Hotel Shilla reported that during the first quarter of this year, it recorded a revenue of 971.8 billion won and an operating loss of 2.5 billion won as of the 25th. Although revenue increased by 0.9% compared to the same period last year, it turned into a deficit.
However, the first quarter results showed improvements in both revenue and profitability compared to the fourth quarter of last year (revenue of 947.8 billion won, operating loss of 27.9 billion won).
The revenue for the institutional sector in the first quarter was 827.1 billion won, which is a decrease of 0.4% compared to the same period last year. Domestic store sales fell by 21%, while airport store sales increased by 18.7%. The operating loss for the institutional sector was 5 billion won, marking a return to deficits compared to the same period last year.
Revenue in the institutional sector of hotels and leisure was 144.7 billion won, a decrease of 3.6%. Operating profit was 2.5 billion won, down 59.7%.
A representative from Hotel Shilla said, “The institutional sector will likely see a temporary visa-free entry for Chinese group tourists in the second half of this year, and we will strengthen our marketing activities accordingly to improve profitability.” They added, “In the institutional sector of hotels and leisure, we will continue to enhance our performance based on the competitiveness of our products and services.”