PPHE Hotel Group Limited (LON:PPH), the international hospitality real estate group which develops, owns and operates hotels and resorts, has announced a trading update for the three months ended 30 September 2025.
Commenting on the trading update, Greg Hegarty, Co-Chief Executive Officer, PPHE Hotel Group said:
“We are pleased to have delivered 5.2% revenue and 2.7% RevPAR growth in the quarter, driven in part by a strong occupancy-led and rate performance from our UK hotels. Our recently opened art’otel branded properties in London and Rome continue to build occupancy in line with our revised expectations. Our Croatian early season and summer period delivered solid results despite poor weather in August.
“While we continue to monitor the volatile macro-economic environment as we enter an important period for our UK business and margins remain sensitive to movements in room rates and cost inflation, current trading is in line with expectations2. The Board’s outlook for FY 2025 is unchanged from previous guidance.”
Q3 Financial highlights:
| · | Reported total revenue increased by 5.2% to £155.9 million (Q3 2024: £148.2 million). Like-for-like1 revenue increased by 4.9% to £154.7 million (Q3 2024: £147.5 million). |
| · | Reported occupancy improved to 80.2% (Q3 2024: 79.5%). Like-for-like1 occupancy increased to 80.8% (Q3 2024: 79.5%). |
| · | Reported RevPAR increased by 2.7% to £140.3 (Q3 2024: £136.6), driven by occupancy and average room rate growth. Like-for-like1 RevPAR increased by 3.0% to £140.8. |
| · | In the UK, the Group’s hotels delivered a solid performance against a strong comparative period last year, characterised by a continued increase in occupancy and a slight growth in average room rate. Trading in the Netherlands and Germany was more subdued, partly due to pressures on both occupancy and average room rate, but also a strong comparative period for the Netherlands in particular. In Croatia, the Group’s hotels, self-catering apartments and campsites performed well during the peak trading months, with good rate growth more than offsetting a slight reduction in occupancy. |
| · | The Group remains focused on efficiency initiatives and cost control to mitigate the impact of Government-led tax increases both in the Netherlands and the UK. |
Operational and strategic highlights:
| · | Recently opened and refurbished hotels continue to build momentum steadily as these properties ramp up, supported by excellent guest feedback. | |
| o | The Group’s first hotel in Italy, art’otel Rome Piazza Sallustio, opened in March 2025 and continues to establish its market position. | |
| o | The phased opening of art’otel London Hoxton continues to be carefully managed to maximise the long-term financial potential of the property. The 25th-floor French Mediterranean restaurant, Solaya, opened in September, in partnership with Michelin star chef Kenny Atkinson. The restaurant offers diners stunning panoramic views of London. The 5,000 sqm of premium office space is currently being marketed to prospective tenants. | |
Current trading & Outlook:
| · | Recent trading demonstrated a modest increase in RevPAR driven by marginally higher room rates. Forward bookings and activity levels are consistent with 2024 levels. |
| · | While the Board remains mindful of the challenging backdrop as the Group enters an important quarter, the Board confirms that its expectations2 for FY2025 are unchanged from previous guidance. |
1 The like-for-like figures exclude the 2025 results from the newly opened art’otel Rome Piazza Sallustio, the results of the first three months of 2025 and 2024 from art’otel London Hoxton and the September results of 2024 and 2025 of the recently terminated leasehold of Park Plaza Wallstreet Berlin Mitte.
2 As at 29 October 2025, PPHE Hotel Group compiled analyst consensus forecast range for FY 2025 showed a revenue range of £458.4 million to £480.4 million and an EBITDA range of £136.0 million to £137.8 million.
Reported key financial statistics
For the three months ended 30 September 2025 (unaudited)
| Reported | Like-for-like1 | |||||
| Three months ended 30 September 2025 | Three months ended 30 September 2024 | % change | Three months ended 30 September 2025 | Three months ended 30 September 2024 | %change | |
| Total revenue | £155.9 million | £148.2 million | 5.2% | £154.7 million | £147.5 million | 4.9% |
| Total room revenue | £108.0 million | £104.0 million | 3.8% | £107.1 million | £103.3 million | 3.6% |
| Occupancy | 80.2% | 79.5% | 70 bps | 80.8% | 79.5% | 130 bps |
| Average room rate | £174.9 | £171.8 | 1.8% | £174.2 | £171.9 | 1.3% |
| RevPAR | £140.3 | £136.6 | 2.7% | £140.8 | £136.7 | 3.0% |
1The like-for-like figures exclude the 2025 results from the newly opened art’otel Rome Piazza Sallustio, the results of the first three months of 2025 and 2024 from art’otel London Hoxton and the September results of 2024 and 2025 of the recently terminated leasehold of Park Plaza Wallstreet Berlin Mitte.
For the nine months ended 30 September 2025 (unaudited)
| Reported | Like-for-like1 | |||||
| Nine months ended 30 September 2025 | Nine months ended 30 September 2024 | % change | Nine months ended 30 September 2025 | Nine months ended 30 September 2024 | %change | |
| Total revenue | £355.8 million | £339.2 million | 4.9% | £348.1 million | £338.4 million | 2.9% |
| Total room revenue | £252.0 million | £242.5 million | 3.9% | £246.0 million | £241.8 million | 1.7% |
| Occupancy | 75.3% | 73.9% | 140 bps | 76.0% | 73.9% | 210 bps |
| Average room rate | £160.4 | £160.4 | 0.0% | £159.2 | £160.4 | (0.8)% |
| RevPAR | £120.7 | £118.5 | 1.8% | £120.9 | £118.5 | 2.0% |
1The like-for-like figures exclude the 2025 results from the newly opened art’otel Rome Piazza Sallustio, the results of the first three months of 2025 and 2024 from art’otel London Hoxton and the September results of 2024 and 2025 of the recently terminated leasehold of Park Plaza Wallstreet Berlin Mitte.
