Straco Corporation Limited • Annual Report 2014
10
OPERATIONS REVIEW
OVERVIEW
The Group achieved another record performance in FY2014. Group turnover
was $92.32 million for the year ended 31 December 2014, an increase of 26.7%
from that of FY2013, as overall visitor arrivals to the Group’s attractions, including
Shanghai Ocean Aquarium (“SOA”); Underwater World Xiamen (“UWX”) and
Lintong Lixing Cable Car (“LCC”), grew 14.4% to a record 4.39 million. Compared
to FY2013, current year net profit increased 10.5% to $37.69 million.
The Group’s main operating assets during the year include:
• SOA, a premier tourist attraction located in the Lujiazui Financial District of
Pudong, Shanghai
• UWX, located on the scenic Gulangyu Island in Xiamen City
• LCC, a cable car service at the historic Mount Lishan in Xi’an
On 28 November 2014, the Group completed the acquisition of the assets and
business of the Singapore Flyer, an iconic attraction in Singapore, via its subsidiary,
Straco Leisure Pte Ltd (“SLPL”).
China’s economy grew 7.4% in 2014 from a year ago, as ongoing structural
transition dragged down on growth. Despite slower economic growth, China
plans to boost the country’s tourism industry through a series of new measures
and spending, and with the increasingly larger domestic tourism market, domestic
tourism is expected to be on a sustainable growth path. This augurs well for the
Group. The Group’s attractions, which are located within key tourism destinations,
have benefitted from an increasingly favourable macro environment and continue
to generate healthy growth in visitorship and earnings in 2014.
Located next to the Oriental Pearl Tower in Pudong Shanghai, SOA remains
the flagship of the Group in 2014. During the year, various new displays were
introduced, such as “Redhump Eartheater”, “Sheepshead”, “Bowmouth
guitarfishes” and “Pot Bellied Seahorse” as part of its exhibits renewal and
enhancement program. Throughout the year, SOA launched various special
exhibits during major public holidays, the 2014 World Cup season, and
school holidays. It also participated in charitable events organized by the local
government units and collaborated with the local television media to be featured
in various documentary or educational programs.
