 Country Club on a massive expansion trailPublished on Mon, May 16, 2011 at 15:28 | Source : CNBC-TV18 Updated at Mon, May 16, 2011 at 17:00 1973 Investors following Country Club (I. Share this News with them.
Aided by good demand, Country Club sees its accounting rate of return (ARR) up 20% in FY12. The company has already embarked on expansion plans in the Middle East and in Bangkok. This is apart from the massive spreading out of clubs in the domestic market. Y Rajeev Reddy, CMD, tells CNBC-TV18 of the projects under implementation and the way ahead for the company. Below is the verbatim transcript. Also watch the accompanying video. Q: Your revenues have grown 31% on a year-on-year basis. How have you done in terms of an occupancy growth and in terms of ARRs as well? A: It has been a fantastic year. In fact, we have doubled our profits this quarter. It shows that we are in a very positive mode. It also shows that the route that we had taken for our expansion, both, in front domestic markets as well as overseas markets, have really taken off. In fact, our Middle East markets, apart from Dubai, Oman and Abu Dhabi, have already started and have given a very positive indication. That apart, we are starting projects in Bahrain, Saudi Arabia, and Qatar. Hopefully, in the next quarter, our offices will start and commercial operations will began. As far as the East is concerned, our bank of operations has begun and we have taken a property on lease in Bangkok. It is a fantastic piece of land in the heart of Bangkok and it will add a lot to our brand. Also see: Delta Corp buys 51% stake in 5-star hotel Daman Hospitality Q: Just wanted to get the occupancy figures from you on a year-on-year basis, how have you done on the basis of occupancies and in terms of ARRs, has there been any improvement? A: Yes, we have done a topline of Rs 321 crore now against Rs 308 crore last year, against Rs 39 crore profits, we have done about Rs 44 crore this year. So there has been an improvement, but one thing you have to understand is that we are still in the process of finishing some of the projects in India. In Pune there are about 2 clubs that are coming up, Gujarat also has a few which are just opening, Calcutta and Mangalore too have a few coming soon. Once all these domestic projects are over, you can definitely see a fundamental growth in these markets, because our brand is very strong and there has been a lot of positive vibration. Q: Could you tell us in FY12 how would your room rents go up by, is there any kind of increase that you are planning now, which is apart from normal inflation increase, also the total number of properties that would come up in FY12 and any kind of capex or any kind of fund raising that you all will need for this? A: We are looking at various options at the moment. As far as room rates are concerned, India has become one of the most costly destinations. The amount of money that is coming into India and amount of people that are travelling across India is really mind blowing. We are increasing roughly about 20% of the Accounting Rate of Return (ARR) in all our projects, because we see the heavy demand.
PREVIOUS STORY Trending NewsBusiness News
|
News Aban Offshore Q4 Income From Ops At `166 Cr Vs CNBC-TV18 Poll Of `851 Cr  The latest earning numbers FIRST on CNBC-TV18
Videos
Interviews
 May 30 2012, 16:32 | Source: CNBC-TV18  May 30 2012, 14:50 | Source: CNBC-TV18  Subscribe to Moneycontrol Newsletters |
|||||||
