Jetwing eyes improved western ties for growth
View(s):Jetwing Chairman Hiran Cooray has pointed out that the changed political climate has improved relations with countries in Western Europe that serve the island nation’s highest arrivals during winter. In releasing the Jetwing Lighthouse financial results for 2014/15, he noted that with relevance to Jetwing Lighthouse, Western Europe is a key market and that during the winter season, 60-70 per cent of its income was derived from customers from this region – and this status quo was set to continue in the ensuing years.
In this respect, he pointed out that with a new administration running the country this year the country’s foreign policy too had been “realigned with a more inclusive outlook towards some of Sri Lanka’s traditional markets.”
Despite profits before tax at Jetwing Lighthouse up by 3 per cent and revenue up by 7 per cent, the downward revision of the exchange rate of the Euro has challenged the hotel’s pricing against contractual obligations held with entities from Europe. Profit before tax was recorded at Rs.140 million this year compared to Rs.136 million the previous year. Profits after tax was recorded at Rs.129 million compared to Rs.122 million in 2014. Earnings per share too had grown by 6 per cent from Rs.2.66 in 2014 to Rs.2.81 this year.
Meanwhile, online bookings now accounts for 18 per cent of business received, up from 5 per cent three years back and this is expected to rise to 50 per cent within the next three years, the Chairman noted. Jetwing Lighthouse has moved out of the Small Luxury Hotels of the World branding since July this year as they were unable to obtain the desired benefits from such an association and due to the hotel’s strength in online marketing and brand positioning. Mr. Cooray states that Sri Lanka needs to position itself in the right markets and tailor an optimum mix that would allow the hotel to command more lucrative pricing.
Further he pointed out that the hotel would be positioned to become the “gateway to the South” and approach a more luxury oriented segment of travellers.