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Tag: Sterling Holiday Resorts

  • FY-2015: Sterling Holiday Resorts Sales Promo spend up 4.1%

    FY-2015: Sterling Holiday Resorts Sales Promo spend up 4.1%

    BENGALURU: Sterling Holiday Resorts (India) Limited (Sterling Holidays) reported Sales Promotion spend (Sales Promo) in FY-2015 (year ended 31 March, 2015) at Rs 17.16 crore (10.2 per cent of net sales), which was 4.1 per cent more than the Rs 16.48 crore (12.5 per cent of nets sales) in the previous year. Sales Promo spends in Q4-2015 (quarter ended 31 March, 2015) at Rs 5.71 crore (13.6 per cent of net sales) was more than double (2.6 times) the Rs 2.19 crore (eight per cent of net sales) in Q4-2014 and 26.9 per cent more than the Rs 4.5 crore (9.8 per cent of net sales) in the immediate trailing quarter.

    Note: 100,00,000 = 100 lakh = 10 million = 1 crore

    Please refer to Fig 1 below. During the 13 quarter period starting Q4-2012 until the current quarter, sales promo spends show a linear increasing trend in terms of absolute rupees as is indicated by the broken maroon trend line. However, in terms of percentage of net sales, the linear trend is reducing, as demonstrated by the broken green trend line. The company’s highest sales promo spends in terms of absolute rupees , whilas in the current quarter in terms of percentage of net sales was it in Q2-2013 at 21.7 per cent (Rs 5.10 crore) of net sales.

    Sterling Holidays net sales in FY-2015 at Rs 168.05 crore was 27.4 per cent more than the Rs 131.89 crore in FY-2014. The company’s net sales in Q4-2015 at Rs 42.1 crore was 13.4 per cent more than the Rs 37.11 crore in the corresponding year ago quarter, but was 7.8 per cent lower than the Rs 45.67 crore in Q3-2015. The company’s net sales show a linear increasing trend during the period under consideration as indicated by the black broken trend line. 

    Until the current financial year, Sterling Holidays has in general been a loss making company. Please refer to Fig 2 above. However, for FY-2015, the company has reported a profit after tax (PAT) of Rs 0.52 crore (0.3 per cent of net sales) as compared to a loss of Rs 21.29 crore in the previous year. For Q4-2015, the company has reported PAT of Rs 2.35 crore (5.6 per cent of net sales) as compared to a loss of Rs 5.78 crore in Q4-2014 and a PAT of Rs 0.82 crore (1.8 per cent of nets sales) in Q3-2015.

    Sterling Holidays managing director Ramesh Ramanathan said, “FY-2015 performance speaks for itself. As should the year-on-year improved performance metrics over the last 3 to 4 years. We have begun FY-2016 with a strong, confident note by opening four new resorts in one go at Corbett, Daman, Shirdi and Dindi. Sterling is now in a position to offer varying holiday experiences – from hillside to riverside to spiritual beach and wildlife in 24 resorts across India.”

    With effect from 3 September, 2014, Sterling Holidays has become a wholly owned subsidiary of Thomas Cook Insurances Services (India) Limited – (TCISL). As at 31 December, 2015, Thomas Cook (India) Limited through its subsidiaries hold 55.07 per cent of the equity shareholding of the company.

  • Q3-2015: Sterling Holiday Resorts q-o-q sales promo spend up 6.2 per cent

    Q3-2015: Sterling Holiday Resorts q-o-q sales promo spend up 6.2 per cent

    BENGALURU: Sterling Holiday Resorts (India) Limited (Sterling Holidays) reported sales promotion spend (Sales Promo) in Q3-2015 at Rs 4.77 crore (10.4 per cent of net sales), which was 6.2 per cent more than the Rs 4.49 crore in the immediate trailing quarter and 65.1 per cent more than the Rs 2.89 crore (8.4 per cent of net sales) in the corresponding year ago quarter. YTD, (9 month period ended December 31, 2014, 9M-2015) the company’s Sales Promo spends at Rs 11.46 crore (9.1 per cent of net sales) was 12.3 per cent more than the Rs 10.21 crore (10.8 per cent of sales promo) for 9M-2014.

    Note: 100,00,000 = 100 lakh = 10 million = 1 crore

    During the 12 quarter period starting Q4-2012 until the current quarter, sales promo spends show a linear increasing trend in terms of absolute rupees. However, in terms of percentage of net sales, the linear trend is reducing. The company’s highest sales promo spends in terms of absolute rupees as well as in terms of percentage of net sales was in Q2-2013 at Rs 5.10 crore and 21.7 per cent of net sales.

    The company’s net sales in Q3-2015 at Rs 45.67 crore was 32.9 per cent more than the Rs 34.37 crore in Q3-2014 and was 21.9 per cent more than the Rs 37.41 crore in Q2-2015. For 9M-2015, net sales at Rs 125.97 crore was 32.9 per cent more than the Rs 94.78 crore in 9M-2014. The company’s net sales show a linear increasing trend during the period under consideration.

    The company has in general been a loss making company. Please refer to Fig 2 above. However, for Q4-2015, the company has reported a profit of Rs 0.82 crore as compared to a loss of Rs 1.74 crore in Q3-2014 and a loss of Rs 3.73 crore in Q2-2015. For 9M-2015, loss was Rs 1.83 crore as compared to a loss of Rs 11.46 crore in 9M-2013.

    In its earnings release, the company says that Total Operating Income (TOI) increased 29 per cent to Rs 49.71 crore in Q3-2015 from Rs 38.4 crore in Q3-2014. TOI in 9M-2015 increased 30 per cent to Rs 138.03.

    Sterling Holidays says that income from sale of vacation ownership plans grew by 52.5 per cent to Rs 25.2 crore in the current quarter from Rs 15.5 crore in the year ago quarter. YTD, sales income from Vacation Ownership plans rose a whopping 54 per cent to Rs 65.44 crore in 9M-2015 as compared to the Rs 42.54 crore reported for corresponding period of last year.

    Income from Resort operations grew by 12.3 per cent to Rs 16.22 crore in Q3-2015 from 14.44 crore in Q3-2014. YTD, Income from Resort operations increased by 17 per cent to Rs 49.31 crore in 9M-2015 from 42.13 crore in 9M-2014.

    Sterling Holidays managing director Ramesh Ramanathan said, “The sustained growth of all our business verticals reflects a healthy trend that we are progressing in the right direction. With a fast expanding pan India resort network and multiple holiday offerings, Sterling is in a unique position to grow rapidly into India’s leading holiday company.”

    With effect from 3 September, 2014, Sterling Holidays became a wholly owned subsidiary of Thomas Cook Insurances Services (India) Limited – (TCISL). As of 31 December, 2015, Thomas Cook (India) Limited through its subsidiaries hold 55.07 per cent of the equity shareholding of the company.

  • Sterling Holiday Resorts sales promo spends down 24 per cent in Q4-2014

    Sterling Holiday Resorts sales promo spends down 24 per cent in Q4-2014

    BENGALURU: Sterling Holiday Resorts (India) Limited (Sterling Holidays) sales promotion spend (Sales Promo) Q4-2014 at Rs 2.194 crore (5.91 per cent of net sales) was (-23.99) per cent less than the Rs 2.8866 crore (8.40 per cent of net sales) in the immediate trailing quarter Q3-2014 and (-17.04) per cent less than the Rs 2.6448 crore (9.39 per cent of net sales) of the year ago quarter Q4-2013.

    Note: Rs 100 lakh = Rs100,00,000 = Rs 1 crore = Rs 10 million

    Over nine quarters starting from Q4-2012 until Q4-2014, Sterling Holiday’s sales promo spend shows a slight downward trend in terms on absolute rupee value, but the drop is much steeper in terms of sales promo as percentage of net sales.

    Overall, the company’s net sales show an upward trend and in Q4-2014 at Rs 37.11 crore was 7.98 per cent more than the Rs 34.37 crore in Q3-2014 and was 31.70 per cent more than the Rs 28.18 crore in Q4-2013. Please refer to Fig 1 below.

    Over three years starting FY-2012 until FY-2014, Sterling Holidays sales promo spend at Rs 16.48 crore and 12.50 per cent of net sales was 32.90 per cent more than the Rs 12.40 crore (11.40 per cent of net sales) in FY-2013. The company’s net sales in FY-2014 at Rs 131.89 crore was 21.28 per cent more than the Rs 108.75 crore in FY-2013. Please refer to Fig 1A below

    The company has in general been a loss making company. Please refer to Fig 2 below. With a new tie up with Thomas Cook International Limited expected to be completed by the end of this year, the company expects to turn the corner.

    Sterling Holidays says that the significant improvement in the company’s performance in the year is an indicator of the strong resurgence of brand Sterling, a result of the strategic turnaround initiatives over the last couple of years.

    It says further that the substantial investments the company made in enhancing the overall customer holiday experience through refurbishment of its resorts and an expanded menu of recreational and culinary experiences have resulted in a healthy rise in the number of Vacation Ownership members and non-members holidaying at the company’s resorts, leading to an increase in resort occupancy to 49 per cent from 41 per cent in the previous year.

    Sterling Holidays managing director Ramesh Ramanathan said, “The company’s performance has been improving consistently over the last couple of years. The synergies with Thomas Cook with their wide reach and distribution in the travel space will help us strengthen our market position, increase our occupancy levels and allow expansion to new destinations and markets.”

    completed by the end of this year, the company expects to turn the corner.