SHANGRI-LA ASIA(HK:00069)2021-04-26 10:17Financial Performance - The group's consolidated revenue for 2020 was $1,033.4 million, a decrease of 57.5% compared to $2,431.2 million in 2019[7]. - The company reported a loss attributable to shareholders of $460.2 million for 2020, compared to a profit of $152.5 million in 2019[7]. - The earnings before interest, tax, depreciation, and amortization (EBITDA) for the group was $(84.9) million, down from $584.0 million in the previous year[7]. - The net asset value attributable to shareholders decreased by 2.1% to $6,061.6 million from $6,189.6 million in 2019[7]. - The company did not declare any dividends for 2020, compared to 8 cents per share in 2019[7]. - The actual profit attributable to the company before interest, tax, depreciation, and amortization decreased by 79.0% to $181.6 million[23]. - The consolidated loss attributable to the company was $432.1 million before non-operating items and $460.2 million after including non-operating items[23]. - The total comprehensive income for the year ended December 31, 2020, was $1,033.4 million, a decrease of 57.5% from $2,431.2 million in 2019[71]. - Gross profit for 2020 was $362.2 million, reflecting a 72.6% decline from $1,322.6 million in the previous year[67]. - Operating expenses amounted to $499.9 million, which is a 32.4% reduction compared to $739.8 million in 2019[67]. Impact of COVID-19 - The group has faced significant challenges due to the pandemic, impacting overall performance and operational metrics[7]. - The company's consolidated revenue decreased by 57.5% to $1.0334 billion due to the impact of the COVID-19 pandemic[23]. - The actual attributable EBITDA from hotel operations was $865 million in 2019, which significantly declined in 2020[9]. - The company implemented special measures to protect and care for employees and support local communities during the pandemic[23]. - The company provided over 30,000 free meal boxes to local hospitals during the Wuhan outbreak, showcasing its commitment to community support[29]. - The company introduced COVID-19 medical insurance for international travelers visiting its four Singapore hotels starting January 1, 2021[19]. - The company implemented strict workplace hygiene and social distancing measures, including mandatory mask-wearing for all employees[25]. - The company has completed nearly 50% of its refinancing needs for 2021 and 2022 as of March 1, 2021[126]. - The company observed a recovery in the Chinese economy in the second half of 2020, which is expected to continue into 2021[126]. Operational Developments - The company operates in multiple regions including Asia, Europe, and North America, with ongoing projects in various countries[5]. - The company opened the Zhoushan Shangri-La project, featuring an independent restaurant, in January[15]. - In November, the Wuhan Shangri-La Center began trial operations, providing a seamless business experience[18]. - The company announced a management cooperation agreement for the Shenzhen Bay Huiyun Center Shangri-La Hotel project in November[18]. - The company launched a new water park at the Shangri-La Hotel in Singapore in September, marking the largest outdoor water park within a luxury hotel in Singapore[17]. - The company plans to open three new Shangri-La managed hotels in Shanghai, Nanning, and Beijing in 2021, along with a managed hotel in Jeddah, Saudi Arabia[27]. - The company is developing a comprehensive project in Zhengzhou, China, with 45% equity, covering a total area of approximately 44,573 square meters, including residential, office, and commercial spaces, expected to open in 2024[133]. - The company is also developing a comprehensive project in Kunming, China, with 45% equity, covering approximately 15,446 square meters, including residential units[145]. - The company has ongoing construction for the second phase of a comprehensive project in Tianjin, China, with 20% equity, covering approximately 28,413 square meters[143]. Market Strategy and Future Plans - The company is focusing on market expansion and new product development as part of its future strategy[5]. - New product launches are anticipated to contribute an additional $200 million in revenue over the next fiscal year[37]. - The company is investing $50 million in research and development for new technologies aimed at enhancing user experience[38]. - Market expansion plans include entering three new countries by the end of the fiscal year, targeting a potential market of 5 million new users[39]. - The company is considering strategic acquisitions to bolster its market position, with a budget of $100 million allocated for potential deals[40]. - A new marketing strategy has been implemented, focusing on digital channels, which is expected to increase customer engagement by 30%[41]. - The board has approved a new strategy focusing on digital transformation, aiming to increase online sales by 30% over the next two years[46]. Sustainability and Community Engagement - The board of directors emphasized the importance of sustainability initiatives, committing to reduce carbon emissions by 25% over the next five years[43]. - The company has reduced the use of single-use plastics, with 14 hotels now offering canned water or eco-friendly filtration systems[30]. - The company invested in green building certifications, with 37 properties achieving this status[176]. - The new eco-friendly water filtration system at Hong Kong Island Shangri-La Hotel is expected to save up to 45,000 plastic bottles annually[174]. - The company engaged in 2,000+ volunteer activities, contributing over 118,200 volunteer hours during the pandemic[171]. - Shangri-La invested a total of $51,000 in the "Care for Nature" project in 2020, collaborating with local communities to protect natural habitats[180]. - The project successfully protected 54 endangered species globally and released 5,500 baby turtles back into the wild[183]. Shareholder Information - The major shareholder KGL holds 1,799,537,010 shares, representing approximately 50.189% of the total issued shares[193]. - Kerry Holdings, a wholly-owned subsidiary of KGL, holds 1,538,441,491 shares, accounting for approximately 42.907% of the total issued shares[193]. - Caninco Investments Limited holds 568,568,684 shares, which is about 15.857% of the total issued shares[193]. - Paruni Limited owns 382,904,547 shares, representing approximately 10.679% of the total issued shares[193]. - The company did not recommend any interim or final dividends for the fiscal year[186]. - The board of directors confirmed the independence of all independent non-executive directors[189].