Unique Hotel & Resorts financial analysis: power JV carries profit as Westin RevPAR falls 21% (Oct 2026)

Investment considerations: a power-plant stake earns 83% of profit while the hotels struggle to cover BDT 1.3bn of interest

Unique Hotel & Resorts PLC (UHRL) owns The Westin Dhaka in Gulshan, run by Marriott under a management contract signed in 1999, the HANSA serviced residence in Uttara, and the Sheraton Dhaka in Banani, whose restaurants and banquet halls trade while its rooms are not yet open [1 p.4] [1 p.6]. It also owns 37.24% of the economic interest in SFL Unique Nebras Meghnaghat Power PLC (UMPL), a 584 MW gas-fired plant at Meghnaghat that began commercial operation on 20-Jan-2024 [1 p.134] [1 p.135] [1 p.264]. The fiscal year ends on 30 June [1 p.244].

Since FY2024 the power plant, not the hotels, has driven the bottom line. UHRL's share of UMPL profit was BDT 1,272m in FY2025, 83% of the BDT 1,525m net profit, while the hotel company itself earned BDT 254m after tax, including a one-off BDT 426m gain on the sale of UMPL shares [1 p.43]. The board's own bridge puts core hotel operations at BDT 0.87 of the BDT 5.18 EPS and UMPL at about BDT 4.32 [1 p.118]. For FY2026 the company announced EPS of BDT 3.53, NAV per share of BDT 95.91 and a 12% cash dividend [6]; the audited annual report is not yet in our corpus.

Business model: Dhaka's Westin and Sheraton, a serviced residence and a stake in a 584 MW power plant

UHRL was incorporated in 2000, opened The Westin Dhaka on 1-Jul-2007 and listed on the DSE and CSE in 2012 [1 p.4] [1 p.6]. Marriott (through Westin Asia Management Co., formerly Starwood) operates the Westin and the Sheraton for fees; at June 2025 UHRL owed the operator BDT 189m of licence, marketing and incentive fees [1 p.278]. HANSA, a 76-room serviced residence in Uttara, is run under the group's own brand [3 p.92].

The company has three earnings streams. First, rooms: The Westin had 58.0% occupancy in FY2025 and HANSA 58.1% [1 p.53]. Second, food and beverage, banqueting and events, which at Dhaka's international hotels are as large as rooms: F&B was BDT 917m at the Westin and BDT 665m at the Sheraton [1 p.49]. Third, rental of shop and office space at both hotels (BDT 92m in FY2025) [1 p.49]. Below the hotel line sit interest income on fixed deposits, the equity-accounted UMPL stake and a 35% associate, Sonargaon Economic Zone Ltd (SEZL) [1 p.135].

The decade has three chapters. Up to FY2019 the Westin alone produced revenue of BDT 1.7-2.2bn and net profit of about BDT 0.53-0.60bn, almost all of which was paid out [5 p.51]. Covid then cut revenue to BDT 675m in FY2021 [1 p.43]. From FY2022 the Sheraton's F&B outlets opened (BDT 436m of revenue in FY2022, 750m in FY2024) and revenue reached BDT 2.93bn in FY2023 [4 p.266] [3 p.279]. The third chapter is the power plant: once UMPL began operating in January 2024, its profit share replaced hotel profit as the main source of EPS [1 p.43].

The market around the hotels matters for every line. The company's own sector review puts tourism at about 3% of Bangladesh's GDP, notes that the government's 2041 plan includes a third terminal at Hazrat Shahjalal International Airport, and lists the shortage of international-standard hotels, weak transport links outside Dhaka and limited global marketing as the main constraints [1 p.134]. For UHRL the airport and the elevated expressway shorten the trip from the airport to Gulshan and Banani [1 p.2]. The company also runs a lounge at the airport, which carries a separate lease with the Civil Aviation Authority and produced a BDT 69m impairment of a disputed advance [1 p.270]. Demand for banquets and restaurants is local and has held up better than demand for rooms, which is why the mix between the two is the first thing to check in each set of results [1 p.49].

Hotels: Westin RevPAR fell 21% to BDT 8,386 in FY2025; F&B held up

Rooms are the most volatile line. In FY2025 Westin occupancy fell from 63.0% to 58.0% and the average daily rate from BDT 16,803 to 14,451 (-14.0%), so RevPAR fell 20.8% to BDT 8,386 [1 p.53]. Westin rooms revenue fell by the same 20.9%, to BDT 719m [1 p.49]. The reported RevPAR equals occupancy times ADR, and rooms revenue divided by RevPAR implies about 235 available rooms a night in both years [11], so the fall was price and demand, not fewer rooms.

The company told the DSE why: the July-August 2024 student movement and its aftermath, foreign travel advisories, cancelled corporate events and a flood in the first quarter, at a hotel whose occupancy 'is based on foreign guests' [6]. HANSA was steadier: occupancy fell to 58.1% but its ADR rose 7.6% to BDT 7,801, so RevPAR slipped only 4.9% [1 p.53]. The FY2025 report gives ADR and RevPAR for two years only, so a longer RevPAR series is not available from the filings read.

F&B behaves differently. Westin F&B fell only 3.0% to BDT 917m while rooms fell 20.9%, so F&B rose to 1.28x rooms revenue from 1.04x [1 p.49] [11]. Sheraton F&B rose 1.0% to BDT 665m, while income from 'simulation events' (trial operations ahead of the rooms opening) fell to BDT 27m from 39m [1 p.49]. Local weddings, conferences and restaurants therefore cushion the hotel's revenue when foreign room demand drops.

Line items: rooms drove the FY2025 revenue fall, and interest doubled to BDT 1,285m

Revenue fell 8.3% to BDT 2,683m in FY2025 after being flat in FY2024 [1 p.43]. Rooms explain most of it: Westin rooms revenue fell BDT 190m against a total fall of BDT 243m [1 p.49]. In 9M FY2026 revenue recovered 8.4% to BDT 2,229m, but the third quarter (January-March 2026) fell 17.1% to BDT 712m against 859m a year earlier [2 p.3]. The Q3 FY2026 statements do not give occupancy.

Cost of sales is mainly food, beverage and room supplies. It rose 1.4% in FY2025 while revenue fell, so gross margin dropped to 70.0% from 74.8% in FY2023 [11]; management cites inflation and commodity prices [1 p.117]. In 9M FY2026 cost of sales rose 17.4% on revenue up 8.4% [2 p.3], so the squeeze continued. Hotel administrative costs (staff, utilities, maintenance, operator fees) were BDT 858m in FY2025, up 5.7%, and the company names electricity and gas tariffs and bank rates as pressures [1 p.43] [6].

Corporate office costs of BDT 439m sit above the hotels [1 p.43]. After them, core operating profit was BDT 581m in FY2025, a 21.7% margin, against BDT 943m (32.1%) in FY2023 [11]. Before Covid the core margin was 31-38% [11].

Interest is now the decisive line. Interest expense rose from BDT 263m (FY2023) to 615m (FY2024) and 1,285m (FY2025) [1 p.43], although borrowings fell from BDT 10.0bn to 9.4bn [1 p.42]. Interest as a share of average borrowings went from 3.0% to 13.2% [11]. Two things drove it: loan rates of 12-14% on the Sheraton and Acropolis term loans (UCB 14%, Agrani 12.9%, Al Arafah 13.5%, Standard Chartered 12%) [1 p.276] [1 p.277], and less capitalisation, since FY2024 interest paid (BDT 787m) exceeded the expense (615m) while in FY2025 the two were equal at BDT 1,285m [1 p.247]. In 9M FY2026 interest expense eased 8.6% to BDT 899m [2 p.3].

Other income (BDT 279m in FY2025) and interest income on fixed deposits (BDT 262m) offset part of the interest bill [1 p.43]. The Sheraton's profit is shared 50:50 with Borak Real Estate, which provided the building space; UHRL's share was BDT 174m in FY2025 but BDT 52m in 9M FY2026 against 116m [1 p.43] [1 p.261] [2 p.3]. Tax was BDT 98m in FY2025, and UHRL also books 20% deferred tax on UMPL's undistributed profit (BDT 266m in FY2025) [1 p.277].

A historical sensitivity: in FY2025 each 1 percentage point of interest rate on average borrowings of about BDT 9.7bn was worth about BDT 97m, or BDT 0.33 a share before tax [11]. Each 1 point of Westin occupancy at the FY2025 ADR of BDT 14,451 on about 235 rooms was worth about BDT 12m of rooms revenue [11].

Associates and investments: the UMPL power JV supplied 83% of FY2025 profit but has only started returning cash

UMPL (SFL Unique Nebras Meghnaghat Power PLC) is building and operating 584 MW at Meghnaghat, Narayanganj; commercial production began on 20-Jan-2024, the project cost is about USD 612m and it is financed 25:75 equity to debt [1 p.134] [1 p.135]. The sponsors are Strategic Finance Ltd (SFL), UHRL and Qatar's Nebras Power. After four closings of a 2021 share sale to Nebras, UHRL owns 51% of the ordinary shares, but equity has been injected through preference shares split SFL 38.76%, UHRL 37.24% and Nebras 24%; dividends go by preference share, so UHRL books 37.24% of UMPL's net assets and profit as a joint venture [1 p.264].

The share sale itself produced one-off gains of BDT 836m (FY2022), 1,129m (FY2023) and 426m (FY2025, the fourth and final closing, USD 3.54m) [1 p.43] [1 p.117] [6]. Those gains are finished. What remains is the running profit share: BDT 1,075m in FY2024, 1,272m in FY2025 and BDT 895m in 9M FY2026 against 1,023m a year earlier [1 p.43] [2 p.3]. In FY2025 the company restated FY2024 after UMPL changed its functional currency to USD [1 p.117].

On the balance sheet the investment grew from BDT 2.2bn (June 2021) to 7.8bn (June 2025) and 8.9bn (March 2026), 19.8% of total assets [1 p.42] [2 p.2] [11]. It comprises BDT 5,344m of preference shares, BDT 2,725m of accumulated profit share and a BDT 284m negative hedging reserve; UHRL has also lent UMPL BDT 476m of sponsor support [1 p.264] [1 p.294]. UMPL's dollar loans carry SOFR plus a margin, hedged with Standard Chartered [1 p.274].

Cash is what matters for UHRL's shareholders. Until FY2025 cash went one way, BDT 990m (FY2024) and 1,095m (FY2025) paid to UMPL [1 p.247]. In 9M FY2026 BDT 297m came back [2 p.5]. The profit share is BDT 895m for the same nine months, so most of it is still retained inside the plant. Power-sector arrears at the Bangladesh Power Development Board (the off-taker) are a known sector risk, but the filings read do not give UMPL's receivable balance.

Projects: BDT 8.7bn sits in an unopened Sheraton and a Gulshan site, both shared with a sponsor company

Construction work in progress was BDT 8,721m at June 2025, 19.6% of total assets, in two projects [1 p.261] [11].

Sheraton Dhaka (BDT 7,456m). The hotel sits on 60 kathas at 44 Kemal Ataturk Avenue, Banani, owned by Dhaka North City Corporation (DNCC); Borak Real Estate (BREL), a sponsor of UHRL, won the tender to develop it, and under a 2010 agreement UHRL bears the construction and fit-out cost and shares hotel profit or loss 50:50 with BREL [1 p.261]. A writ petition (No. 7415/2023) on the DNCC-BREL space split for floors 15-28 is pending in the High Court; a revised UHRL-BREL profit-sharing agreement was signed on 30-Jun-2024 [1 p.262]. Only BDT 17m was added in FY2025 after BDT 383m in FY2024 [1 p.261]; the restaurants and banquet halls trade, but 248 rooms are described as 'ready to use' and not yet open [1 p.6].

Southpark 'Seven Star International Chain Hotel' (BDT 1,265m). UHRL advanced BDT 2,600m to BREL for 23.94 kathas on Gulshan Avenue. In December 2023 shareholders approved turning this into a joint venture with BREL at a 53.34:46.66 land ratio, with BREL returning the advance; BDT 1,154m had been refunded by June 2025 and BDT 1,446m was still outstanding [1 p.294]. Spending on the project was BDT 12m in FY2025 [1 p.262].

Acropolis floor space (exited). UHRL had paid BDT 3,919m to BREL for 185,575 sft in the Acropolis tower at Gulshan, financed partly with Al Arafah and Standard Chartered loans. After an independent valuation, shareholders approved in December 2023 that BREL would refund the advance plus a BDT 413m fair-value gain; BDT 2,062m came back in FY2024 and 2,010m in FY2025, leaving BDT 261m [1 p.270]. The loans taken for it remain on UHRL's balance sheet [1 p.277].

Ratios: ROE of 5.6%, interest cover below 1x, and cash conversion that relied on refunds

Returns have always been low on this asset base. ROE ranged from 1.2% to 7.4% over FY2018-FY2025 [11], because equity of BDT 24-28bn includes a revaluation reserve of BDT 9.7bn [1 p.244]. Asset turnover is about 0.06x [11]. NAV per share rose from BDT 79.7 (FY2020) to 93.9 (FY2025) and 95.9 (FY2026, announced) [11] [6].

Cash conversion is weak at the hotel company. Operating cash flow was BDT 1,903m in FY2024 but BDT 846m in FY2025, as collections fell by BDT 1.0bn [1 p.247]; after BDT 1,285m of interest paid, operating cash flow did not cover interest in FY2025 (0.66x) [11]. The dividend and debt repayments were funded by refunds from BREL and by running down fixed deposits [1 p.247]. For FY2026 the company announced operating cash flow per share of BDT 3.92, above EPS of 3.53 [6].

Peers on the same basis (nine months to March 2026, own filings): the Peninsula Chittagong grew revenue 4.9% with a 12.5% operating margin and a small loss; Sea Pearl, Cox's Bazar, grew 21.7% with a 30.9% operating margin but lost BDT 196m after BDT 443m of finance cost on its 20% bond [8 p.3] [9 p.3] [9 p.17]. UHRL's operating margin of 23.1% sits between them, and like Sea Pearl its operating profit does not cover finance cost; only the power JV keeps it profitable [2 p.3] [11]. Using one definition for all three ('operating margin' = operating profit / revenue, nine months), UHRL's margin is 10.6 pp above Peninsula's and 7.8 pp below Sea Pearl's; on 'revenue growth' it is 3.5 pp ahead of Peninsula and 13.3 pp behind Sea Pearl [11]. Scale differs as much as the ratios: UHRL's nine-month revenue was 7.7 times Peninsula's and 3.6 times Sea Pearl's, and it is the only one of the three with a large non-hotel earnings stream. Sea Pearl's loss comes from its bond coupon and Peninsula's from a thin operating profit; UHRL's hotel company also lost money before the UMPL share, so all three show the weight of borrowing costs on listed hotel owners [8 p.3] [9 p.3] [2 p.3].

Debt and interest cover: BDT 9.4bn of loans at 12-14% that core hotel profit covered only 0.45x

Borrowings were BDT 9,373m at June 2025 (term loans 7,590m, short-term 1,782m) and BDT 8,769m at March 2026 [1 p.244] [2 p.2]. Against cash and fixed deposits of BDT 2.0bn at June 2025, net debt was BDT 7.35bn, 0.27x equity [11]. The loans are secured on the Westin land and building, HANSA and other property, carry personal guarantees from the chairperson and managing director, and two of them (UCB, Agrani) are backed by pledges of 9m and 30m UHRL shares held by sister concerns [1 p.276] [1 p.277]. The 39m pledged shares are 13.2% of UHRL's 294.4m shares, and the Agrani loan also carries a corporate guarantee from Borak Real Estate [1 p.276].

Interest cover is the weak point. Core operating profit covered interest 3.6x in FY2023, 1.4x in FY2024 and 0.45x in FY2025; in 9M FY2026 operating profit covered interest 0.57x [11]. The hotel company lost BDT 14m after tax in 9M FY2026 before the UMPL share [2 p.3]. The auditor's opinion is unmodified, with emphasis of matter on (a) not equity-accounting Dacca Steel Works and (b) the SEZL investment of BDT 886m (advance of BDT 883-886m plus BDT 3m equity; the auditor's report and related-party note differ slightly) after the zone's licence was cancelled; management's post-year-end test found no impairment [1 p.237].

Related parties: BDT 2.5bn still owed by sponsor company Borak Real Estate, which also shares the Sheraton

UHRL is the listed company of the Unique Group of Mohd. Noor Ali (managing director) and Salina Ali (chairperson). Group companies own most of it: Borak Real Estate 19.37%, Unique Eastern 8.14%, Borak Travels 4.79%, Purnima Construction 4.03%, the Noor Ali Family Trust 3.89%, and family members Salina Ali 5.71%, Nabila Ali 6.53%, Nadila Ali 4.38% and Mohd. Noor Ali 3.74% [1 p.123]. Sponsors and directors owned 52.45% at 30-Sep-2026 [7].

Money moves both ways. UHRL is owed by BREL BDT 1,446m (Southpark land), BDT 261m (Acropolis) and BDT 777m on current account, a net BDT 2,484m or 9.0% of equity at June 2025, down from BDT 3,218m [1 p.294] [11]. In FY2025 BREL refunded BDT 2,010m of the Acropolis advance, but its current account with UHRL swung from a BDT 499m payable to a BDT 777m receivable (BDT 1,283m of adjustments), so net exposure to BREL fell by only BDT 734m [1 p.294]. UHRL in turn owes the chairperson, the managing director and other group companies BDT 1.67bn on current accounts [1 p.294]. Liabilities to intercompanies fell from BDT 3,047m (June 2023) to 734m (June 2025) [1 p.42]. The Sheraton itself is a profit-sharing arrangement with BREL [1 p.261]. The board audit committee reviews related-party agreements, and directors' pay was BDT 10.9m in FY2025 [1 p.171] [1 p.295].

Dividend record and governance: payout fell to 12% for FY2026 under a family-controlled board

UHRL has paid a cash dividend every year since listing and has not issued bonus shares since 2011 [7] [5 p.51]. Before Covid it paid out about all of its profit (20-22% of face value, payout about 100%); for FY2020 the sponsors waived their 10% [5 p.51] [11]. Since the power JV became the main earner the payout has been 31-34% of EPS: 20% for FY2023, 16% for FY2024 and FY2025, and 12% (BDT 1.20) for FY2026, record date 19-Nov-2026 and AGM 22-Dec-2026 [1 p.246] [1 p.3] [6] [11]. Cash dividends of about BDT 470m a year are larger than the hotel company's own after-tax profit in FY2025 (BDT 254m) [1 p.43] [1 p.247].

The board has ten members including two independent directors and 30% women [1 p.44] [1 p.123]; several directors are nominated by Borak Real Estate, Unique Eastern, Purnima Construction and Borak Travels [1 p.123]. FY2024 comparatives were restated in the FY2025 report for UMPL's functional currency [1 p.117]. In the 24 months to October 2026, DSE news covered results, the final UMPL share-sale closing (April 2025), the emphasis-of-matter notice (November 2025) and the CRISL AA+ rating (August 2025 and August 2026) [6].

What's next: the FY2026 annual report, the Sheraton rooms and UMPL cash

Risks: foreign travel, interest rates and the power plant's cash matter most

Key questions: UMPL cash, Q4 FY2026 and interest cover decide shareholder returns

At BDT 38.9 the shares trade at 11.0x FY2026 EPS of BDT 3.53 and 0.41x the announced June 2026 NAV of BDT 95.91, with a dividend yield of 3.1% [10] [6] [11]. These are facts about the price, not a view on it.

FAQ

What does Unique Hotel & Resorts own?

The Westin Dhaka, HANSA serviced residence in Uttara, the Sheraton Dhaka (rooms not yet open) and a 37.24% economic interest in the 584 MW UMPL power plant [1 p.6] [1 p.264].

When does UHRL's fiscal year end?

30 June [1 p.244].

What was FY2026 EPS and dividend?

EPS BDT 3.53 and a 12% cash dividend (BDT 1.20), announced on 29-Oct-2026 [6].

How much of profit comes from the power plant?

BDT 1,272m of BDT 1,525m in FY2025 (83%) [1 p.43].

What were Westin occupancy and RevPAR?

58.03% occupancy, ADR BDT 14,451 and RevPAR BDT 8,386 in FY2025, against 63.0%, 16,803 and 10,586 in FY2024 [1 p.53].

How much debt does UHRL have?

BDT 8.8bn of borrowings at 31-Mar-2026; interest expense was BDT 1,285m in FY2025 [2 p.2] [1 p.43].

Which results does this report use?

Annual reports FY2017-FY2025, the Q3 FY2026 statements, and the DSE announcement of FY2026 results; the FY2026 annual report is not yet in our corpus and the model will be updated when it is filed.

Sources

1. Unique Hotel & Resorts PLC Annual Report 2024-25 (year to 30-Jun-2025) · link · accessed 2026-10-31
2. Unique Hotel & Resorts PLC unaudited financial statements, nine months to 31-Mar-2026 (Q3 FY2026) · link · accessed 2026-10-31
3. Unique Hotel & Resorts PLC Annual Report 2023-24 (corpus key dated 2023-06-30; content is FY2024) · link · accessed 2026-10-31
4. Unique Hotel & Resorts PLC Annual Report 2022-23 (corpus key dated 2022-06-30; content is FY2023) · link · accessed 2026-10-31
5. Unique Hotel & Resorts Ltd. Annual Report 2019-20 (five-year data FY2016-FY2020) · link · accessed 2026-10-31
6. Dhaka Stock Exchange company news, UNIQUEHRL (FY2026 dividend declaration 29-Oct-2026; Q1-Q3 FY2026 results; CRISL rating 16-Aug-2026) · link · accessed 2026-10-31
7. Dhaka Stock Exchange company page, UNIQUEHRL (dividend history, shareholding at 30-Sep-2026) · link · accessed 2026-10-31
8. The Peninsula Chittagong PLC unaudited financial statements, nine months to 31-Mar-2026 · link · accessed 2026-10-31
9. Sea Pearl Beach Resort & Spa Ltd unaudited financial statements, nine months to 31-Mar-2026 · link · accessed 2026-10-31
10. AnalystBro price data (TradingView feed): DSE:UNIQUEHRL, PENINSULA, SEAPEARL daily bars to 29-Oct-2026 · link · accessed 2026-10-31
11. AnalystBro model for this report (workbook tabs below) · link · accessed 2026-10-31