Michael Marshall, CEO of S Hotel and Resort Public Company Limited, revealed that the recovery of the global tourism industry throughout 2023, along with the strategic locations of our hotels in key destinations, has contributed to S Hotel and Resort achieving its goal of generating over 10 billion baht in total revenue and maintaining its position as the second highest revenue-generating hotel management company in Thailand. The renovation of hotels has also played a significant role in increasing the average daily room rates in Thailand and Fiji by 20%.

The recent launch of SO/Maldives, a 5-star resort in November, has further strengthened the CROSSROADS Maldives project, catering to the diverse needs of international tourists and establishing CROSSROADS Maldives as the leading comprehensive lifestyle and leisure destination in the Maldives.

In 2024, S Hotel and Resort will focus on enhancing profitability, aiming for total revenue of 12 billion baht through four strategies:

Driving Efficiency and Growth The company plans to elevate its EBITDA Margin by 3-5% through three growth factors: the average revenue per available room (RevPAR), which is targeted to grow by 25% due to strong booking rates in the Maldives in the first quarter; and the average daily rate (ADR), expected to increase by 20% from hotel renovations in Fiji and Thailand, as well as the launch of SO/Maldives.

Additionally, the company aims for a 15% growth in non-room revenue, focusing on delivering unique food and beverage experiences aligned with the brand, planning to launch beach clubs at all resorts under the SAii brand, and catering to MICE market demands through event services, including weddings and business meetings. In terms of business operations, S Hotel and Resort will enhance its centralized procurement system and improve cost control without compromising service quality, which is expected to result in a 20% increase in gross profit.

Unlocking Portfolio Potential The company will enhance the value of high-potential assets, targeting an internal rate of return of 12-15% through hotel renovation plans in Thailand, specifically at Saii Laguna Phuket and Saii Phi Phi Island Village. In the UK market, the company will implement strategies to attract new customers and rebrand hotels in key tourist destinations such as Manchester, Edinburgh, Leicester, and Glasgow.

Unlimited Growth The company plans to elevate the SAii brand, establishing it as a destination for sustainable luxury tourism, instilling confidence in travelers that their stay will have minimal environmental impact, and forming strategic partnerships to deliver exclusive lifestyle products and special packages.

The goal is to increase the number of hotels in the portfolio to at least 50 within five years, operating under an asset-light business model, such as hotel management contracts or acquiring high-potential assets and joint ventures, which will lead to doubling the size of the portfolio and total revenue.

Pioneering New Markets S Hotel and Resort has allocated a 15 billion baht investment budget for mergers and acquisitions over the next five years, focusing on tourism destinations in Europe, the Mediterranean, the UK, the Indian Ocean, the Asia-Pacific region, and Fiji, to diversify the company's portfolio and create sustainable revenue growth while reducing seasonal volatility in its hotels.

In 2024, the company aims to reduce carbon dioxide emissions by 5% annually, in line with Thailand's plan to cut greenhouse gas emissions by 40%. The installation of solar panels in hotels in Thailand and the Maldives, including SO/Maldives, is expected to reduce carbon emissions by up to 20%.

Furthermore, the company will enhance the guest experience by implementing various sustainability projects, including educational activities at marine learning centers in Phi Phi Island and the Maldives, aiming to welcome over 50,000 visitors in 2024.