BHG Reaches New Records in the First Quarter of 2011
Net Revenue for hotel operations came to R$40.8 million in 1Q11, up 84.6% on 1Q10
Hotel segment EBITDA in 1Q11 is 101.7% higher than 1Q10
SAO PAULO, May 12, 2011 /PRNewswire/ -- BHG S.A. - Brazil Hospitality Group (BM&FBOVESPA: BHGR3) announces record results for the first quarter of 2011. BHG's hotels reached an average occupancy rate of 65.3% and average daily rates of R$225.6 million in 1Q11. RevPar reached R$147.4, up 14.7% and 3.2% over 4Q10 and 1Q10 respectively.
BHG's growth and scale gains are evident considering that, while BHG's Net Revenue grew by 84.6% (from R$22.1 million in 1Q10 to R$40.8 million in 1Q11), hotel segment EBITDA increased by 101.7%, from R$6.6 million to R$13.2 million in the same period. EBITDA margin from the hotel segment reached 32.4% in 1Q11, 2.7 p.p. more than in 1Q10.
The Company's Consolidated EBITDA (which includes hotel segment EBITDA, real-estate development activities and corporate expenses) reached R$7.2 million in 1Q11, up R$6.8 million over 1Q10. The increase was due to the improved hotel segment EBITDA in the quarter and lower real estate development expenses for beach sites. The Company's consolidated EBITDA margin stood at 17.7% in 1Q11, up 15.9 p.p. on the margin recorded in 1Q10 (1.8%) and 2.5 p.p. higher than the margin obtained in 4Q10 (15.2%). Net income earned by BHG in 1Q11 was R$6.3 million, versus losses of R$1.2 million in 1Q10 and R$0.7 million in 4Q10.
Comparing the same hotels at the end of 1Q11 with the same hotels which BHG had in 1Q10 ("Same Store Sales"), a slight year-on-year increase in the occupancy rate of 0.3 p.p. can be observed, from 68.2% in 1Q10 to 68.5% in 1Q11, even with the significant increase in the average daily rate, which grew by 10.8%, from R$209.5 in 1Q10 to R$232.2 in 1Q11. Therefore, there was an increase of 11.3% in RevPar in 1Q11 over 1Q10. Maintaining a high occupancy rate and still obtaining an increase in the average daily rate is the result of improvements made by BHG in its hotels, as well as the excellent moment of the business tourism market.
EBITDA Margin ("Same Store Sales") went up from 28.5% in 1Q10 to 37.7% in 1Q11 as a result of operational management focused on maximizing income without impairing the quality of service offered to the client.
BHG closed the first quarter with R$179.5 million in cash and debt of R$159.5 million.
Press Services
BHG S.A. – Brazil Hospitality Group
Fernanda Pannunzio
[email protected]
11.3577.2302 / 11.9668.7249
SOURCE BHG S.A. - Brazil Hospitality Group
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