Valamar’s Revenues Increased to 648 Million Kuna, Profit to 104 Million Kuna

Valamar Riviera achieved revenues of 648 million kuna in the first six months of this year, which is 13 percent higher compared to the same period last year, with an operating profit (adjusted EBITDA) of 104 million kuna, or 17 percent higher.

As announced on Monday by the largest Croatian tourism company, sales revenues in the first half of the year amounted to 586 million kuna, which is an increase of 14.5 percent compared to the same time last year.

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The double-digit revenue growth, they state, is primarily the result of a 9 percent increase in overnight stays, to 2.04 million, and a 5 percent increase in average daily prices.

The growth of business in the pre-season has continued for the fourth consecutive year, and for the first time, more than two million overnight stays were realized in the first six months of the year, Valamar emphasizes.

They add that the growth of indicators outside the summer season confirms Valamar’s long-term strategy of continuous investments in repositioning the portfolio through product development and investments in quality, employees, and destination development.

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For this season, Valamar successfully completed a strong investment cycle worth over 700 million kuna, and the supervisory boards of Valamar Riviera and Imperial have given preliminary approval for the 2019 investment cycle totaling 752 million kuna, the announcement states, adding that the final decision on the amount of investment will be made by the end of this year.

By July, Valamar acquired 55.45 percent of Hotel Makarska and plans to start consolidating this business by the end of July this year, Valamar announces.

A restructuring plan for Helios Faros in bankruptcy is under consideration, for which Valamar Riviera and PBZ Croatia Insurance for pension fund management jointly submitted an investment and recapitalization offer.

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Last week, Valamar Riviera also announced the acquisition of the four-star Petersbühel hotel in Obertauern, Austria, the first step in the internationalization of business as one of the key strategic development goals in the upcoming period, the announcement recalls.

“Valamar has achieved exceptional results for four consecutive years in the first six months, which is also an important indicator of the extension of the season. This is primarily due to the intense investment cycle aimed at increasing competitiveness and improving the quality of facilities and services, with repositioned facilities for guests with higher purchasing power recording excellent demand,” stated Željko Kukurin, CEO of Valamar Riviera.