Post on 16-Mar-2018
Sterling Holiday Resorts (India) LtdSterling Holiday Resorts (India) Ltd
June 2012June 2012
Financials as of 31st March 2012IP
7
ContentContent
� Company History
� Board of Directors
� Mission
� Business Strengths
� Resort Experience
2
� Resort Experience
� Sales & Marketing
� Highlights FY’12
� Growth Indicators FY’12
� Financials FY’12
� Long Term Strategy
)
Company HistoryCompany History
� Incorporated in 1986. Went public in 1989
� Pioneered and marketed the Property Timeshare & Vacation
Timeshare products successfully in India
� By 1995, 11 resorts in 9 destinations were operational; No. of
customers increased to 86,000; annual revenue touched the Rs.917
Million mark
Went through a 12 years hiatus
3
� Went through a 12 years hiatus
� Fresh equity investments in 2009
� Post financing, past liabilities settled; resorts renovation and
consolidation of operations taken up
� Currently on a high growth trajectory
� Expert professional leadership team in place; more skilled
professionals being recruited
)
ThenThen NowNow
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The great escape It’s a wonderful world!
)
Board of DirectorsBoard of Directors
Name Designation
Mr.Siddharth Mehta Chairman
Mr.S.Sidharth Shankar Vice Chairman
Mr.Ramesh Ramanathan Managing Director
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Mr.Amit Jatia Director
Mr.Shahzaad Dalal Director
Mr.Utpal Sheth Director
Mr.K.Chandrasekaran Director
Mr.M.N.Rangamani Director
)
MissionMission
� Sterling Holidays aims to be the No.1 Vacation
Ownership company in India by FY 2016
� Sterling Holidays will deliver a superior and memorable
holiday experience in aesthetically designed, full-
service resorts located in scenic leisure destinations in
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service resorts located in scenic leisure destinations in
India and around the globe
� Sterling Holidays and its employees are committed to
service excellence, good corporate governance and
sustainable development to create wealth for its
stakeholders and be a responsible corporate citizen
)
Business StrengthsBusiness Strengths
� Among the leading Vacation Ownership companies in India
� 63,435 active Vacation Ownership customers
� 19* Full service resorts, 15 destinations, 1444 apartments
� Strong brand with high recall
� National footprint with large inventories across India
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� National footprint with large inventories across India
� 15 additional scenic vacationing sites with a scope of expansion of
about 2000 plus apartments
� 25 years of expertise in Vacation Ownership and Resort Operations
� Multi location sales & service network
� 2000 strong work force
* Count of operational resorts
)
Integrated Business ModelIntegrated Business Model
Resort Creation
- Scenic holiday spots
- Resort design & development
Holiday Experience
- Full service resorts
- Value creation
- Community building
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Member Management
- Holiday planning & reservations
- Customer satisfaction benchmarking
Marketing & Sales
- Lifestyle need-based segmentation
- Multi-channel sales initiatives
)
Customer Centric OfferingCustomer Centric Offering
Conventional Model Sterling Holidays Model
� Fixed Week Fixed Resort
� Variable Price Model
� Limited Service Resort
Flexible Week & Resort Usage*
Fixed Retail Price
� Transparency
Full Service Resort
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� Limited Service Resort
� Distinct Developer, Marketer and
Service Operator
� Conventional Timeshare Resorts
Full Service Resort
� Enhanced Holiday Experience
Vertically Integrated Operations
� Deliver on promised value
Mixed Use Resorts
� Maximize Revenue & Maintain Quality
* Right-to-use membership of one week every year for 25 years in season, resort
and apartment type of customer choice.
)
Product RangeProduct Range
Vacation Ownership
•The 3rd generation and most contemporary product
Hotel Stays & Holiday Packages
•For Individuals and Groups
Conferences
•MICE
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contemporary product modeled on the international
points system. Offers Ultimate flexibility of usage
)
Multiple Revenue StreamsMultiple Revenue Streams
� Membership Fee
� Annual Maintenance / Utility Charges / Annual Subscription Fee
� Interest on EMI Installments
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� Revenue from Resort Operations
• Admission FeeUpfront
Cash
• AAC, Utility, ASF
• Resort Income
• Interest Income
Recurring Income
)
Unique Revenue Model Value created continuously Unique Revenue Model Value created continuously from a single resort unit..from a single resort unit..
Recurring Revenue Streams*: ASF, Usage Fee, Resort
Income from Financing
Admission FeeEntitlement Fee
Resort - MembersResort – FITInterest on EMI
Annual Subscription Fee
Timeline (years)
*Inflation not considered
0 25
Valu
e R
ealized
Recurring Revenue Streams*: ASF, Usage Fee, Resort
Revenues
Upfront Cash:
Admission Fee
Residual Value *:Opportunity for 2nd cycle - ZERO Marginal Cost of
Inventory
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Value Creation Profile
Large Upfront Cash-flow
Built in Annuity Stream
Residual Value
耀�
Sterling Holidays Hotels
OccupancyStable Occupancy - Less
vulnerable to economic recession
Occupancy subject to economic
cycles
Revenue
StreamsMultiple revenue streams - Yearly
and Annuity basedLimited revenue streams
Debt Structure Debt free High levels of debt
The Sterling Holidays AdvantageThe Sterling Holidays Advantage
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Debt Structure Debt free High levels of debt
Cash Flows Strong upfront cash flow model Low on cash flow
Receivables Receivables can be Securitized. No Securitization opportunity
Holiday
ExperienceHigh Quality – Focus on every
member of the Family.
Generally less focus on Holiday
Experience and no focus on
individuals within the Family.
^
Resort Experience
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^
Wonderful Holiday ExperienceWonderful Holiday Experience--Full Serviced ResortsFull Serviced Resorts
Enhanced Holiday Experience
� Multi-Cuisine Restaurants
� Food Masti Value Meals
� Gamut of In-house &
Outdoor Holiday Activities
Resort Design Strategy
� Located to offer
breathtaking vistas of
destination
� Architecture to blend with
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Outdoor Holiday Activities
� Wellness Spa
� MICE Facilities
� Architecture to blend with
topography
� Apartments designed to
offer stunning views
^
1919resorts inresorts in
15 15 destinationsdestinations
& growing…& growing…Fern Hill, Fern Hill, OotyOoty Woods n SpiceWoods n Spice, , ThekkadyThekkady
Glimpse of a few resorts...Glimpse of a few resorts...
16Emerald Bay, Emerald Bay, KarwarKarwar
VillagioVillagio Inn, GoaInn, Goa
White Mist, White Mist, ManaliManali Golden Sands, Golden Sands, PuriPuri Rock Perch, Rock Perch, YercaudYercaud Valley Valley View,KodaikanalView,Kodaikanal
Silver Oaks, DarjeelingSilver Oaks, DarjeelingElk Hill, Elk Hill, OotyOoty
River View Retreat, CorbettRiver View Retreat, Corbett
)
Glimpse of a few resorts...Glimpse of a few resorts...
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Fern Hill,OotyFern Hill,Ooty Emerald Bay, KarwarEmerald Bay, Karwar
X
Glimpse of a few resorts...Glimpse of a few resorts...
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Golden Sands, Golden Sands, PuriPuri White Mist, ManaliWhite Mist, Manali
X
Resorts Resorts –– ‘Then & Now’‘Then & Now’
New resort identityNew resort identity
NowNow
No resort identity No resort identity
ThenThen
No resort identity No resort identity
ThenThen
New resort identityNew resort identity
NowNow
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Lake View, Kodaikanal Green Vistas, Munnar
B
ThenThen NowNow
20KodaiKodai By The Lake By The Lake -- Rooms Rooms
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21KodaiKodai By The Lake By The Lake -- RestaurantRestaurant
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22MunnarMunnar -- Terrace Greens Terrace Greens -- RoomsRooms
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Range of FacilitiesRange of Facilities
Holiday Activities Room
Children’s Play Area
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Barbeque with live music
Billiards Room
Children’s Play Area
ۓ̠
21 Resorts in 17 Destinations21 Resorts in 17 Destinations
Manali (80)
Musoorie (62)
Additional Units - 49
Gangtok (30)
Lonavala (40)
Goa (88)
Villagio Inn (58)
Camphor Resorts (30)
Karwar (50)
Sariska (25)
*By November 2012
Daman (54)
*By July 2012
Corbett(12)
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Gangtok (30)
Darjeeling (103)
Additional Units - 29
Puri (69)
Additional Units - 131
65 rooms
Yelagiri (34+65)
*By Dec 2012, additional
65 rooms
Kodaikanal (260)
Kodai by the Lake (104)
+ Valley View (156)
Munnar (125)
Additional Units - 184
Yercaud (66)
Thekkady (53)
Ooty (307)
Elk Hill (130 ) + Fern Hill
(177)
No. of Apartments
Owned: 1072 + Leased: 451 Total:1523 + scope for 400 Addl units
* New Resort operations start date mentioned above
A
Available LandAvailable Land--bankbank
Corbett
4.50 Acres
Bhimtal
6.66 Acres
Gangtok
15.10 Acres
Mahabaleshwar
5.13 Acres
Igatpuri
2.47 Acres
Alibaug
3.0 Acres
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Available for
Greenfield projects
15 Destinations
150 Acres
2000+ Rooms
Ooty
Koda Kodai
Villapatti – 8.74 Acres
Lake View – 2.52 Acres
Yelagiri
20.00 Acres
Coorg
Mercara - 30 Acres
Virajpet - 5.75 Acres
Rameshwaram
2.19 Acres
Thekkady
2.80 Acres
Goa
Chapora-4.51 Acres
Vagator-0.90 Acres
Peermade
28.28 AcresMunnar
7.0 Acres
Ooty
1.00 Acres
ۓ̠
Sales and Marketing
26
A
Sales Channel Sales Channel –– VO BusinessVO Business
Home Sits
- Direct to Home sales teams (28 teams)Venue
- Holiday Worlds (9 Venues)
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Franchisee /Agents
- Direct Sale Agents (10 DSAs)
On site
- Sales offices at Resorts (3 Onsite Venues)
㘐Ԝ
Nagpur
New Delhi
Ahmedabad
Sales & Customer Service OfficesSales & Customer Service Offices
Chandigarh
Lucknow
28
Chennai
Hyderabad
MaduraiThiruvananthapuram
Mumbai
Pune
Kolkata
Kochi
Coimbatore
15 Sales & Customer Service
Offices
Franchisee Locations
Onsite Sales Venues
Bengaluru
鼠Ԝ
AdvertisementsAdvertisements
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ꏠԜ
On ground PromotionsOn ground Promotions
30
Ԝ
Web initiativesWeb initiatives
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ἰԝ
Highlights FY’12
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摠ԝ
Highlights FY‘12Highlights FY‘12
� Total income (Rs Lac) 7,827 ( 78%)
� Vacation Ownership Income (Rs Lac) 3,376 ( 122%)
� Resort Income (Rs Lac) 4,106 ( 48%)
� Number of Resorts (#) 19 ( 36%)
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� Number of rooms (#) 1,362 ( 13%)
� Number of room nights (#) 1,85,330 ( 17%)
� Occupancy ( in %) 40% ( 8%)
︰�
Highlights FY‘12Highlights FY‘12
� Q4 FY’12 EBIDTA - 183 Lacs
� Change in Income Recognition - 45% to 60%
� VO Price increase – 15%
� New product launched
� AAC and Utility fee increase – 75% & 40% respectively
� Secured land parcels & renewed licenses
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� Secured land parcels & renewed licenses
� 5 New Leased Resorts
� Resort Refurbishment and Renovation on
� 50 seater Customer Contact Centre established
� CRM implemented using Salesforce.com
� Middle management structure established
� Renewed Banking relationships
� Strengthened Vendor relationships
ᙐ�
Growth Indicators FY’12
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嫐�
Financial Performance FY’12Financial Performance FY’12
2,771
4,106
Resort Income – Rs. Lac
4,395
7,827
Total Income – Rs. Lac
78%
1,518
3,376
VO Income- Rs. Lac
122%48%
36
FY 11 FY 12FY 11 FY 12
1,518
FY 11 FY 12
竐�
Operational Performance FY’12Operational Performance FY’12
2,490
No of Customers acquired (#)3,702
Receivables- Rs. Lac
119%
232%
37
40
Occupancy -%
8%
37
1,135
FY 11 FY 12
1,116
FY 11 FY 12 FY 11 FY 12
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Long Term StrategyLong Term Strategy
� Become a leader in the holiday sector over the next 5 years
� Build resorts with varying themes
� Reposition brand
� Create a strong leadership team; plan for leadership succession
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� Develop a futuristic organization structure in line with strategy
� Make the company a fun place to work
� Build global base for business
� Transcend to become a holiday lifestyle company
胰�Thank You.
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Thank You.