In 2017, Valamar achieved an operating profit growth of 20% and HRK 1,84 billion in revenue

first_imgAccording to the audited annual business report for 2017, the largest tourist company in Croatia, Valamar Riviera, generated total revenues in the amount of HRK 1,84 billion, which is 17% more than in 2016.Revenue growth is primarily related to overnight growth of 20% and an increase in the average price of 6,4%. There was a strong growth of operating profit (adjusted EBITDA) of 20% to the level of HRK 623 million with an increase in operational efficiency and the realization of an adjusted EBITDA margin of 35%. The market value of the Valamar Riviera share increased by 26% last year.The growth is the result of large investments in the portfolio in recent years, including the largest investment cycle of HRK 906 million realized for the 2017 season, growth in demand for higher value-added supply and services, growth in direct sales and successful business of Imperial dd, which Valamar and AZ fund took over in 2016, they point out from Valamar.In 2018, a new investment cycle of HRK 705 millionValamar continues to develop and in 2018 will invest HRK 705 million. This year’s key investments include the completion of the Valamar Girandella Resort, as part of which Valamar will open its first Kinderhotel 5 *, the renovation of the Valamar Argosy Hotel in Dubrovnik, the renovation of the Imperial Hotel on Rab and continued investment in camps in Istria and the island of Krk. within which more than 4 billion kuna has been invested in Croatian tourism so far.Valamar Riviera is the first company in Croatia to guarantee all employees a minimum net income of HRK 5.000 to 7.500. In 2018, a salary increase of 11,5% is focused mainly on key occupations in tourism, and this year alone Valamar is investing over HRK 20 million in increasing employee benefits. At the same time, in the 2018 season, Valamar continues to invest in raising the quality of accommodation for seasonal workers by opening a fourth hotel for employees at two new locations in Poreč, after opening Valamar Houses in Rabac and on the island of Krk in 2017. “Business results in 2017 are a continuation of the successful realization of the goals we set in the business strategy until 2020, which include the achievement of double-digit growth of results and values ​​of the company in a sustainable and socially responsible way. Valamar continuously invests in raising the quality of products, in the development of destinations in which it operates and in the improvement of salaries and working conditions in tourism. Croatian tourism has a market opportunity to grow towards tourism of higher purchasing power, added value and quality jobs. We continue to invest in Valamar, this year we will create 600 new jobs and put a special focus on further improvements in income and employee development”, Pointed out Željko Kukurin, President of the Management Board of Valamar Riviera.New acquisition – Hotel Makarska In February 2018, the Center for Restructuring and Sales accepted Valamar’s offer to purchase 55,48% of the share capital Hoteli Makarska dd Valamar Riviera enters into the acquisition of Hotel Makarska dd in partnership with AZ mandatory pension funds with which in 2016 the acquisition of majority shares in Imperial dd on the island of Rab.According to the proposal of the Supervisory Board, the realized net profit in 2017 in the amount of HRK 232 million will be distributed to retained earnings, and the General Assembly is proposed to make a decision on dividend payment in the amount of HRK 0,90 per share, which is 12,5% more than in 2016 and is in line with the strategic goal of achieving an attractive and long-term sustainable dividend to shareholders, Valamar concludes.last_img

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