Hotel Sahid reports profit decrease<\/p>\n
JAKARTA (JP): PT Hotel Sahid Jaya International, the owner of
\nSahid hotels in various provinces, reported yesterday a 29.17
\npercent decrease of its profit in 1993 due to increasing
\ncompetition.<\/p>\n
The company's president, Sukamdani Sahid Gitosardjono, said in
\nan annual and extraordinary meeting of the company's shareholders
\nmeeting here yesterday that the company's profit declined to Rp
\n6.82 billion (US$3.16 million) last year from Rp 9.63 billion in
\n1992.<\/p>\n
He said competition in the hotel industry is increasing as
\nmany new hotels have been established in Jakarta, thereby
\ncreating an oversupply of hotel rooms.<\/p>\n
\"Furthermore, new hotels generally offer discounts of over 50
\npercent off their official rates in the first few months of their
\noperations,\" he said.<\/p>\n
He said the increasing competition has encouraged Hotel Sahid
\nto renovate its 20-year-old Sahid Jaya Hotel & Tower in Jakarta,
\nthe backbone of the company's business.<\/p>\n
The renovation has caused the company to operate only 560 of
\nthe hotel's 619 rooms in the first months of last year, he said,
\nadding that the hotel's occupancy rate was only 55.46 percent in
\nthe first semester last year.<\/p>\n
Sahid Jaya Hotel & Tower was officially reintroduced last
\nThursday after the completion of the renovation work which cost
\nRp 40 billion.<\/p>\n
Yesterday meetings agreed that Hotel Sahid will distribute
\ncash dividends of Rp 60 per share to its shareholders on August
\n18.<\/p>\n
Hotel Sahid was listed on the Jakarta and Surabaya Stock
\nExchanges four years ago. Its shares were quoted at Rp 1,950 on
\nMonday. (icn)<\/p>",
"url": "https:\/\/jawawa.id\/newsitem\/hotel-sahid-reports-profit-decrease-1447893297",
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