KUALA LUMPUR (May 23): Landmarks Bhd's net loss widened to RM6.59 million, from RM1.54 million in the first quarter ended March 31, 2016 (1QFY16), due to expenses incurred in the course of business commencement and startups.

This is despite revenue for the quarter having gained nearly 24% to RM23.92 million, from RM19.3 million a year ago, attributed to performance of The Andaman, which recorded strong growth in operating results by RM2.52 million for the first three months of 2016.

It posted a net loss of RM12.16 million, on the back of a revenue of RM61.92 million in FY15.

According to Landmarks, its hotel occupancy and average room rate have increased by 1% and 9% respectively, compared with the previous corresponding period.

According to its filing with Bursa Malaysia today, it said the resort and destination development division recorded a modest RM2.10 million of revenue.

"Operating loss was RM11.16 million, compared with RM3.90 million in the corresponding period of 2015. Operating losses was mainly due to expenses incurred in the course of business commencement and startups," it explained.

Going forward, Landmarks expects the Andaman to continue attracting international guests, and its contribution to the group to increase in 2016.

"The group will be introducing more attractions and activities to Chill Cove in 2016, which are expected to increase visitorship to Treasure Bay Bintan. The Board is optimistic that Treasure Bay Bintan will begin to attract investment interest and generate results for the group," it added.

Shares in Landmarks closed up 0.5 sen or 0.57% at 87.5 sen today, albeit thin trading volume of 31,700 shares. It had a market value of RM423.11 million.