DUSIT Announces Highest Quarterly Results since Pandemic as Revenue Tops THB1.7 Billion in 4Q22

Dusit Thani Public Company Limited (DUSIT), one of Thailand’s leading hotel and property development companies, has announced its financial results for 4Q22 (October – December), including total revenue of 1,723 million baht; Earnings Before Interest, Taxes, Depreciation, and Amortization (EBITDA) of 446 million baht; and a net profit of 46 million baht.

“Reflecting overall business recovery, this is the highest quarterly revenue we have recorded since the start of the pandemic in 2019,” said Ms Suphajee Suthumpun, Group CEO, Dusit International. “The results also reflect positive core EBITDA for five consecutive quarters and an encouraging decrease in net loss compared to several previous quarters.”

In 4Q22, excluding non-recurring items, DUSIT’s net loss decreased to -107 million baht, a significant improvement on the same period of 2021, when a net loss of -303 million baht was recorded. It is also is lower than the net loss of -109 million baht announced in 3Q22.

Ms Suthumpun said that Dusit’s recovery is driven by continuous improvements across its four core business units, including Dusit Hotels and Resorts, Dusit Hospitality Education, Dusit Foods, and Property Development, as well as an increase in other income, including gain from the change in fair value of investment properties and gain from the sale of land.

“Throughout the pandemic, we have sought to turn challenges into opportunities across all our lines of business and ensure we are ready for maximum value generation in the post-pandemic world,” said Ms Suthumpun. “For our hotel business, this has included creating and putting in place services, experiences, and activities to leverage the lifting of travel restrictions and the resulting influx of international tourists in each of our destinations. The signs have been especially positive in Thailand, where the number of visitors has been much higher than the tourism authority of Thailand predicted, and we expect this positive trend to continue in 2023.”

A significant increase in occupancy and revenue per available room during the second half of the year saw DUSIT’s hotel business revenue in 2022 reach 85% of its pre-pandemic hotel business in 2019. This was much stronger than the company’s forecast of 75%.

Dusit’s Food business also showed consistent growth driven by the gradual return of the company’s international school catering business as well as DUSIT’s 2Q22 acquisition of bakery production business, Port Royal, and its associated franchise pastry shop, Bonjour Bakery.

Education business revenue also improved in 2022, with onsite classes resuming at Dusit Thani College and Le Cordon Bleu Dusit Culinary School. 

In 2022, DUSIT’s total income increased by 49% YoY to reach 5,130 million baht. The recovery of the company’s core business resulted in EBITDA of 864 million baht, an increase of 67.8% from the previous year. Although the company had a net loss of -501 million baht, it marked a significant decrease from the previous year’s net loss of -945 million baht.

Excluding non-recurring items, the company’s core business performance improved, with a net loss of -595 million baht, a substantial decrease from the net loss of -1,204 million baht recorded in 2021.

To further enhance its business recovery, DUSIT is set to expand its core hotel and resort business in 2023 by opening 14 new hotels (comprising approximately 1,700 rooms) across seven countries in Asia and Europe. This expansion will bring the group’s global portfolio of Dusit Hotels and Resorts to a total of 62 properties (approximately 13,700 rooms) across 17 countries worldwide. More than 60 properties are in the pipeline and set to open over the next three-to-four years.

“Our expansion in 2023 includes bringing Dusit Hotels and Resorts to Japan for the first time, with two beautiful properties in the country’s renowned former capital, Kyoto,” said Ms Suthumpun. “This includes ASAI Kyoto Shijo, opening in June, followed by Dusit Thani Kyoto, in September. We look forward to introducing these exquisite properties and other exciting travel experiences to our guests and customers throughout the year.”