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Sea Pearl profits shoot up over four times in FY23

Staff Correspondent
26 Oct 2023 20:14:55 | Update: 26 Oct 2023 20:14:55
Sea Pearl profits shoot up over four times in FY23

The profit of Sea Pearl Beach Resort & Spa, the owner company of luxury hotel Royal Tulip in Cox’s Bazar, soared by 334 per cent or 4.3 times in the last fiscal year (2022–23).

The publicly traded company’s net profit surged to Tk 70 crore in FY23 from Tk16 crore in the year before.

This stellar profit growth was possible for a couple of reasons— the ease of the pandemic situation, effective revenue utilisation from hotel rooms, full-fledged operation of the water park, cruise ship revenue, the opening of non-AC restaurant, the company stated in its latest financial report.

The company’s board of directors declared a 17 per cent cash dividend for its general shareholders only for the fiscal year 2022–23, the highest since its listing.

The company was listed on the stock market in 2019. That year, it had paid a 5 per cent bonus dividend. The company had paid a 1 per cent cash dividend for 2020 as well as for 2021.

It gave a 15 per cent dividend in FY22.

As per its last audited financial statement, the company’s earnings per share (EPS) stood at Tk 5.81 for FY23, which was Tk 1.34 for FY22.

The company is scheduled to hold a virtual annual general meeting (AGM) on December 26, while the record date is fixed for November 30.

The company’s total revenue stood at Tk 198 crore in the last fiscal year, which was Tk 92 crore the previous fiscal.

At a time when foreign investors have gradually been leaving Bangladesh’s capital market in fear of capital erosion and the country is battling a severe dollar crisis, Sea Pearl Beach Resort and Spa confirmed a Tk 350 crore investment from an overseas investor recently.

GEM Global Yield LLC SCS, a Luxembourg-based private alternative investment group, has agreed to buy a total of nearly 1.62 crore shares from ordinary and placement shareholders of the company.

The securities regulator, Bangladesh Securities and Exchange Commission (BSEC), also gave its nod to proceed with the matter.

Md Aminul Haque Shamim, managing director at Sea Pearl, said out of the fund, they would spend Tk 100 crore to repay loans, while Tk 100 crore would be invested for business expansion. The remaining amount would be invested in the capital market and other potential sectors.

“GEM Global Yield LLC SCS has billions of dollars of investment in many countries across the globe, and they have entered Bangladesh through the investment in Sea Pearl Beach Resort and Spa. It is a milestone for us as well as for Bangladesh’s stock market,” he added.

Starting the journey in September 2015, on 15 acres of land in Inani, Cox’s Bazar, the 5-star category resort has 493 rooms and suites. After its inception, it has become a favourite place for tourists in Bangladesh. All the facilities have now made it the world’s best seaside resort, according to the company.

Earlier in January this year, Sea Pearl Beach Resort and Spa was named global winner for ‘Global Luxury Seaside Resort’ by 2022 World Luxury Hotel Awards. The Resort’s Exclusive Spa also won the Best Luxury Health and Fitness Spa Award, stated a press release.

The prestigious award was announced in Anatalya, Turkiye. General Manager of the group Azeem Shah also won the 2022 Best General Manager award.

Winning three awards at The World Luxury Hotel Awards in a single year is a big achievement for the hospitality industry of Bangladesh.