Bangkok--15 Aug--Minor Internationals
Minor Internationals (MINT) 1H11 net profit was up 63% on higher profits in both 2Q11 and 1Q11. 2Q11 net profit increased 254% YoY to Bt 279 million as revenues were up 55% YoY to Bt 6,271 million. Net profit was up in 2Q11 as MINT booked an additional profit from the sale of residential units at the St Regis in Bangkok and Baht 114m in only one months profit from its very recent acquisition of 100% of Oaks Hotels and Resorts in Australia. At the same time, MINTs restaurant and retail business performed well in 2Q11 achieving profit increases of Baht 47m and Baht 22m, respectively. The gains from residential sales, the Oaks acquisition and strong performance from the restaurant and retail businesses were only partially offset by lower profit from the hotel business as a result of the two newly opened hotels, St. Regis Bangkok and Anantara Kihavah, and higher corporate administrative costs. MINTs YoY performance in 2Q11 was up compared to 2Q10 which was directly affected by the violent political protests in central Bangkok during April and May 2010.
In 2Q11, MINTs hospitality business, which profits from having company owned resorts, managing resorts for others, selling residential properties and selling timeshares, achieved a 186% increase in EBITDA. In 2Q11, MINTs success in selling the residences at the St. Regis continued having recognized an additional 8% of the sellable areas and increased the total areas recognized to 30%. In addition, MINT succeeded in its effort to invest A$ 84m to acquire 100% of Oaks Hotels and Resorts (Oaks) through tender offers on the Australian Stock Exchange and compulsory acquisition. MINT is delighted to have succeeded in acquiring Oaks as it is one of Australias largest and fastest growing hotel and resort operators with more than 36 properties and an inventory of more than 5,000 rooms located throughout Australia, New Zealand and Dubai. In addition to increased earnings, the acquisition of Oaks provides MINT with another branded chain of hotels and resorts as well as exposure to the growing Australian and New Zealand travel and tourism market. For the six month period ending 31 December 2010, Oaks achieved an EBITDA of A$ 19m.
In 2Q11, MINTs restaurant business achieved an 11% increase in EBITDA due to a 12.3% increase in same store sales and the addition of 46 new outlets system wide. Meanwhile, MINTs lifestyle brand distribution and contract manufacturing business also performed well with a 149% YoY increase in EBITDA.