In an unparalleled financial and operational excellence feat, Minor International Public Company Limited (MINT) has unveiled its most profitable year on record, marking a significant milestone in its illustrious history. With a core net profit that has tripled to THB 7,132 million, MINT is a testament to robust strategic planning, diversified business models, and an unyielding commitment to excellence across the hospitality and tourism sectors.
This remarkable achievement is not just a reflection of MINT’s financial health but also underscores its role as a global leader in the industry. Operating across 63 countries, MINT has seen a solid performance in its European ventures, alongside a marked resurgence in Thailand’s travel demand, propelling the company to unprecedented heights.
In the fourth quarter of 2023 alone, they witnessed a core net profit of THB 2,501 million, showcasing a 77% year-over-year increase. This growth directly results from the concerted efforts of MINT’s core business units, spanning Minor Hotels, Minor Food, and their lifestyle brands distribution arm.
Minor Hotels, in particular, reported a RevPar growth of 15% in Thailand and its European & LATAM hotels, with figures soaring above those of 2019 by 23% and 27%, respectively. This growth trajectory is mirrored across MINT’s operations, with Minor Food notching an 11% year-over-year increase in system sales, fueled by a revival in dine-in services and cutting-edge marketing strategies.
As 2024 unfolds, MINT is already off to a promising start, with room revenues in January and bookings for February and March outpacing the previous year by notable margins. This upward trend indicates MINT’s strategic foresight and unrelenting pursuit of delivering shareholder and customer value.
The roadmap for the next three years is ambitious, aiming to add 200-250 new hotels and 1,000 restaurants to its portfolio. This expansion strategy is supported by a shift towards an asset-light model, emphasizing hotel management contracts and food franchising to stimulate sustainable growth while minimizing capital expenditure.
MINT’s global footprint is set to expand, with recent additions including three managed hotels in Paris, a luxurious Anantara hotel in Vienna, and an NH Collection in Helsinki. The company’s foray into the Kingdom of Saudi Arabia, alongside openings in China and ASEAN, reflects its commitment to capturing high-growth markets.
Financially, MINT is positioned to accelerate its deleveraging plan, aiming to reduce its net interest-bearing debt-to-equity ratio significantly. This financial prudence, coupled with a focus on asset-light growth, is poised to amplify MINT’s earnings growth potential.
MINT’s Group CEO, Mr Dillip Rajakarier, expressed his enthusiasm for the company’s trajectory, attributing the success to the dedication and hard work of the team across all operating countries. With a clear focus on expansion, sustainability, debt reduction, and long-term shareholder value, MINT navigates a future filled with promise and potential.
Minor International’s achievements are a beacon of financial success and a blueprint for sustainable growth in the hospitality and food sectors. With an unwavering commitment to excellence, MINT is reshaping the landscape of global tourism, hospitality, and culinary delight, setting new standards for the industry.
Written by: Supaporn Pholrach