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Slovenian spa resorts suffer losses due to pandemic

Slovenian health resorts suffered a major loss due to the coronavirus pandemic, with this year forecast to remain doomed. According to Slovenian media reports, the health resorts hope the government will help the sector mitigate the impact of the pandemic on their business.

Spa resorts first closed during the first block in the spring of 2020, before closing once again in October to date, as they currently do not accept any clients. Only patients transferred for rehabilitation are accepted.

Thermana Laško tells STA that its net revenue fell 31% last year compared to 2019, reaching only 49% capacity. 9% of revenue was generated from tourism coupons.

The company received state aid, however the drop in revenue remained significant, the company says. His plans surpass last year’s results, but it will all depend on the constraints that remain in place.

The company was forced to lay off 11 employees and is losing staff through the downturn, as it hopes the situation will stabilize soon.

Thermana believes that legislation drafted by the Ministry of Economy to help the industry recover from the pandemic will be vital so that the sector has a chance to survive at a time when it is virtually impossible to generate revenue.

Terme Olimia said its revenue fell as much as 93% in the first quarter of the year.

Enterprise figures were rising at the start of the pandemic and it managed to adapt very quickly to the restrictive measures announced in the interim between the first and second blockades. Terme Olimija is confident it will be able to attract guests during the summer and survive the year.

The company, reports STA, did not lay off staff because years ago it faced a shortage of manpower as its capacities were reaching their limits. Now he wants to avoid repeating this scenario in the future, and in this context even hired some key staff who were needed.

State measures to assist businesses seemed particularly beneficial, particularly the tourism voucher scheme, the income subsidy scheme, and the funds that partially covered the enterprise’s fixed costs. They hope to take advantage of the coupon scheme again this year, as many people still do not have to use their coupons.

Terme Zreče, meanwhile, said he saw a 70% drop in revenue in the last quarter of 2020. The company has not fired so far, but decided against extending any fixed-term contract.

To prevent layoffs, the resort relies on government measures and has welcomed legislation being prepared by the government.

Terme Krka also said he has not laid off employees, hoping the gradual increase will return once the pandemic is brought under control.

Terme Topolšica said it suffered a 70% drop in revenue in the last quarter of 2020 and the first quarter of 2021. Bojan Trifković believes that the sector will need a long time to recover, expecting that the company to return to 2019 levels in five years

The company had to lay off some of its staff, though it plans to hire again this year. Commenting on the government’s measures, Trifković expressed confidence that the government was doing everything in its power to help the sector.

Sava Hotels & Resorts saw revenue drop of over EUR 35 million. The group did not rent temporary assistance and did not renew fixed-term contracts.

The group welcomed the planned tourism legislation. According to forecasts, the sector will suffer significant damage and legislation is needed to mitigate the blow, the group said.

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