Hotel Shilla said in a filing on the 24th that its preliminary first-quarter results came to 1.0535 trillion won in revenue and 20.4 billion won in operating profit. Revenue rose 8.4% from a year earlier, and operating profit swung to a surplus.
The company said the results reflect its focus on securing a stable revenue base despite a challenging external environment. The TR institutional sector, which handles the duty-free business, continues to face sluggish conditions due to the strong won-dollar rate and a global economic slowdown, but it is concentrating on improving its business structure through profitability-centered, solid management.
Hotel Shilla plans to continue to build a stable revenue structure in the TR institutional sector and respond swiftly to changes in internal and external conditions and trends in the duty-free market.
The hotel & leisure institutional sector was assessed to have maintained steady momentum in the first-quarter off-season, helped by the opening of new hotels and an increase in foreign tourists. Hotel Shilla is strengthening its competitiveness based on a three-brand system consisting of the top-tier luxury brand "The Shilla," the upper-upscale hotel "Shilla Monogram," and the upscale hotel "Shilla Stay."
A Hotel Shilla official said, "Amid a full-fledged stabilization trend, we will focus more on solid management to deliver continued results."