The Yatu Lau Company Limited, in 2013, recorded a profit of $5million.

This was revealed yesterday by the Lauan Provincial Company’s chief executive officer, Sialeni Vuetaki.

“The company made a pre-tax profit of $5.239m in 2013 and it is a 374 per cent increase from the $1.103m achieved in 2012,” Mr Vuetaki said.

He said the profit generated for 2013 was a historical achievement in relation to Yatu Lau’s past achievements.

The increase in net asset position of Yatu Lau of $23.159m in 2013 from $18.969 in 2012 represented an increase of 22 percent.  “This is no small feat and it is a commendable achievement,” Mr Vuetaki said.

Yatu Lau Limited expects to record the same profit for 2014.

He said the turnover in business resulted after he was appointed chief executive officer in January 2013 to lead the company after its dismal performance in 2011 and 2012.

It was so bad that the debtors were after them and the company struggled to pay tax.

Mr Vuetaki said he put in place a consolidation policy which helped their properties to make profit except for the Lagoon Resort at Pacific Harbour, Deuba.

“Three companies had already run the resort and did not make money so we are running it now. We tried to sell it, some had shown interest, but no one had really made a commitment,” he said.

As for the future, he said the Yatu Lau’s direction was spelt out in its Strategic Plan.

The plan is:

– Five strategic objectives with action plans setting the path for consolidation growth;

– Organisation Structure – a flat structure to minimise hierarchial bureaucracy and bottlenecks;

– Company Policies in Employment, Finance and Operations formalised and adopted;

– Restructure of operational areas to minimise costs and promote team dynamics;

– Increasing revenue via rental increases and higher hotel occupancies;

– Non-performing portfolios are placed on the market or remodelled to increase yield;

– Training and development of staff members to improve knowledge and skills; and

– Assessing opportunities to grow the company.

Mr Vuetaki said the company was looking North and officials met a team from the Bua Provincial Council for a joint venture.

He said they had also signed a memorandum of understanding with East Sepik Province in Papua New Guinea which wanted to buy shares in the company and was also willing to set up a joint venture.

Next month the company is sending three representatives to East Sepik for further talks and some members of the Lau Provincial Council will also be going with them.

Last year a team from East Sepik was in the country and attended the Lau Provincial Council meeting at Studio 6 Apartments, Suva.

Mr Vuetaki said plans had already been completed for some renovations to Studio 6 Apartments.

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