Guocoleisure

Guocoleisure: Profit for 1H13 decreased 3.6% to US$35.3m, revenues increased 7.5% to US$203.9m mainly due to higher revenue generated from the hotel segment during the 2012 Summer Olympics. Expenses increased due to labour cost inflation in UK, together with the recruitment of additional hotel operational staff. Mgmt stated that the situation in the Eurozone as well as in the UK continues to have an impact on the Group's hospitality business which is its largest segment. Performance in the first half of the year however was buoyed by the London Olympics. Counter is trading at 9.8x P/E and 0.6x P/B, and is up 3% YTD.