Hotel Lotte Reports Operating Loss of 124.4 Billion KRW in Q1, Up 41.9% Year-on-Year

[Asia Economy Reporter Jeon Jinyoung] Hotel Lotte announced on the 17th that its consolidated operating loss for the first quarter of this year was 124.4094 billion KRW, an increase of 41.9% compared to the same period last year. During the same period, sales increased by 58.8% to 1.4709 trillion KRW, and net loss turned to 7.85562 billion KRW.

Hotel division sales amounted to 158.235 billion KRW, up 34% year-on-year, and operating loss decreased to 41.255 billion KRW. Duty-free division sales increased by 53% to 1.246355 trillion KRW compared to the previous year. However, operating loss turned to a deficit of 75.317 billion KRW. The World division recorded sales of 22.481 billion KRW, down 15.1% year-on-year, and operating loss decreased to 9.385 billion KRW. Resort division sales increased by 191.2% to 43.838 billion KRW, and operating profit turned positive to 1.556 billion KRW.

A Hotel Lotte official stated, “Compared to sales of 176.9 billion KRW in the first quarter of 2019 before COVID-19, we are showing signs of recovery. In fact, the number of domestic hotel room sales increased by 49.5% year-on-year as of the cumulative total in March,” adding, “With the normalization of aviation and gradual recovery of inbound tourists expected, we plan to continue efforts to revitalize sales and improve internal operational efficiency.”