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AMEA RevPAR leads IHG’s H1 results

AMEA RevPAR leads IHG’s H1 results Interim 2013 results see global operating profits hit $338m and additional profits “returned to shareholders”

IHG has announced the results of its 2013 interim financial results, with Asia, Middle East and Africa leading performance. In the region, IHG has opened 2000 rooms across six hotels over the same period, including the first new build in Japan for 15 years.

Globally, IHG saw 3.7% growth in RevPAR in H1, supporting a 7% increase in revenue for the period and a 20% increase in operating profit to $338 million. IHG also announced a 10% increase in the interim dividend, as well as plans to return an additional $350 million to shareholders via a special dividend, continuing its track record of industry leading shareholder returns.

In Asia, Middle East and Africa (AMEA), RevPAR was up 6.2% (with 1.6% rate growth) and second quarter RevPAR was up 6.8% (with 2.3% rate growth). Southeast Asia and Japan reported high single digit RevPAR growth; the Middle East and Australasia both achieved mid-single digit RevPAR increases.

In the AMEA region, IHG has opened 2,000 rooms across six hotels in the first half of 2013, including an InterContinental hotel in Osaka, IHG’s first new-build InterContinental to open in Japan for over 15 years. During the first six months of this year, IHG has also signed 10 hotels (3,000 rooms) in the region, up over 80% year on year. New hotel signings include a Crowne Plaza hotel in Oman, Staybridge Suites hotels in Jeddah and the first Holiday Inn hotels for Doha and  Mauritius.

“We have delivered a good performance in the first half, with our preferred brands driving RevPAR growth of 3.7%, including 4% in the second quarter. Our global scale has allowed us to reinvest in the business whilst growing margins, resulting in solid underlying profit gains led by our Americas region and strong cash flows,” said chief executive Richard Solomons.

He added: “We continue to strengthen our foundation for future growth, signing more than 200 hotels into our pipeline, a notable increase on H1 2012 reflecting our owners’ confidence in both IHG and the industry demand drivers.

2013 is IHG’s 10th anniversary.

 

 

 

 

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