BUSINESS BRIEFS
LOSSES AT CASTLE
Castle Group posts $1.12M loss
Advertiser Staff
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Castle Group Inc., the Honolulu-based parent company of Castle Resorts & Hotels, reported a loss in 2007 as it incurred costs to open a unit in Thailand and become an actively traded stock again.
The company reported it ended the year with a $1.12 million loss, as compared to a $372,000 profit the prior year.
Castle Group said its increased costs during the year included those to open a subsidiary in Thailand, where it is making a push to land resort management contracts. The company so far has signed up two contracts in Thailand for resorts at Phuket Island and Koh Samui and has set a goal of having 15 resort properties in Thailand, Vietnam and elsewhere in Southeast Asia by the end of next year.
"While our top-line revenues continue to grow handsomely, our bottom line reflects our commitment and investment into Thailand and other destinations," Rick Wall, Castle Group chairman and chief executive, said in a statement.
Castle has 19 hotels in Hawai'i on the Big Island, O'ahu, Kaua'i, Maui and Moloka'i.
Castle reported 2007 revenue increased 8 percent to $21 million, while expenses rose 19 percent to $21.97 million.
The costs included expenses involved with making Securities and Exchange Commission filings current so its stock could be actively traded on the Over The Counter Bulletin Board market. The company also cited an expense of $954,000 to adjust the value of a receivable owed to it by Hanalei Bay International Investors.
