Jumeirah results ‘stellar’ with new resorts in the works

More Chinese and Saudi tourists for the Dubai luxury hotel company.

Jumeirah Group enjoyed a “stellar” 2013 and has enjoyed strong performance in the first few months of this year as more Chinese and Saudi Arabian tourists checked in to properties around the world, the Dubai-based luxury hotel company said yesterday.

Travellers from the UK continued to spend the most nights at the hotel, representing 16.4 per cent of total room nights sold. Their spending also increased by more than a quarter. Russians continued to be the largest source of revenue, accounting for 16 per cent of the total last year. That represents an 11 per cent increase from a year earlier.

Business generated by Saudi Arabian travellers rose 33 per cent; Chinese business jumped 32 per cent. The partnership between Qantas and Emirates Airline resulted in business from Australians growing 70 per cent.

“2013 was a stellar year for Jumeirah Group,” said Gerald Lawless, the chief executive. “The first quarter of 2014 has seen that momentum continue with strong occupancy in our hotels, restaurants and other businesses [and] strong demand for new hotel projects both in the Gulf region and internationally.”

Group revenues and operating profit both rose 8 per cent. Occupancy and average room rates increased by 5 per cent, contributing to an 11 per cent growth in revenue per available room. Food and beverage revenue rose by 7 per cent.

Jumeirah has one hotel in China – the Jumeirah Himalayas Hotel in Shanghai. The group has plans for five additional properties – in Guangzhou, Hangzhou, Sanya, Macau and Qindaohu. It also has plans for a resort in Bali and a city hotel in Mumbai. These are expected to be handed over to Jumeirah to operate between 2015 and 2017.

During 2013, Jumeirah also agreed to operate a hotel in St Petersburg and two hotels in a luxury resort on the coast of Oman, near Muscat. Both are scheduled to open in 2016. The company expects to announce more management agreements this year.

In the UAE, construction work started on a 435-room luxury beachfront hotel to complete the Madinat Jumeirah resort. This is expected to open in early 2016.

Follow us on Twitter @Ind_Insights