Originally posted by shontou AGM       Currently the company has 109000 time share members of which 56000 are active members. The company has about an aggregate dues to the extent of Rs 100 crore from non active/dormant members. Once refurbishment is over the company will try to bring them back to the fold. Of the current total room inventory of 1258 about 600 rooms are getting refurbished. Refurbishment of each room will cost approx Rs 6 lakh per room. Expects the company to return to profitability at operating level in FY12. Currently the occupancy level of its resorts has improved to 40-45% and this is good enough to clock operating profit.

This is the truth of Indian Timeshare Industry
109000 customer 1258 rooms ( 1258 * 52 = rooms for only 65416 weeks,customer)

If you ask management they will say as 56,000 customer has not paid their dues so they are not eligible for vacation, thus we have sufficient rooms for customer.

They could not provide reasonable service and number of rooms, still want to collect 100 Cr dues.

Initially it will be easy for them to come into profit as their customer start utilizing holidays.

Earning=
Earning from resort service (food etc) +
Annual maintenance fee +
recovery of dues.

To grow this business further they will need to sell new membership. That' when marketing (usually >25% of membership fee) and resort setup cost kicks-in thus moderation of profit.











Edited by gbhupesh - 29/Sep/2011 at 6:58pm

They have raised their utility charges for existing customers too.. am a member!!