Parnas Hotel & Resort Achieves 92% Jump in First-Half Operating Profit... New Hotel Stabilization Drives Improved Profitability

Sales Reach 285.5 Billion Won, Operating Profit 54.3 Billion Won

The Westin Seoul Parnas Achieves 13.4% Operating Margin in Q2

Growth Seen in Grand InterContinental, Nine Tree, and Rental Business

Parnas Hotel & Resort announced on August 14 that it recorded sales of 285.5 billion won and operating profit of 54.3 billion won for the first half of the year, marking its highest performance ever. Compared to the same period last year, sales increased by 41% and operating profit surged by 92%.

The most notable result comes from The Westin Seoul Parnas, which opened in September last year. In the first half of this year, it posted sales of 69.9 billion won and operating profit of 5.3 billion won. After turning to an operating profit in the first quarter, its operating margin in the second quarter rose to 13.4%. Despite being a new hotel, its room occupancy in the second quarter reached 91.5%, rapidly securing demand.

The Grand InterContinental Seoul Parnas, the company’s flagship, achieved first-half sales of 104.3 billion won and operating profit of 18.7 billion won. Its room occupancy rate in the second quarter stood at 91.8%, and revenue from food and beverage operations rose by 15.9% compared to the same period last year.

Nine Tree by Parnas also benefited from the increase in foreign tourists, recording first-half sales of 51.2 billion won and operating profit of 12 billion won. Compared to the same period a year ago, sales grew by 11.8% and operating profit by 21.8%. Profitability improved as income increased at a faster rate than sales.

Parnas Hotel Jeju, despite partial business limitations due to facility upgrade work, recorded sales of 22.4 billion won in the first half. The number of foreign guests increased by 29% from the same period last year, and the proportion of foreign guests among all guests expanded from 16% to 23.6%.

Non-hotel businesses also supported the overall performance. Parnas Tower reported first-half sales of 35.5 billion won and operating profit of 19.2 billion won, both up 7.9% from the same period last year.

This performance is seen as the result of the early stabilization of the new hotel, stable profits from existing hotels, the increase in foreign tourists, and rental business all being reflected simultaneously. However, the company noted that new ventures such as senior residences and consignment operations, which it is emphasizing, are still more of a future growth area rather than a source of current earnings, and should be considered separately from the first half results.

A Parnas Hotel & Resort official stated, "This record-breaking performance in the first half of the year is not due to any single hotel, but the result of the competitiveness of our entire portfolio," adding, "As our key businesses have grown evenly, the stability of our profit structure and business competitiveness have both strengthened."

This content was produced with the assistance of AI translation services.