14th November 2022, Chennai: One of India’s leading leisure hospitality brands, Sterling Holiday Resorts Ltd. recorded a profitable Half Year with a consolidated EBITDA of Rs. 56 Cr and a PBT of Rs. 32 Cr with a total income of Rs. 184 Cr. This was on the back of a consecutive second quarter of profits this year with a consolidated EBITDA of Rs. 16 Cr for the quarter. The company reported an operating free cash flow (OFCF) of Rs. 46 Cr for the half year.
Compared to the same quarter last year, the resort business reported a 74% growth in revenues, powered by an increased guest ratio from 54% to 62%, increased occupancies at 53% compared to 46%, a 23% growth in room rates and a focused drive to increase food and beverage revenue while maintaining cost efficiencies. Compared to pre-pandemic levels, the resort revenues grew 48% with better occupancies and a 54% increase in room rates.
The membership business too has strengthened with higher down-payments, an increased average ticket size and with sales from variable cost channels crossing the 50% mark leading to reduction in operating costs for this business and thus increasing the EBITDA for this business to 48% from 30% for quarter 2 last year.
Sterling’s resorts have been rated very highly by customers – 23resorts are rated 4.5 or more (on a 5-point scale) on Trip Advisor, with 2 resorts consistently rating 5 on 5. 12 resorts are ranked No.1 in their destination. Sterling Ooty Elk Hill won the Tamil Nadu Tourism award for “Best Leisure Hotel”.
