BAAR, Switzerland, (April 12, 2012) — Hapimag, the leading company in the European market for parttime rights of residence (vacation ownership), in 2011 achieved a positive annual result of EUR 1.2 million (previous year EUR -7.8 million). The operating income rose by 8.5 per cent to EUR 186.4 million (previous year EUR 171.7 million). Despite the strong Swiss franc, Hapimag members also travelled to the Swiss resorts.
The financial crisis and the uncertainty with regard to the Euro did not affect Hapimag’s positive result. The Group result, at EUR 1.2 million, was significantly better than the previous year (EUR -7.8 million). The EBIT also showed great improvement, at EUR 4.7 million (previous year EUR -0.9 million). The operating income rose by 8.5 per cent to EUR 186.4 million (previous year EUR 171.7 million).
Firstly, the 57 resorts and residences made a contribution to the positive development of the operating income, achieving sales of EUR 74.4 million (previous year EUR 70.5 million). The members are increasingly using the option of booking by the day.
Secondly, the net turnover from sales of right of residence products rose by 7 per cent to EUR 37.7 million (previous year 35.2 million). In Germany, the biggest sales market, there was a 50 per cent increase: here, right of residence products worth EUR 15 million were sold. In Switzerland, the net turnover from sales was EUR 4.1 million, slightly below the very successful previous year at EUR 4.4 million, but still considerably above the years before that.
Despite the difficult economic situation, the occupancy rate of all 57 resorts and residences remained at a high level at 68.7 per cent (previous year 68.9 per cent). Over 355 000 guests (3.4 per cent more than the previous year) stayed with Hapimag. The resort in Bodrum (Turkey) recorded 27 700 guests, an increase of 10 per cent, which was the highest growth rate. The four Swiss resorts achieved an occupancy rate of 73.3 per cent; sales increased by 8.5 per cent from EUR 6.3 million to EUR 6.9 million.
Renovations and new offers
Last year, Hapimag invested EUR 29.8 million (previous year EUR 36.6 million). The biggest renovation projects, involving investments of EUR 25.2 million, were carried out in the two German resorts Winterberg and Unterkirnach, and in the resort in Pentolina in Tuscany. In Winterberg, a centre for Traditional Chinese Medicine and the new WOK 5 restaurant were created. The cooperation partner TCMedic GmbH is offering individual consultation and treatment, while Hapimag is responsible for the accommodation and catering. The new offer met with great interest on the part of members: The occupancy rate increased by 3.3 per cent, and sales by 16 per cent.
In Unterkirnach, both the existing Fohrenhof restaurant was converted and the apartments were redesigned in order to implement the cooperation venture with the Caritas association. The apartments, restaurant and bar in Pentolina were all given an attractive new look.
At the year end the book value of Hapimag properties was EUR 582.7 million. The properties are financed 90% with shareholders’ equity, which highlights the solid position of the company. The free cash flow increased last year from EUR 11.7 million to EUR 19.6 million.
Construction work has started
February 2012 saw the start of the conversion of the existing property in Salzburg that Hapimag purchased in 2008. And in summer 2012, construction work is due to begin on the new city residence in Lisbon. Both of these city residences are scheduled to open in 2013.
Hapimag key figures 2011
As a non-profit organisation, Hapimag aims to make living space available to its shareholders and members at a favourable price/performance ratio.
The Hapimag company
Hapimag is a services company in the individual leisure and lifestyle sector and was founded in 1963. As the leading European company offering rights of residence, Hapimag provides over 141 000 members with access to an economically and ecologically sustainable platform with 57 addresses at top locations in 16 countries. Members, as co-owners, have at their disposal around 5300 apartments rent-free for individual use, complemented with location-specific gastronomy, wellness, cultural, service and infrastructural offers. The company employs approximately 1400 people (full-time) and in 2011 generated an operating income of EUR 186 million. Hapimag is a joint-stock company according to Swiss law and is based in Baar/ZG (CH). www.hapimag.com