Jetwing Symphony PLC (JETS), the investment arm of Jetwing, announced results on Friday for the financial year 2017/18, its first financial year of operation following the successful Initial Public Offering in December 2017.
Tourist arrivals in Sri Lanka only increased by 3.2% to cross the two million mark due to various conditions hampering the growth of the industry. Despite these setbacks, Jetwing Symphony PLC revenue surpassed Rs. 1.5 billion, a 106% increase to the previous financial year.
This is partly attributable to Jetwing Colombo Seven and Jetwing Lake completing a full financial year of operations. Jetwing Yala, Jetwing Colombo Seven and Jetwing Lake contributed 38%, 33% and 22% respectively to the group’s topline.
The group performance is aligned with financial year 2017/18 estimated figures as indicated in the JETS IPO prospectus.
Hiran Cooray, Chairman, Jetwing Symphony commented, “We are extremely pleased with our strong performance in the first financial year of operation. The entire team responded exceptionally well to the challenging environment in order to achieve significant growth and exciting milestones.
“We are confident in the long term growth of the industry. With an ever expanding portfolio and other strategic initiatives, Jetwing Symphony is aligned to exceed expected levels of profitability.”
Operational efficiencies and resulting cost savings helped achieve an operational profit before depreciation and finance costs of Rs. 414 million. The group recorded a net loss of Rs. 349 million in line with what was forecast at the time of the IPO and this can be primarily attributable to the relatively new portfolio of hotels. While Jetwing Colombo Seven and Jetwing Lake operated for its first full financial year, Jetwing Surf, the group’s newest venture commenced commercial operations in December 2017.
Jetwing Yala recorded Rs. 42 million PAT in financial year 2017/18, showcasing immense growth of 127% compared to the preceding financial year. Although the other four operational properties are yet to break even, they have recorded substantial growth with Jetwing Colombo Seven and Jetwing Kaduruketha being profitable at EBIT level.