KUALA LUMPUR: Shangri-La Hotels (Malaysia) Bhd is upbeat on business performance this year as leisure and corporate demand for hospitality regionally is on the higher levels currently.
Managing director Kay Kuok Oon Kwong said Asian tourists, especially the Chinese, are one of the biggest contributors to its hotel revenue for both segments.
"We expect to continue the positive trend in the leisure and business markets. With increased demand, we are increasing our efforts to earn higher revenue for our group's hotel business by expanding our marketing initiatives in key target markets by leveraging on distribution, marketing and sales platforms,” he said after the Shangri-la Annual General Meeting (AGM).
“Also, the newly upgraded and superior facilities at Shangri-La Hotel Kuala Lumpur and the enhanced room product at Hotel Jen Penang should support a further growth in revenues,” he added.
Kay said the group is currently reviewing the development of its landbank in Sabah, with focus on increasing the operation of its hotel chain there.
He said Sabah which has a very high potential for tourism development.
During the financial year ended December 2017, the group's revenue increased by eight per cent to RM550.565 million from RM508.559 million the previous year.
The group's pre-tax profit last year was RM109.660 million, up 3 percent from RM106.277 million in 2016 while operating profit also rose eight per cent to RM114.381 million from RM105.713 million in the previous year.