Ascott record FY 2023 S$331M in fees most property openings ever – Travel And Tour World

Ascott Limited (Ascott), the lodging arm fully owned by CapitaLand Investment (CLI), disclosed a notable 28% surge in fee-related earnings (FRE), reaching S$331 million in FY 2023, up from S$258 million in FY 2022. This revelation came as part of CLI’s Full Year 2023 Financial Results, wherein Ascott emerged as a pivotal contributor to CLI’s overall business. Moreover, Ascott achieved a milestone by unveiling the highest number of property openings, with nearly 9,600 units becoming operational within the same period. Bolstered by a robust travel recovery momentum, Revenue per Available Unit (RevPAU) soared by 20% compared to 2022, attributable to heightened average daily rates and occupancies. Furthermore, in 2023, Ascott inked deals for 77 new properties spanning all brands. This remarkable growth trajectory not only allowed Ascott to surpass its year-end targets but also secured 160,000 units earlier than projected, achieving the milestone in March.

“Ascott had a record year of fee earnings and property openings in 2023. The strong performance was underscored by our diverse portfolio of brands and strategic presence in new destinations. This is an important milestone to mark Ascott’s transformative journey to become a global leader in hospitality, as we celebrate 40 years of service this year. Harnessing our extensive network of third-party owners and in-market expertise, Ascott remains focused on driving asset light growth organically through management and franchise agreements. In 2023, 38% of new agreements signed were with existing owners, a demonstration of their confidence in us. At the same time, we are seeking out transformative deals which can accelerate our expansion. We will continue to build upon our portfolio of global brands to drive higher quality growth. This puts us well on track to achieve our target of more than S$500 million in fee earnings by 2028,” said Mr Kevin Goh, Chief Executive Officer for Ascott and CLI Lodging.

Leveraging the momentum of an exceptional growth year, Ascott is enhancing its top leadership cadre with strategic C-suite appointments. These new appointments are poised to fortify and optimize operations, commercial endeavors, strategic planning, and hospitality design initiatives. They will integrate seamlessly into the Ascott Leadership Council, overseen by Mr. Kevin Goh, Chief Executive Officer for Ascott and CLI Lodging, ensuring cohesive leadership in driving the company’s vision forward.

“Ascott is tapping into our experienced leadership bench to lead the charge in our next phase of growth as a global integrated lodging operator. This series of executive appointments is Ascott’s commitment to our owner and franchise communities, and to our guests, that we will be offering more best-in-class products and services to meet the strong consumer demand of modern travellers. With our flex-hybrid hotel-in-residence model, Ascott will continue to break new ground to meet travel needs across all stay purposes globally. Having a strong senior leadership team is integral to us achieving this vision,” added Mr Goh.

The post Ascott record FY 2023 S$331M in fees most property openings ever appeared first on Travel And Tour World.