Tourism industry veteran Hiran Cooray expresses cautious optimism for winter amid bleak summer warnings

By Nishel Ferando

As Sri Lanka pursues an ambitious target of 2.5-3 million arrivals this year, Jetwing Hotels Chairman Hiran Cooray expressed cautious optimism for the upcoming winter season while warning of a highly challenging summer. 

Navigating global macroeconomic headwinds, Cooray in latest annual report of Jetwing Symphony  noted that while the winter season holds promise provided geopolitical and aviation conditions stabilize, the immediate summer months look bleak.

“The ongoing global situation has created uncertainty, particularly for summer travel,” he cautioned, pointing out that even if global conditions improve, travel demand will take time to recover due to the high cost of living in key source markets and escalating airfares.

He added that existing bookings are likely to face severe cost pressures, with operating expenses projected to rise significantly against only marginal upsides from international revenues.

Cooray’s pragmatic outlook is heavily validated by the latest arrival statistics, which reflect the lingering impact of global travel disruptions that began in late February. While May 2026 showed early signs of a fragile recovery with 145,745 arrivals—a 9.65 percent increase from the 132,919 tourists recorded in May 2025—the broader performance remains subdued. Cumulative arrivals for the first five months of 2026 stood at 1,022,022, trailing slightly behind the 1,029,803 arrivals recorded during the same period last year.

Furthermore, the island’s tourism recovery has become heavily reliant on regional traffic, with India dominating the influx by contributing 60,342 tourists in May, representing a massive 41.0 percent share of the total monthly arrivals.

Beyond global demand fluctuations, a pressing domestic concern highlighted by the veteran hotelier is the downward trajectory of room rates in the commercial capital, coupled with the urgent need for sustainable practices. Cooray expressed alarm over the lack of confidence among some city hoteliers, which has led to a softening of Colombo room rates.

“My concern, however, is that due to the lack of confidence among some hoteliers, Colombo rates may continue to soften, especially with additional inventory expected in the coming years,” he warned, urging the industry to exercise pricing discipline to protect the city’s value.

In tandem with financial sustainability, he stressed that environmental preservation remains a non-negotiable pillar for the sector’s survival. Pointing to the poor management of national parks as a severe threat, Cooray asserted, “If we are to speak of sustainable tourism, we must ensure that our wildlife, forests and national parks are treated with the respect they deserve.”

Despite these overarching industry challenges and external shocks, including Cyclone Ditwah and the escalating Middle East crisis, Jetwing Symphony PLC has demonstrated significant resilience, recording a robust financial turnaround for the 2025/2026 financial year. Total group revenue witnessed a 10 percent increase to reach Rs. 4.5 billion, compared to Rs. 4.1 billion in the previous financial year. Profit before tax recorded an even more substantial surge, increasing by 37 percent to Rs. 858 million, up from Rs. 627 million in the previous year. 

This strong performance was heavily supported by an exceptionally strong run in January and February, before global travel disruptions took hold.

Supported by this significant financial recovery, Jetwing Symphony PLC was able to declare its first-ever dividend payout of 50 cents per share. 

The group saw impressive turnarounds across key properties in its portfolio, including Jetwing Colombo Seven, Jetwing Kaduruketha, Jetwing Surf and Safari, and Jetwing Jungle Lodge. Meanwhile, Jetwing Yala continued its strong operational run, serving not only as a vital asset for the group’s financial bottom line but also standing as a successful model for responsible hospitality and biodiversity protection in the country.