MINT Reports THB1.14 Billion Net Profit in 1Q24 with Strong Near-Term Outlook

Minor International Public Company Limited (SET: MINT) today announced its first quarter 2024 financial results, posting a net profit of THB 1,146 million in 1Q24 notwithstanding 1Q being the low season for its most significant contributor, its European hotel business. This profit represented a significant improvement from a THB 976 million loss in 1Q23 and was attributable to stronger performance across all business units as well as favorable foreign exchange movements.

At the core level, MINT recorded a core net loss of THB 352 million in 1Q24 (due to aforementioned seasonality of the European hotel business), representing a 46% improvement (less loss) from a core net loss of THB 647 million in 1Q23. MINT’s hotel and restaurant businesses both reported robust financial performance in 1Q24 from continued rising demand, which enabled the Company to implement strategic dynamic pricing, drive increased dine-in traffic and lock in further cost optimization.

Minor Hotels Thailand, Minor Hotels Australia and Minor Food all saw double-digit year-on-year growth. Meanwhile, Minor Hotels Europe and the Americas outperformed expectations by narrowing their y-y quarterly losses.

Following the interim cash dividend payment of THB 0.25 per share announced in 3Q23 with respect to its operating performance during the first half of 2023, MINT declared a further cash dividend payment to shareholders in 1Q24 of THB 0.32 per share reflecting its strong 2H23 operating performance. Together, the total cash dividend payment for 2023 amounted to THB 0.57 per share, representing a dividend payout ratio of 45.1%-well in excess of its dividend policy to pay a dividend of more than 30% of net earnings. This cash dividend payment was made possible by higher-than-expected financial results, an improved balance sheet position, strong cash flow generation from operations and promising outlook for continued business recovery momentum throughout 2024.

For Minor Hotels, the sustained increase in travel activity across geographies and MINT’s ability to increase average room rates drove 21% and 35% surges in 1Q24 RevPar compared to prior year and pre-pandemic (2019) levels, respectively. Continuous improvements in both leisure and corporate segments in Europe led average occupancy and room rates to rise as well, with Spain seeing the strongest y-y RevPar outperformance, followed by Benelux, Latin America, Central Europe, and Italy.

Thailand also benefited from the increasing international tourism, resulting in a 25% y-y RevPar surge. The figure exceeded pre-pandemic levels by 22% with an occupancy rate reaching 81%, on par with 2019, while room rates exceeded 2019 levels by 23%. Notwithstanding macroeconomic headwinds including higher interest rates and continued inflationary pressure, Minor Hotels continued to capture higher profit margins compared to 2023.

Minor Food recorded 3% y-y total system sales growth in 1Q24, due to the addition of new outlets in Thailand, Singapore, and the acquisition of the Sizzler brand trademark, which enabled us to consolidate existing franchised stores in Japan. Minor Food’s key brands, particularly in Thailand, saw improved sales figures due to increased customer frequency and docket growth, driven mainly by product innovations.

Meanwhile, Minor Food’s bottom line grew at a much stronger rate, increasing 29% y-y. This was mostly due to favorable flow-through for most Thailand brands, robust performance of its manufacturing business, as well as improved performance of key joint ventures. Effective cost management and higher productivity also helped drive these impressive achievements.

MINT’s balance sheet continues to strengthen as well as its net interest-bearing debt to equity ratio reduced from 1.01x at the end of 2023 to 0.98x at the end of 1Q24, mainly driven by improved financial performance combined with MINT’s active capital structure management. This will provide further opportunity for expansion, optimize cost of funds, enhance earnings growth power, and help ensure long-term financial stability going forward. The recent Minor Hotels Europe & Americas’ credit rating upgrade from Fitch Ratings further underlines MINT’s improving financial outlook.


The second and third quarters are the high season for MINT’s most significant earnings contributor, its European hotel business. On top of healthy leisure demand and series of conventions and trade fairs, Minor Hotels Europe & Americas will be a key beneficiary of sporting and entertainment events including the Summer Olympics, UEFA Euro 2024 and music concerts, given its portfolio’s strong footprint in prime urban locations. In tandem with rising demand and hotel brand upgrade initiatives, average room rates are expected to see further increases.

Total revenue in April continued to increase with double-digit growth, while forward bookings in May also posted 12% growth above last year. Increasing flight capacity in Asia, together with hotel renovations and optimization of distribution channels have led Thailand room revenues in April and on-the-book values in May to surpass 2023 levels by 15% and 26%, respectively.

Meanwhile, Minor Food is looking to grow repeat sales from loyal customers and drive new customer acquisitions. Strategies include introducing exciting new products, rolling out special limited time events and driving membership programs, underpinned as always by a focus on operational excellence. Minor Food will also continue to expand its presence in Asia with the debut of Sizzler in Vietnam, The Pizza Company in Singapore and further growth of its recently-acquired Dairy Queen business in Indonesia.

Mr. Dillip Rajakarier, Group CEO of MINT, commented, “We are pleased to deliver such an impressive performance in 1Q24. Hotel forward-bookings are robust, as is the strength of our restaurant platforms, pointing to another good year ahead. Even so, we continue to drive our strategic objectives of achieving asset-right, organic growth, while simultaneously deleveraging our balance sheet to work towards driving even better returns and stronger results for all stakeholders going forward.”