Queensland drives Mantra profit rise

Queensland drives Mantra profit rise
By admin


A strong performance by Mantra Group’s Queensland properties saw the hotel firm finish 2012/13 with profits up 5% year on year.

The hotel firm reported an EBITDA profit of $63 million for the year during which it added more than 1000 rooms to its network of 114 properties.

The Queensland region led the growth, with Mantra’s three Peppers and eight Mantra resorts in North Queensland seeing a profit uplift of 38%. The region saw average daily rates rise 8.7% with “consistently strong” occupancies year round.

“Australians were looking for the ease of a domestic holiday in a destination that offered a diverse choice of experiences,” Mantra chief executive Bob East said.

“The combination of natural attractions, family friendly accommodation and great food and wine combined with the fall in the Australian dollar benefitted the region.”

Meanwhile, the group's CBD properties performed either on par or ahead of the market, with Sydney a standout as its Revpar rose 20% in the last quarter. Darwin also showed good growth, fuelled in part by the mining sector, with an 11% rise in occupancy and 6% growth in average daily ratae.

The year also saw Mantra extend its reach into Asia with the opening of its first property in the region in March – Mantra Nusa Dua in Bali. A further six properties in the destination will join its portfolio by the end of the year.

“We see Indonesia as a very attractive growth destination,” East said.

“It is short-haul with consistent and inexpensive air access, has an attractive exchange rate and is already popular with Australian and New Zealand leisure visitors plus its own growing consumer class opens up great opportunities for domestic travel.”

The group’s annual earnings have grown by more than $16 million over the past four years.

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