Pg 147 - Berjaya Corporation Berhad

Berjaya Land Berhad (201765-A)
Annual Report 2005
13
1
3
The tsunami disaster did not affect our resorts
located on the East Coast of Peninsular
Malaysia significantly as it happened during
the low season. The strong performance in
the first nine months of the year, riding on the
strong tourist arrivals that surpassed 15 million
and the improvement in the global travel
industry helped to cushion the post tsunami
weak performance.
2
1. Berjaya Le Morne Beach Resort & Casino,
Mauritius.
2. Berjaya Redang Beach Resort, Terengganu
- Deluxe Seaview Room.
3. 18-hole Championship Golf Course at Berjaya
Tioman Beach, Golf & Spa Resort , Pahang.
Occupancy rate showed a marginal increase
but the average room rate had strengthened
by RM24 as compared to the previous year
after a higher room rate was registered by the
newly-completed suites at Berjaya Langkawi
Beach Resort and the rise in room rate for our
overseas resorts in Seychelles.
During the year, we leveraged on our
marketing and sales promotions to capture
more businesses from both in-bound and
domestic leisure travel sectors via aggressive
marketing activities and wider sales
representations in overseas markets.
Our direct marketing strategy with the
attractive “All Inclusive” packages and active
participation in the local travel fairs such as
MATTA and MITF, achieved commendable
sales results for our hotels and resorts in the
domestic market.
Our city hotel, Berjaya Times Square Hotel &
Convention Center continued to register higher
revenue from leisure travellers especially from
the Middle East market while we continued to
strategise to penetrate the lucrative incentive
travel and corporate segments. Nevertheless,
the hotel is competing with new rivals with the
opening of new hotels in the Kuala Lumpur
market.
Our overseas resorts in Seychelles and
Mauritius registered positive growth with
encouraging support from the respective local
governments which are actively promoting
their tourism industry to overseas markets
and providing attractive incentives to the hotel
operators. Our overseas resorts contributed
more than half of the division’s revenue with
higher and better average room rates.
Barring any untoward incidents, we would
continue to ride on the improvement in the
business and leisure travel underpinned by
the continued favourable domestic and
overseas economic performance. With
increasing levels of business activity, we are
taking every opportunity to maximise
profitability by maintaining tighter control over
operating costs, improving efficiencies across
our hotels and resorts, whilst keeping capital
expenditure spending under close review.
VACATION TIMESHARE
For the year under review, revenue for Berjaya
Vacation Club Berhad (“BVC”) dropped 11.2%
to RM40.99 million from RM46.2 million
recorded in the previous financial year due to
slower membership sales resulted from the
general slow down in the timeshare market.
Results from travel fairs were lower than
expected as most of the patrons were repeat
visitors who are either our members or those
who prefer packaged tours.
As a continuous effort to maintain and upgrade
the quality of BVC memberships, BVC
underwent major refurbishment to its
properties in Paradise Lagoon Holiday
Apartment in Port Dickson and KL Plaza
Condominium during the year under review.
Due to the encouraging response from
members and to provide a competitive edge
over other timeshare operators, BVC had
continued to expand on its affiliated resorts
from 50 locations last year to 94 locations this
year, both for local and overseas destinations.
As part of its marketing and promotional efforts,
BVC continued to participate in major
promotions and travel fairs organised by
various leisure-related organisations. This
marketing effort emphasized on a more
personal approach and provision of additional
customer services.
As a continuous effort to improve its customer
service quality, a new employee reward