Hotel Shilla President Lee Boo Jin Appeals for Support at Shareholders’ Meeting

The 51st Annual Shareholders’ Meeting of Hotel Shilla
Lee Boo Jin, “We will continue to grow steadily”
What was Hotel Shilla’s performance last year?

The 51st regular shareholders’ meeting of Hotel Shilla took place on the 21st at the Hotel Shilla’s Jangchung office in Jung-gu, Seoul. Lee Boo Jin, the president and chief executive of Hotel Shilla, who has been chairing the shareholders’ meeting for 13 years, appeared in a white suit and met with shareholders.

Before the meeting, she drew attention by answering a question about this year’s business plan, “There are many difficulties, but I can only say that we, including myself and our employees, are working hard,” and asked for a lot of help.

In her opening remarks, Lee stated, “Last year, Hotel Shilla strived to improve profitability through business competitiveness enhancement and operational efficiency improvement despite the difficult business environment.”

Hotel Shilla’s 2023 consolidated sales were $2.66 billion, a 28% decrease from the previous year. Operating profit increased by about 17% to record $68 million.

The recent stock price is in the mid-to-late $30 range, maintaining the lowest level in the past three years. It is about 20% lower compared to the $50 range a year ago.

In response, Lee explained, “The Travel Retail (TR) business achieved a surplus last year despite the global economic recession and consumption slowdown and responded by setting up product and brand configurations reflecting the resumption of group tourism and the changed needs of customers.”

She then stated, “2024 will be a year completely free from the shadow of the pandemic, but the uncertainties of the world economy and politics are growing,” and emphasized focusing on four issues.

She plans to enhance the ability to read the market, establish a proactive and active response process, and concentrate on improving profitability.

She also stressed, “We will continue to develop the heritage unique to (Hotel) Shilla.” This reflects the latest consumer trend of valuing experiences and pursuing valuable consumption. Lastly, she intends to create a company that grows with society.

Lee concluded her remarks by saying, “Although many difficulties are expected in 2024, as the best service distribution company in South Korea that has overcome crises for the past 50 years, we will continue to grow steadily.”

In addition, at this shareholders’ meeting, Hotel Shilla announced financial statements, appointed Han In Gyu, the company’s Chief Operating Officer, as an internal director and Outside Director Ju Hyung Hwan as an Audit Committee member, set the limit for director remuneration and changed the articles of incorporation.

Meanwhile, Lee wore a suit from the 24SS collection of British luxury brand Alexander McQueen on the day. The jacket, priced at $2,240, had a silver brooch as a point on the left chest. The pants are around $750.

Lee is known to favor Alexander McQueen’s clothing. She also wore clothes from this brand at the Hotel Shilla shareholders’ meetings in 2020 and 2022. In 2020, she wore an Alexander McQueen cape (a coat with a cape style without sleeves); in 2022, she wore a black jacket and black pants.

Due to her high-end outfit, Hotel Shilla’s shareholders’ meeting receives considerable attention around this time every year.