Our decision last year to dispose of our freehold hotel investments and reinvest in hotel and catering management companies, and in building companies which build hotels, hostels and houses is now being reflected in a level of profits which any traditional hotel company will find near impossible to equal
Last week one of our key investments in the building and construction industry, Galliford Try plc, produced a 28 per cent rise in profits and a 43 per cent increase in dividends with a further increase again forecast for next year. Looking into the immediate future and the recent raft of hotel construction plans by Travelodge, Premier Inns, Hilton in its various brands and more provincial boutique hotels, it is obvious the building /construction business can only benefit. The future turnover in construction is guaranteed to grow on the housing demand and added orders from the hotel industry can only boost profits, thus for those of you involved in our current investment programme, we continue to increase our holdings.
More of our new investments made from the disposal of our owned/managed properties will be reporting results shortly and we will continue to update you on their progress and the expectant increased profits and dividends.