Strong US performance at IHG sees RevPAR accelerate in Q3
Continuing strong momentum in the US market helped Holiday Inn and Crowne Plaza owner Intercontinental Hotels Group (IHG) deliver a pick-up in revenue per available room (RevPAR) growth in the third quarter.
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Global comparable RevPAR growth was 7% in the three months to 30 September, compared with a 5.8% increase in the first half of the year.
"We delivered our best quarterly RevPAR performance in over two years with growth in each of our four regions," said chief executive Richard Solomons.
"Performance in the US was particularly strong where RevPAR was up 8.7%, demonstrating the excellent momentum in the business and the success of our winning strategy."
Momentum is being driven by record levels of demand and higher occupancy rates, the group said. US RevPAR growth accelerated strongly from the 6.4% and 6.7% growth in the first and second quarters of the year, respectively.
The wider Americas region, which accounts for two-thirds of group operating profits, saw total RevPAR rise 8.4%.
Elsewhere, European RevPAR was up 6.1%, helped by strong performances in the UK and Germany. RevPAR in Asia, the Middle East and Africa increased 4.4%, while growth was just 0.8% in Greater China.
IHG added 8,000 rooms to its portfolio in the quarter while 4,000 were removed, with the net number of rooms rising 2.7% year-on-year to 697,000 across 4,760 hotels.
"Whilst some of our markets face heightened uncertainty and risks, we continue to see strong momentum in the business and remain encouraged by current trading and positive booking trends," Solomons said.