Colombo, Sri Lanka – August 28, 2026 – Tangerine Beach Hotels PLC (TBH) has announced an exceptional financial performance for the fiscal year ended March 31, 2026, marking a significant milestone in its post-pandemic recovery. The company’s latest Annual Report reveals substantial increases in revenue and profitability, driven by a resurgent Sri Lankan tourism sector and strategic operational enhancements.
Strong Financial Highlights Propel Shareholder Value
The Annual Report for 2025/2026 showcases a robust financial rebound for Tangerine Beach Hotels PLC. Key figures highlight impressive growth:
- Gross Revenue: Increased by 8.45% to Rs. 1.15 billion (from Rs. 1.06 billion in FY2025).
- Operating Profit before Interest & Tax: Skyrocketed by 121.07% to Rs. 109.4 million.
- Profit Before Tax: Saw an outstanding 210.54% surge, reaching Rs. 196.8 million (from Rs. 63.37 million in FY2025).
- Profit After Tax: Grew by an impressive 201.78% to Rs. 200.15 million (from Rs. 66.32 million in FY2025).
- Earnings Per Share (EPS): Demonstrated a substantial increase of 201.50%, reaching Rs. 10.01 per share.
- Shareholders’ Funds: Rose by 6.14% to Rs. 3.56 billion, reflecting enhanced financial stability.
These figures underscore the company’s successful navigation of a dynamic market environment, converting increased demand into significant bottom-line improvements and boosting shareholder returns, with Return on Shareholders’ Funds rising by 186.74% to 5.63%.
Chairperson’s Message Underscores Resilience and Strategic Vision
In her message to shareholders, Ms. A. M. Ondaatjie, Chairperson of Tangerine Beach Hotels PLC, expressed immense pleasure in presenting one of the hotel’s strongest financial performances since the tourism industry’s recovery. She highlighted Sri Lanka’s historic achievement in 2025, welcoming over 2.36 million international visitors, surpassing previous records and creating a favorable environment for growth.
Ms. Ondaatjie noted that despite operational constraints, Tangerine Beach Hotel delivered an encouraging performance by capitalising on improving market demand through proactive marketing, disciplined cost management, and an unwavering focus on service excellence. This strategic approach enabled the hotel to strengthen its competitive position within an increasingly vibrant hospitality landscape.
Operational Excellence and Sustainable Growth Initiatives
The Annual Report details how Tangerine Beach Hotels PLC achieved its robust results through a blend of operational prowess and strategic investments. Occupancy levels improved by 10% to 60.26%, accommodating 79,704 guests, a 12% increase year-on-year. This was largely supported by increased international arrivals, particularly from the Indian market, and sustained domestic leisure demand.
Key operational and investment highlights include:
- Revenue Diversification: Initiatives to strengthen digital marketing, enhance relationships with tour operators and online travel agents, and introduce innovative products targeting leisure, wellness, corporate, and domestic segments.
- Infrastructure Investment: Continued enhancement of physical assets through guest room refurbishment, roof rehabilitation, restaurant improvements, waterproofing projects, and expansion of solar energy infrastructure.
- Human Capital Management: Emphasis on training, multi-skilling, succession planning, and improved service charge distributions, recognising employees as the company’s greatest strength.
Pioneering Sustainability with Inaugural ESG Report
A significant highlight of the year is the release of Tangerine Beach Hotels PLC’s inaugural Environmental, Social, and Governance (ESG) Report. This marks an important milestone in the company’s sustainability journey, demonstrating a commitment to integrating responsible business practices into every aspect of its operations. The company also proudly received the Travelife Sustainability Certification in November 2025, reflecting adherence to internationally recognised sustainable tourism standards.
Environmental initiatives include expanded solar energy utilisation, responsible waste management, and water conservation programs. Social contributions focus on local employment, educational partnerships, and supplier development, underscoring the company’s positive impact on communities.
Positive Outlook for Sri Lanka’s Tourism Sector and TBH
Looking ahead, the Chairperson expressed confidence in Sri Lanka’s long-term tourism outlook, citing the country’s growing international reputation, diverse offerings, and strategic location. While acknowledging global economic uncertainties, TBH remains well-positioned to capitalise on emerging opportunities, with priorities focused on strengthening guest engagement, enhancing service quality, improving operational efficiency, expanding sustainable business practices, and delivering consistent long-term returns for shareholders and stakeholders.
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