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Banyan Tree records $31.7 mil FY2023 earnings, declares 1.2 cents dividend

Banyan Tree CEO Eddy See: This performance in FY23 is not only a financial success but also stands as a testament to our resilience post-pandemic (Photo: Albert Chua/The Edge Singapore)

Hotel operator Banyan Tree Holdings recorded earnings of $31.7 million for the FY2023 ended Dec 31, 2023, a significant increase over its earnings of $767,000 in FY2022 when the company first reversed into the black after the Covid-19 pandemic.

This comes on the back of a 21% y-o-y increase in revenue to $327.9 million in FY2023, with all operating segments recording better performances as tourism rebounded.

The company recorded a surge in FY2023 operating profit, which more than doubled to $90.1 million. Core operating profit also experienced a substantial increase to $51.9 million, contributing to FY2023 earnings.


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Other income also more than doubled to $51.1 million during the same period.

For FY2023, total costs and expenses increased by 14% y-o-y to $288.9 million as all three of Banyan Tree’s key portfolio segments — hotel investments, fee-based and residences — posted growth.

For the full-year period, the company recorded a significant 35% increase in hotel revenue per available room (RevPAR), and record-breaking $377.7 million in sales for its residences segment.

Banyan Tree has declared a final dividend of 1.2 cents for FY2023. No dividends were paid in FY2022, as the company said it had not returned to pre-pandemic operating performance levels.

“This performance in FY23 is not only a financial success but also stands as a testament to our resilience post-pandemic,” says CEO Eddy See. “We've not only navigated through the storm but emerged stronger and more dynamic, evidenced by the expansion of our multi-brand portfolio and the positive outlook going forward.”

In 2023, Banyan Tree achieved a milestone with 13 new hotels and resorts, totalling 75 properties. Notable additions include its hotel in the United Arab Emirates with Banyan Tree Dubai, the debut of the first Folio property in Japan and the entrance of Garrya in Indonesia.

The company says the re-acquisition of its China management arm will also enhance its position in the strategic country.

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Banyan Tree says the launch of its umbrella corporate brand, Banyan Group, at the beginning of 2024 signals a strategic shift for substantial growth, doubling its brand portfolio over the last three years and with more than 120 properties in its future pipeline.

Shares in Banyan Tree closed 0.5 cents lower or 1.56% down at 31.5 cents on Feb 23.

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