Finansia Syrus Securities (FSS) stated that hotel companies are predicted to post strong results in the third quarter of 2024 compared to the previous year. In July-August 2024, the Revenue per Available Room (RevPAR) for Thai hotels, including MINT, AWC, and BEYOND, is projected to experience a growth of more than 10% year-on-year. Similarly, CENTEL, SHR, and DUSIT are anticipated to see an increase of 4-6% year-on-year.
As for hotels overseas, the RevPAR for CENTEL, SHR, and DUSIT are anticipated to book a significant recovery of around 10-20% YoY, following an increase in the number of tourists. MINT’s hotel operations in Europe are anticipated to experience a year-on-year growth of 13-15%, while SHR is projected to rise by 5-6% year-on-year.
Meanwhile, bookings for CENTEL’s and ERW’s hotels in Japan are predicted to decline by 9-12% due to the low season. The analyst maintains an ‘Overweight’ investment rating for the sector, highlighting MINT and AWC as the top-pick stocks, and SHR and DUSIT as the wildcard picks.
Thailand’s domestic tourism sector continues to show resilience, with a notable increase in tourist arrivals. From January 1 to September 15, 2024, the country welcomed 24.8 million tourists, marking a substantial 31% growth compared to the same period last year. The numbers are anticipated to further strengthen during the high season in the fourth quarter of 2024, coupled with the plan to bring back the “We Travel Together” campaign from the Minister of Tourism and Sports.
