Hotel segment eases back to normal

Hotels are gradually recovering from pandemic lows, allowing SET-listed companies to post strong performances in the first quarter despite the persistence of the Covid-19 Omicron variant.

Business improved thanks to the resumption of the Test & Go scheme on Feb 1, as well as the “We Travel Together” hotel subsidy scheme, which contributed to 31% of room revenue between February and April, said Gun Srisompong, chief financial officer at Central Plaza Hotel Plc (Centel).

Centel, the operator of Centara Hotels and Resorts, reported revenue of 1.2 billion baht from hotel business in the first quarter, soaring 149% year-on-year.

Mr Gun said although the second quarter is in the low season, hassle-free travel will attract international arrivals, particularly from South Asia.

Around 2 billion baht of annual capital expenditure will be allocated to hotel renovations, such…