The Isrotel hotel chain earned NIS 131 million in the third quarter of 2021

The Isrotel hotel chain earned NIS 131 million in the third quarter of 2021, and in the whole of 2022 earned NIS 252 million. This is compared to a loss of NIS 25 million in the entire corona year (2020).

The reason is for the profit: Closing the sky for Israeli vacations, which despite record prices did not give up vacations in Eilat, state grants of NIS 36 million and the hidden fact that in the Corona year the hotel saved a lot of money by not paying agent fees. This is because most of the hotel guests were individuals who booked directly and not groups, mainly from abroad, who come through agents who charge their fee from the hotel and at discounted "group" prices.

The net profit for the whole of 2021, which is unlikely to be repeated in a reality where the sky is open and 1.5 million Israelis are expected to fly abroad on Passover, was 76% more than in 2019, the pre-Corona tourism record year, in which the chain recorded a net profit of NIS 142 million The operating profit in 2021 was NIS 510 million.
The chain's total sales, which employ 5,700 workers, in 2021 amounted to NIS 1.6 billion, compared with NIS 1.4 billion in 2019. These record results were achieved without the contribution of foreign tourism, which denied it the ability to enter Israel. The chain does state in its reports that 98 % Of its revenue came from Israeli vacations compared to 76% in 2019.
Isrotel's results are better than those of other hotel chains in Israel, such as Fattal, whose revenues in 2021 operate in Israel amounted to NIS 1.3 billion, with an operating profit of NIS 400 million. Fattal ended 2021 with a decrease of NIS 16 million, but as a result of overseas operations that suffered from low occupancy.
Isrotel was responsible for controlling the category of luxury hotels in Eilat, the favorite resort city for Israelis, in which the chain operates eight hotels - which constitute 50% of all its profits and 60% of all its hotels in Israel in 2021. This is in contrast to Fattal, for example. In Israel, there are only eight in Eilat. Chains such as Dan and Fattal, which have a concentration of hotels in Tel Aviv and Jerusalem, faced almost zero occupancy in those cities in Corona.
Isrotel, according to the reports, enjoyed an occupancy of close to 70% in its hotels, especially since the Israeli who sought pampering and compensation preferred luxury hotels. Lowered the average, but for a room reminder in Genesis it starts at NIS 2,500 per couple on the weekend.