Gulf Hotels Group’s Q2 Profit Climbs 30% on F1-Driven Tourism Boom

Bahrain’s Gulf Hotels Group delivered an impressive performance in the second quarter of 2025, as its net profit surged nearly 30% to BD 2.8 million, compared with BD 2.1 million in the same period last year. Earnings per share rose from 9 fils to 12 fils, while total comprehensive income grew by 39%, reaching BD 2.6 million.

The boost wasn’t just in profit — revenue rose 7%, climbing to BD 10.1 million from BD 9.4 million a year ago.

For the first half of 2025, the group’s net profit reached BD 5.2 million, up 9% from BD 4.8 million last year. Earnings per share grew to 23 fils from 21 fils, and total comprehensive income rose 21% to BD 5.1 million. Revenue for the first six months stood at BD 18.7 million, marking a modest 2% increase.

What’s Driving the Growth

One of the biggest catalysts was Bahrain’s Formula 1 Grand Prix in April, which drew thousands of international visitors and boosted hotel occupancy. The event coincided with a lively holiday season, further increasing demand for rooms, dining, and hospitality services.

The group’s management also highlighted improved operational efficiency and better portfolio management as key contributors to the strong results. By optimizing resources and streamlining processes, Gulf Hotels was able to maximize profitability without compromising guest experience.

In April, Gulf Hotel Bahrain officially joined the Marriott Bonvoy loyalty program, expanding its reach to millions of global travelers and positioning itself as part of a trusted international brand network. This move is already attracting more overseas guests and boosting repeat bookings.

Gulf Hotels Group is also preparing to diversify its revenue streams. Plans are underway to launch a new catering company serving schools, hospitals, corporate clients, and events. In addition, the group is developing a cloud kitchen model to tap into the rapidly growing food delivery market. These ventures aim to secure more stable and sustainable income sources, beyond traditional hotel operations.

Looking further ahead, the group is exploring management deals for new hotels and serviced apartments, as well as expanding its restaurant brands across Bahrain and into Saudi Arabia. These strategies are designed to strengthen its regional presence and open up new revenue opportunities.

Outlook

With Bahrain continuing to invest in tourism infrastructure and global events like Formula 1 maintaining their draw, Gulf Hotels Group is well-positioned for continued growth in the second half of the year. The combination of brand partnerships, diversified services, and operational improvements provides a strong foundation for sustained success.