Mr. Toh Giap Eng
Executive Chairman
My heartfelt appreciation goes to our dedicated staff across every market for their commitment and professionalism throughout the year. To our shareholders, partners, and stakeholders, your continued trust and support are the foundation upon which heeton grows. To my fellow board members, thank you for your wisdom, governance, and steadfast guidance as together we steer the group forward in the years ahead.
Dear Shareholders,
I am pleased to once again present to you the annual report for Heeton Holdings Limited (“Heeton”, the “Company” and together with its subsidiaries, the “Group”) for the financial year ended 31 December 2025 (“FY2025”).
REVIEW OF FY2025
The Group’s three businesses, which comprise hospitality, property investment and property development demonstrated resilience in FY2025, amidst a challenging and volatile global environment.
Post-pandemic tourism has continued to grow across our markets. The UK economy grew by 1.3% in 2025, according to the UK Office for National Statistics. Japan welcomed a record 42.7 million international visitors in 2025, a 15.8% increase from 36.9 million in 2024, according to the Japan National Tourism Organization. Thailand, another of our hospitality markets, saw foreign tourist arrivals ease to approximately 32.9 million in 2025 from 35.5 million in 2024, according to Thailand’s Ministry of Tourism and Sports. Singapore, where we have started to build our hospitality footprint, posted 5.0% GDP growth for full-year 2025, according to the Ministry of Trade and Industry’s February 2026 revised estimates. International visitor arrivals reaching 16.9 million in 2025, up from 16.5 million in 2024, and tourism receipts for the first nine months of 2025 reaching S$23.9 billion.
Among our milestones in FY2025, we successfully opened “Dawa at Hilltop by Heeton” in Paro, Bhutan, the country’s largest hotel, in August 2025; the room expansion at Dorsett Changi City Singapore hotel from 313 to 419 rooms; and fully launched Heeton Concept Aparthotel Queen Street Edinburgh, which was acquired in December 2024 and became operational in early 2025.
BUSINESS OUTLOOK
The International Monetary Fund’s (“IMF”) January 2026 World Economic Outlook projects global growth at a steady 3.3% in 2026, the same estimated rate as 2025, underpinned by investment in technology, including artificial intelligence, which is helping offset headwinds from shifting trade policies. The IMF notes that risks remain tilted to the downside, including geopolitical tensions and the possibility of an AI-investment correction.
Looking into 2026, we are cautiously optimistic. For the UK, the IMF forecasts GDP growth of 1.3%, and PwC’s UK Hotels Forecast projects RevPAR growth of approximately 1.5% across UK regional hotels. However, rising operating costs, particularly from the scheduled April 2026 minimum wage increase and the higher National Insurance Contributions that took effect in April 2025, will continue to pressure margins.
In Singapore, the Ministry of Trade and Industry’s February 2026 forecast projects GDP growth for 2026 to between 2% and 4%, revised upward from the prior 1% to 3% projection, while the Singapore Tourism Board expects visitor arrivals of 17 to 18 million and tourism receipts of approximately S$31.0 to S$32.5 billion. Our Dorsett Changi City Singapore hotel and our second Singapore hotel investment, the Link Hotel Singapore, undertaken as part of a consortium in early 2026, position us well to participate in this growth.
However, the sudden US-Israel war with Iran which started in late February 2026 has added a new wave of volatility and complexity to the mix. We are monitoring the situation as it develops, which has disrupted aviation routes through the Gulf, introduced uncertainty over energy and other costs, and is likely to impact travel demand and booking patterns across our markets in the near term.
As we pursue growth in hospitality, our Singapore retail malls, Sun Plaza and Tampines Mart, continue to provide a stable base of recurring income. As a Group, we remain focused on protecting margins, maintaining financial resilience, and capturing compelling opportunities as and when they arise.
As part of our property development growth strategy, we have also participated in the Upper Thomson Road (Parcel A) project through a joint venture. This partnership will accelerate the development of a fully integrated residential and commercial property at the site, strengthening our development pipeline and enhancing long term value creation for the Group.
IN TRIBUTE
It is with deep sadness that I pay tribute to our Founder, Mr Toh Khai Cheng, who passed away in December 2025. Mr Toh served as a director of the Company from its inauguration in July 1976 until his retirement in December 2021, a tenure of over four decades during which he guided Heeton from a small-scale enterprise into a listed property company with a growing international portfolio of multi-class properties. The values and culture he built into this organisation continue to guide the Board and management, and it is our collective commitment to honour his legacy by continuing to build on the foundations he laid.
IN APPRECIATION
My heartfelt appreciation goes to our dedicated staff across every market for their commitment and professionalism throughout the year. To our shareholders, partners, and stakeholders, your continued trust and support are the foundation upon which Heeton grows. To my fellow Board members, thank you for your wisdom, governance, and steadfast guidance as together we steer the Group forward in the years ahead.
Sincerely,
TOH GIAP ENG
Executive Chairman