Business remained favourable in most of the Group’s markets in the first half, with revenue totalling €2,593 million, representing a 2.8% increase (pro forma) on a like-for-like basis and a 1.8% decline as reported.
HotelInvest, the Group’s hotel owner and investor unit:
- Like-for-like revenue up 1.6% to €2,286 million.
- Good revenue growth in every region except France (down 1.8%), where demand was particularly impacted by the increase by 3 points in VAT rate on January 1.
HotelServices, the Group’s hotel operator and franchiser unit:
- Business volume up 5.0%, excluding the currency impact, to €5.7 billion, led by expansion in emerging markets.
- A 5.7% like-for-like increase in revenue to €582 million, with sharp improvements in the Americas (up 10.8%), the Mediterranean-Middle East-Africa region (up 10.1%), Northern, Central and Eastern Europe (up 5.0%).
Opening of 12,284 new rooms (92 hotels) in the first half, of which 90% are under management and franchise agreements.
Sébastien Bazin, Chairman and Chief Executive Officer, commented:
“Accor’s saw good momentum in the first half despite a French market that continued to be unfavorably impacted by changes in tax legislation. HotelServices pursued its expansion in fast-growing regions and HotelInvest strengthened its position as Europe’s leading hotel investor with the recently completed acquisition of 97 hotels in Germany, Switzerland and the Netherlands.”
Second-quarter in the UK
In the United Kingdom, business again improved strongly in the second quarter. This performance, led by the Midscale and Economy segments, was due mainly to solid demand and successful openings. London generally held up well, with second-quarter RevPAR up 3.9%, while other cities, in particular Bristol, Cardiff and Manchester, also delivered a very strong performance, with RevPAR outside London rising by 8.3% over the period.
Like-for-like revenue growth was 5.0% for HotelInvest and 3.6% for HotelServices. This momentum was also reflected in the opening of 4 hotels (530 rooms) in the second quarter.
The Group’s outlook remains favourable
Overall, the trends seen in the second quarter remain solid. RevPAR growth is sound, through both occupancy and prices.
Revenue continues to improve in the Mediterranean, Middle East and Africa (MMEA) and Northern, Central and Eastern Europe (NCEE), enhanced by good business levels in the United Kingdom and Benelux. The recovery trend in Southern Europe is confirmed, with double digit growth in Q2.
Despite the situation in the French market, which continues to be impacted by the effects of a difficult economic and tax environment, and to a lesser extent the situation in the Asia-Pacific region, the Group should continue to benefit from positive momentum in the coming months in all other geographies.
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