Our Value Creation Strategy Our Performance Our Governance Additional Information 115 OPERATIONAL REVIEW Drive hotel occupancy The Group intensified its sales effort in the hotel segment to capture opportunities from the recovery of air traffic. Sales for 2023 were channelled primarily through direct bookings, online travel agents, wholesale and corporate sales. In this regard, the hotel segment has seen its revenues from key customer segments growing up to 18% beyond 2019 pre-pandemic levels, in particular, the corporate, wholesale, government, and group business. However, the airline crew customer segment is still lagging 2019 levels due to the increase in turnaround flights by airlines and the revised staffing policies in reducing crew sets for certain airlines customers. Nevertheless, the Group has intensified its marketing efforts in other customer segments which more than make up for this shortfall. In 2023, the Group managed 1,012 rooms, a substantial increase from 592 rooms in 2022. This was due its venture into the hotel property management business in early 2023 to manage the Lanai Kijang, the Malaysian Central Bank’s hotel at its learning and development centre, and Asian Business School Residence in Kuala Lumpur. Through the management of Lanai Kijang, the Group increased its hotel revenues by RM2.6 million. geared up since the completion of the renovation and refurbishment works at Sama-Sama Hotel KLIA. Growing passenger numbers and the rising demand in the MICE (Meetings, Incentives, Conventions and Events) segment provided a boost for the hotel business in Malaysia in 2023. In addition, the push to diversify the revenue streams for this segment through the Aero FastTrack and airport lounge services is gaining traction. With the opening of the Sky Suite Airport Lounge at KUL Terminal 2, revenues from the landside lounges have increased by 48.0% YoY to RM2.7 million, while lounge usage at the Sky Suite Airport Lounge at KUL Terminal 1 has increased by 26.0% YoY. The average daily rate increased by 16.0% YoY for 2023 to RM433.90. This was despite the increased competition from new hotels in the vicinity of KUL which placed pressure on the average daily rate. Guest satisfaction remained high at over 90% due to the improvement of the room ambience, upgrading of security features such as the hotel key card system and enhancement of F&B offerings which enabled Sama-Sama Hotels to continue to deliver a superior and refined product to guests. Increase average daily rate
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