasonal factors, particularly Ramadhan, which typically sees a decrease in travel activity and hotel occupancy. The tourism sector is expected to witness notable improvement in the second quarter, driven by major events such as the Formula 1 Grand Prix and Eid holidays, contributing to stronger performance across our business segments and supporting growth in the upcoming period.
We have also made significant progress on several strategic initiatives this year, most notably the integration of Gulf Hotel into the Marriott Bonvoy loyalty programme of Marriott International, the development of exceptional dining experiences in the hospitality and restaurant sectors, and regional expansion. These efforts aim to support the Group's sustainable growth and enhance long-term returns for our shareholders.'
