PPHE Hotel Group (LON: PPH), the international hospitality real estate group which develops, owns and operates hotels and resorts, today announced a trading update for the year ended 31 December 2019.
· Like-for-like1 Group room revenue for the year grew by 6.3% to £249m (2018: £234m)
· Reported Group room revenue for the year increased by 5.9% to £250m (2018: £237m)
· Like-for-like1 RevPAR for the year grew 5.1% to £103.7, driven by like-for-like1 occupancy growth of 130bps to 80.7% and like-for-like1 average room rate growth of 3.4% to £128.5
· Reported RevPAR for the year grew 6.0% to £103.6. Occupancy increased by 120 bps to 80.6% and average room rate improved by 4.4% to £128.5
The Group expects to deliver full year results in-line with Board expectations following a solid performance through the final quarter. The trading benefits from the £100m plus multi-year investment and repositioning programme are starting to come through, following the launch of Holmes Hotel London in May, and the reopening of Park Plaza Vondelpark, Amsterdam and Park Plaza Utrecht in October.
The Group is scheduled to release its audited full year results on 27 February 2020.
Boris Ivesha, President & Chief Executive Officer, PPHE Hotel Group said:
“We are on-course to continue our track record of delivering growth and results in-line with expectations. Our continued success is underpinned by our unique owner-operator model which distinguishes us from industry peers. PPHE is able to access the most attractive sites for our hotel brands, capture substantial development profits and participate across the full hospitality value chain.
We are well positioned for future growth as we drive the performance of our well-invested estate and build out our more than £300m planned development pipeline across the UK, Europe and the US.”
Note: All figures are unaudited. 1The like-for-like figures for December 2019 exclude the operation of Park Plaza Vondelpark, Amsterdam from August to December (the property was temporarily closed for renovations during this period in 2018). The like-for-like figures for December 2018 exclude the first three months of operation for Park Plaza Vondelpark, Amsterdam (the property was temporarily closed for renovations during this period in 2019). Furthermore the like-for-like figures for December 2018 exclude the operation of art’otel dresden (the lease of which was terminated on 31 July 2018).