Orascom DH closed its first quarter with sales up by a third to 141.9 million francs. Ebitda operating profit jumped 27.6% to 37.5 million and net profit to 10.0 million, after a net loss of 2.6 million a year earlier.
The hotel sector recorded a strong recovery during the period under review. The El Gouna destination in Egypt posted an occupancy rate of nearly 61% (26% in the 1st quarter of the previous year, in the midst of the pandemic). The hotels benefited from the return of Swiss and German tourists as well as local demand. Hotel turnover increased to 29.8 (10.6) million francs.
This segment also found the black figures, with an Ebitda of 5.2 million francs (loss of Ebitda of 2.4 million in 2021). This good result was obtained despite the headwind linked to the omicron variant of the coronavirus during the first two months of the year and the war in Ukraine from the end of February.
Demand also increased for the Real Estate division, whose turnover increased by 12.8% to 94.1 million francs. Growth was driven by the acceleration in the pace of construction for all projects, particularly in Egypt. The segment’s adjusted EBITDA remained stable at 37.5 million francs. Property sales decreased to 133.0 (145.8) million.
Destination Management has improved its operational performance. Turnover increased by 44% to 18 million and adjusted Ebitda was 2.9 (0.6) million.
Due to geopolitical and economic uncertainties, the group is still renouncing to make forecasts for the whole of the current financial year. The situation remains unstable. Energy and commodity prices rose sharply and inflationary pressure increased. Despite all these uncertainties, Orascom DH sees no sign of a significant decline in business.
In the hotel sector, demand from German-speaking tourists is expected to increase further in El Gouna. The group also wants to attract local tourists, who make up more than 46% of hotel customers. In the real estate sector, construction will be accelerated in order to meet contractual deadlines and deliver objects on time.
This article has been published automatically. Source: ats/awp