Ubar Hotels & Resorts SAOG (UBAR) Q4 FY2025 Earnings Call Transcript & Summary

Good afternoon. My name is Ravindra. I'm the Group Financial Controller and the Board Secretary of Ubar Hotel & Resorts SAOG. On behalf of the Ubar Hotel & Resorts SAOG, we would like to welcome to present a brief overview on the audited financial performance and operational profit -- operational highlights. During the financial period of 2025, the company has shown significant real improvement across all the parameters as compared to the last year of 2024, particularly in the area of revenue growth, occupancy and gross operating profit, which excludes the depreciation. Our company efforts to improving the sales strategies and even optimizing the cost management which resulted in a strong turnaround in the performance -- strong turnaround performance. Our improvement is supported by the higher room occupancy, improved revenue generation and better operational efficiency of our property. The company also focused on the stabilizing operations, improving guest experience and in strengthening the internal processes, which has positively impacted both financial performance and guest satisfaction level. Coming to the figure. The audited financial figure of 2025. The statement of income of the parent company. The revenue growth has been noted by the OMR 138,000, which is 10% in 2025, revenue recorded OMR 1.5 million. Last year it was OMR 1.4 million. The operating costs recorded at OMR 1.6 million. Last year, also OMR 1.6 million, marginally increased by OMR 27,000, which is in proportion to the revenue increase by 2%. Loss from the operation noted -- recorded at OMR 86,000. Last year, it was -- loss from operation was OMR 239,000. It has improved by OMR 153,000, that is 64%. Net loss for the year is OMR 536,000. Last year it was OMR 1.1 million. That is company reduced the losses by OMR 654,000, that is 55%. The overall performance of the group, the revenue recorded at OMR 3 million compared to the last year of OMR 2.5 million, meaning OMR 522,000 revenue increase compared to the last year at 21%. Operating costs, including depreciation, is OMR 3.3 million. Last year, also it was OMR 3.3 million, which is almost similar to the last year. Net losses for the year, OMR 591,000. Last year, it was OMR 1 million. Company managed to reduce the losses by OMR 507,000, which is 46%. The statement of income of a subsidiary company, that is Golden Tulip Muscat. Revenue reported is OMR 1.4 million compared to the last year revenue of OMR 1 million, which is OMR 383,000 increased 36%. Gross losses reduced from OMR 636,000 to OMR 212,000. Last year losses reduced by OMR 424,000, which is 67%. Net losses for the year reduced from OMR 859,000 to OMR 505,000, that is OMR 354,000 losses reduced in the year 2025, that is 41%. This is statement of the financial position of the company asset section. Total noncurrent liability is OMR 8.8 million, last year it was OMR 9.1 million. Current asset is OMR 431,000. Last year, it was OMR 689,000. Total asset is OMR 9.2 million, last year it was OMR 9.8 million. Statement of financial position, 280 -- total noncurrent liability is OMR 2.8 million. Last year, it was OMR 3.09 million, Total current liability is OMR 2.6 million. Last year it was OMR 2.4 million. Total liabilities, OMR 5.5 million. Last year, it was OMR 5.5 million, marginally increased by OMR 12,000 in the year 2025. This is our statement of equity. Total equity stood at OMR 3.7 million. Last year, it was OMR 4.3 million. This is a tabular format of the financial position of the company. The overall company managed to generate a profit of OMR 107,000 gross operating profit, excluding depreciation. For the parent company, it is OMR 70,000. Last year, it was losses of OMR 41,000. For the subsidiary company, it is OMR 37,000. Last year it was losses -- profit was OMR 37,000. Last year, losses recorded OMR 397,000. Occupancy is 61%. Last year, it was 46%. For the parent company, it is 49%, last year it was 45%. For this subsidiary company, it is at 69%. Last year, it was 46%. ADR is at 23%. Last year, it was OMR 24,000. But company, though it is overall, ADR reduced by OMR 1, but company managed to increase the revenue by increasing the occupancy. For the parent company, ADR is at OMR 35. Last year it was OMR 34. For the subsidiary company, it's the same as the last year that is OMR 17. This is the graphical presentation of the same figure, which we have retained from the above slides. Moving forward, for the year 2026 company -- for the 2 months, January and February, company performance has shown improved performance. Company managed to increase the revenue. This year, due to recent conflict, company has received some -- this month, month of March, some -- hotel has received some cancellation due to recent conflict, but the company is hoping this issue will resolve very soon and company will perform very well in this year also. Management will remain focused on the improving occupancy and ADR, expand operational profitability, enhancing the guest experience and services standard. Our company remain optimistic about the company's continued recovery and growth in the hospitality sector. That's it from my side. With this I'm ending this presentation. Thank you very much.