Minor Hotels recorded 450% core net profit growth in 2023 compared to the previous year, after reaching a new full-year core revenue record of THB 121.4 billion (approx. US$4.3 billion or AU$5.3 billion).

Revenue was up 25% on 2022 figures with topline total system sales reaching THB 157 billion (approx. US$4.4 billion).

The results reflect the group’s strong financial performance across most key markets, particularly its hotel operations in Europe and Thailand where core revenue grew 25% and 65% respectively.

“We are pleased to report our outstanding performance in 2023,” said Dillip Rajakarier, CEO of Minor Hotels and parent company Minor International Group.

“The results reflect the dedication and hard work of all our teams across all 56 countries. As we move forward, our focus remains on expanding our footprint, driving sustainable growth, reducing debt and creating long-term value for our shareholders.”

Demand for leisure and business travel across most key markets drove strong rate growth, with group-wide average daily rate (ADR) increasing by 10% compared with the previous year.

Group-wide occupancy was reported at 66% for the year, an increase of 6% on 2022 figures, with the group’s Thailand hotels among the top performers, achieving occupancy growth of 17%.

Group-wide RevPAR rose 22% versus 2022, with Thailand reporting 73% growth and Europe and Americas reporting a 26% increase.

The business also reported a strong start to 2024 with room revenues in January and on-the-book value in February and March already surpassing 2023 levels by 39% in Thailand, and 20% in Europe.

Minor Hotels added a total of 1,257 rooms in 2023 and is aiming to add 200-250 new hotels to its global portfolio as part of an aggressive expansion over the next three years.  

An adjustment to its long-standing “asset right” strategy will see the group target more management and franchise contracts in a bid to drive sustainable growth while minimising capital expenditure.