Published 27. July 2017.
HRK 704 million investments announced for 2018
(Poreč, 27 July 2017)- Valamar Riviera has announced 2017 first half results: in the six-month period ended 30 June, sales revenues were HRK 512 million, up 22% on 2016. Overnights grew by 30% and totaled 1.9 million, while the average daily rate grew by 8%. Valamar reports high sales growth in the first half for the second consecutive year. Total revenues were HRK 571 million and operating profit increased by 14% to HRK 90 million. Revenues and operating profit grew due to constant investments in raising the competitive edge and quality of properties and services, destination products with added value and the acquisition of the Imperial hotel group.
Valamar Riviera completed in June its largest annual investment cycle worth more than HRK 900 million. Most of the investments were focused on two new resorts in Rabac -Family Life Bellevue Resort 4* and Valamar Girandella Resort 4*/5*. The investments also included the ongoing development of premium camping resorts and investments in the improvement of quality, operating efficiency and energy saving. The significant increase in the number of announced bookings until year-end and the great market feedback received by the new investments indicate a positive business outlook. The strong first half growth and the consolidation of the Imperial business operations will also contribute to this.
“Valamar plans to invest up to HRK 2 billion by 2020 in repositioning the portfolio towards premium properties and services, and continue achieving double-digit annual growth in operating profit. We are preparing a series of investments worth HRK 704 million for 2018 in order to improve accommodation quality and service. We want to be recognized as the most desirable employer in tourism and we will continue investing in human resources in order to progressively increase salaries and improve working conditions. We have had two outstanding years marked by business growth in the preseason period and I believe that by investing in the development of our products and employees we will succeed in maintaining the positive business trends outside the main season,” said Željko Kukurin, CEO at Valamar Riviera.
In 2018 Valamar plans to open the first Kinderhotel in its portfolio, the Valamar Girandella Maro Resort 5* and complete the process of repositioning Rabac as a leading vacation destination for high-end guests. The investment in the Valamar Pinia Family Suites 5* in Poreč will also result in a new, luxury family hotel. Valamar will continue the large strategical investments in premium camping in Istria and on the island of Krk in 2018. Investments in Dubrovnik are focused on creating additional amenities for the Valamar Argosy hotel. 2018 plans also include numerous other investments in the portfolio properties, guest amenities and accommodation for seasonal employees.