Today TMR released its interim financial results of the first quarter of the financial year 2013/14 – the period from 1 November 2013 to 31 January 2014. For the given period TMR reported revenues of EUR 15.2 mil., a 13.4% growth year-over-year, and earnings before interest, taxes, depreciation, amortization (EBITDA) in the amount of EUR 2.9 mil., a 12.7% decrease.
“Despite the extremely mild and dry winter in the first half of the 2013/14 season, we were ready, we launched the season on time, and we were able to provide our visitors with favorable skiing conditions, incomparable to most local resorts. Moreover, thanks to our diversified business model we were able to compensate for any drop in skier days with sales in Aquapark Tatralandia and other après-ski activities“, Bohuš Hlavatý, CEO and Chairman of TMR’s Board of Directors, commented on the results.
The revenue growth can be explained with excellent technical equipment of TMR, its modern snowmaking system with a wide scope of coverage, and with TMR’s competitive advantage thanks completed massive investments into development of the resorts. TMR grew mainly in the Aquapark segment (+46.8%) thanks to its successful Tropical Paradise, which was visited by 33% more visitors than last year. In Mountain Resorts TMR recorded a decrease in visitors by 5%, although sales increased thanks to higher average revenue per visitor (+6.4%). The Hotels segment also boosted total sales with its growth of 27.1% thanks to increased visit rate of Russian-speaking clients during the Golden week and higher average daily rate (+65.6%).
The 12.7% EBITDA decrease was caused by increased expenses for snowmaking, marketing, the new loyalty system GOPASS, and by increased operating expenses related to the launch of new cableways Tatranská Lomnica in the resort Vysoké Tatry and in Jasná, Lúčky.
The results of the winter season till the end of the first half of 2013/14 will be impacted by this year’s mild winter, as well as by late Easter holidays. On the other hand, TMR compensated any unfavorable weather conditions with successful Aquapark Tatralandia. Management expects that TMR will achieve year-end operating revenues for 2013/14 of EUR 57.6 mil., which would be a growth of 5.9%. EBITDA is planned at EUR 19.1 mil., which is by EUR 490 ths. more than last year.
More detailed results for 1Q 2013/14 are available at http://tmr.sk/investor-relations/financial-information/.
Tatry mountain resorts, a.s. is the leader in tourism in the Central and Eastern Europe; it owns and operates attractive mountain resorts 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 Million Star Hotel. 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 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, and Hotel FIS Štrbské Pleso. TMR also owns 19% in Melida, a.s., which leases and operates the resort Špindlerův Mlýn in the Czech Republic. In Poland TMR owns the Szczyrk resort. TMR also owns and leases to third parties hotels Slovakia, Kosodrevina, Liptov and Ski&Fun Záhradky a Bungalovy. By the end of 2013 nearly EUR 190 mil. have been invested into development and modernization of TMR’s resorts. TMR shares are traded on three European stock exchanges – in Bratislava, Prague, and Warsaw.