Misr Hotels Company’s (MHOT) general assembly ratified the financial statements for FY 2014/2015, in which the company registered a net loss of EGP 32.15m compared to a net loss of EGP 31.2m during FY 2013/2014, the company announced to the Egyptian Exchange on Sunday.
The general assembly has agreed to absolve the board of directors for the financial year and restructure a new board of directors and elect a member to represent the private capital.
The company has previously stated that the loss was due to the shut-down of the Nile Ritz-Carlton hotel and the decline of performance in the Dahab Resort. The performance of the Dahab Resort slowed down due to the recent political events that took place in South Sinai.
The Ministry of Tourism hopes to boost the number of tourists to 10 million tourists by the end of this year.
According to Hesham Ali, Head of the Tourism Investors Association in South Sinai, occupancy rates in the area are stable, especially in Sharm El-Sheikh, where they ranged between 70% and 75% during the last week of September. Ali called on the government to focus its support on hotel investments, as they are dying after a crisis that has been ongoing for almost five years.
The South Sinai area holds one third of the working hotel capacity in Egypt, according to the Egyptian Chamber of Hotels.