Waterfront Hotel chain profit surges 29 times in H1

The Gatchalian-controlled hotel chain Waterfront Philippines Inc. reported an unaudited net operating profit of P146 million in the first half this year or more than 29 times the previous level, driven by the aggressive expansion of its international and domestic distribution network.

In a statement, Waterfront said its revenues rose eight percent to P939 million from P871 million while gross operating profit grew 15 percent to P392 million from P341 million a year earlier.

The group’s food and beverage division registered a 13 percent increase in sales to P345 million from P305 million. Its rooms division reported a five percent increase in gross receipts, posting P337 million worth of sales compared with P321 million a year ago.

Waterfront is shelling out another P250 million this year for the second phase of its renovation program, aimed at attracting more clients and further strengthening its hold as the largest Filipino-owned hotel chain in the country.

The second phase will cover the refurbishment of the guest rooms and suites of Waterfront’s four hotels – the Manila Pavillion Hotel and Casino, Cebu City Hotel and Casino, Mactan Airport Hotel and Casino, and the Davao Insular Hotel.

The first phase of the renovation program, completed last year, covered restaurants and public areas.

Of the programmed capital budget, P100 million will go to the Manila Pavilion Hotel and Casino to finish close to 150 deluxe rooms and suites. Last year, the company spent P60 million to renovate 150 superior rooms in Manila Pavillion.