The released consolidated results include the first half of the financial year 2016/17 (the period from November 1, 2016 to April 30, 2017).
“Compared to prior seasons, we experienced a rather favorable weather this past winter. Snow conditions were great, even at the beginning of the season, which reflected on the growth of the visit rate in our resorts in both Slovakia and Poland. During Christmas holidays and the ‘Golden week’ our hotels were yet again fully occupied. Among the Tatra attractions Tatra Ice Dome at Hrebienok with a Gothic motive, ice sculptures and a regular music program was the most popular one again this past season. The number of skier days in the mountain resorts rose year-over-year by 13.3%. In total our revenues grew 8.5%, and our operating profit before depreciation improved 24.5%. Net income reached EUR 11.0 mil. The unique product on the Slovak market – Smart season pass, the loyalty program GOPASS, and growing online ski pass sales also contributed to the positive results. The results clearly show that our clients registered in our loyalty program are more satisfied with the offered products and services that are customized for them. With these special deals aimed to satisfy clients’ unique needs we are able to offer higher quality services at attractive rates. We see our cooperation with all the lodging operators who utilized our ‘Ski pass on the pillow’ service as a successful one, as well as our cooperation with district tourist organizations. We believe that this setup will continue to work also in the upcoming summer season. By the end of the year we still have extensive capital investments ahead of us in both Tatra and Polish resorts, leisure parks, and real estate projects, which are expected to positively impact our results in periods to come,” Chairman of the Board of Directors and CEO of TMR, Bohuš Hlavatý, commented on the results.
For the observed six-month period the TMR Group (Tatry mountain resorts, a.s. and its subsidiaries) achieved consolidated total revenues of EUR 50.7 mil., an 8.5% increase yearover-year.
The main segment of Mountains & Leisure recorded a revenue increase of 20.5% to EUR 39.2 mil., out of which Mountain Resorts improved 21.9%; Leisure Parks grew 15.8%; Dining posted a 20.9% growth; and Sport Services & Stores recorded a 13.5% increase. The results were impacted by growth in the visit rate, especially in the Szczyrk resort, by growth of average revenue per visitor and online ski pass sales, mainly season passes. Mountain Resorts were visited by total of 1.5 million visitors (skier days), 13.3% more than the prior season. For the observed period Leisure Parks recorded a 2.8% increase in the number of visitors in total of 216 thousand, whilst Legendia – Silesian Amusement Park was closed during the winter season. The average revenue per visitor in Mountain Resorts rose 4.7%. Aquapark’s average revenue per visitor was up by 6.6%, in the dining facilities on the slope and in Tatralandia the client spent on average 12.8% more than last year, and Sports Services & Stores reported a 5.9% higher spending per visitor.
The Hotels segment boosted total revenues with a 16.6% growth to reach EUR 11.4 mil. mainly thanks to the average rate increased by 7.3% on the hotel portfolio’s level, whilst occupancy decreased by 2.1 percentage points. The results were again supported by full capacity of the hotels, especially in peak periods, such as New Year’s and “Golden week” (the period after Christmas till Epiphany), the takeover of the operation of Hotel Kukučka, and efficient marketing and sales customized to clients’ needs.
In the Real Estate segment during the observed six-month period TMR reported revenues of EUR 139 ths. from the lease of the accommodation capacities – Kosodrevina Lodge, Hotel Ski & Fun, Hotel Liptov, and Lodging Otupné.
EBITDA increased by 24.5% year-over-year to EUR 21.3 mil. The growth of EBITDA was achieved especially by the sale of bungalows Holiday Village Tatralandia, by Mountain Resorts, costs of which are mostly fixed; as well as by Hotels and efficient management. Net income grew 101.4% to EUR 11.0 mil. Earnings per share were EUR 1.691.
By the end of FY 2016/17 the Board of Directors expects to meet the financial plan of a 10.8% growth in revenues to EUR 90.0 mil. and a 15.5% EBITDA growth to reach EUR 29.0 mil. TMR’s results till the end of FY 2016/17, i.e. till 31 October 2017, will be impacted by the summer season in the mountain resorts, leisure parks, TMR hotels, as well as in ancillary services.
For more detailed results visit http://tmr.sk/investor-relations/financial-information/.
Tatry mountain resorts, a.s. (TMR) is the leader in tourism in Central and Eastern Europe; it owns and operates attractive mountain resorts, amusement parks, restaurant facilities, sports services, shops and hotels. In the Low Tatras TMR owns and operates the resort Jasná Nízke Tatry and hotels Wellness hotel Grand Jasná, Boutique Hotel Tri Studničky, Chalets Jasná De Luxe, Hotel Srdiečko, and Hotel Rotunda. TMR is also the owner of Aquapark Tatralandia, the largest Slovak aquapark with year-round operation, which besides water entertainment includes Tropical Paradise, a special tropical indoor hall with sea water, as well as Fun Park, and accommodation in bungalows and apartments of Holiday Village Tatralandia. In the High Tatras TMR owns and operates the resort Vysoké Tatry with mountain areas of Tatranská Lomnica, Starý Smokovec, and Štrbské Pleso, which TMR co-manages. In the High Tatras TMR also owns hotels Grandhotel Praha Tatranská Lomnica, Grandhotel Starý Smokovec, Hotel FIS Štrbské Pleso and Mountain hotel Hrebienok. TMR also owns a 9.5 % share in Melida, a.s., which leases and operates the resort Špindlerův Mlýn in the Czech Republic. In Poland TMR owns a 97% share in the mountain resort Szczyrkowski Ośrodek Narciarski S.A. (SON), a 75% share in a company that owns and operates Silesian Amusement Park (Śląskie Wesołe Miasteczko) and a 7.3% share in an amusement-educational project via the Polish company Korona Ziemi Sp. z.o.o. TMR also owns and leases hotels Slovakia, Kosodrevina, Liptov and Ski&Fun Záhradky a Bungalovy to third parties. By the end of 2016 EUR 230 mil. had been invested into development and modernisation of TMR’s resorts. TMR shares are traded on three European stock exchanges – in Bratislava, Prague, and Warsaw.