-- China Outperforms; 32 hotels (10,370 rooms) signed between January and
June 2007
-- Market-Leading Positions in Asia Pacific Continue to Drive Strong
Regional Growth
SHANGHAI, China, Aug. 14 /Xinhua-PRNewswire/ -- InterContinental Hotels Group (IHG) (LON: IHG; NYSE: IHG) announced its first half results to 30 June 2007. Continuing revenue was up 12% from GBP377m to GBP422m, up 20% at constant currency, whilst continuing operating profit was up 5% from GBP106m to GBP111m, up 17% at constant currency. Global constant currency RevPAR grew 7% and total gross revenue from all hotels in IHG’s system was up 12% to US$8.3bn.
(Logo: http://www.prnasia.com/sa/200702131431-min.jpg )
IHG saw the strongest RevPAR (revenue per available room) growth in the Asia Pacific region leads in revenue performance, up 9.1%. InterContinental, Crowne Plaza and Holiday Inn all performed strongly, with RevPAR up 11.1%, 7.9% and 8.4% respectively. Greater China RevPAR increased 6.2%, driven by rate increases. Operating profit from continuing operations was US$27m. Owned and leased hotel operating profit increased 7% to US$15m, after the impact of refurbishment activity at the InterContinental Hong Kong. Managed hotels profit was stable at US$19m.
Commenting on the results and trading, Andrew Cosslett, Chief Executive of InterContinental Hotels Group PLC said: "The company has had a good first half. Signings continue to run at record levels with almost 55,000 rooms signed into our development pipeline. Strong demand with relatively low levels of new supply is driving up room rates and our brands continue to outperform the market in most of our major regions and geographies. Our outlook for the year is positive."
In the first half, a record of 54,246 rooms were signed and 7,430 net rooms added globally, with a closing pipeline of 187,487 rooms (up 19%), giving IHG further confidence that it will exceed its target of 50,000-60,000 net organic room additions by the end of 2008 from the 30 June 2005 starting position.
IHG development activity in the Asia Pacific region continues to be successful. During the first half, 12,702 rooms were signed and 2,805 rooms were opened in the region. In Greater China, 32 hotels, 10,370 rooms, were signed in the first half, consisting of two InterContinentals, 15 Crowne Plazas, six Holiday Inns and nine Holiday Inn Expresses.
Notes to Editors
InterContinental Hotels Group PLC (IHG) of the United Kingdom (LON: IHG, NYSE: IHG) is the world’s largest hotel group by number of rooms. IHG owns, manages, leases or franchises, through various subsidiaries, over 3,800 hotels and almost 564,000 guest rooms in nearly 100 countries and territories around the world. IHG owns a portfolio of well recognized and respected hotel brands including InterContinental(R) Hotels & Resorts, Crowne Plaza(R) Hotels & Resorts, Holiday Inn(R) Hotels and Resorts, Holiday Inn Express(R), Staybridge Suites(R), Candlewood Suites(R) and Hotel Indigo(R), and also manages the world’s largest hotel loyalty program, Priority Club(R) Rewards with over 33 million members worldwide.
The company pioneered the travel industry’s first collaborative response to environmental issues as founder of the International Hotels and Environment Initiative (IHEI). The IHEI formed the foundations of the Tourism Partnership launched by the International Business Leaders Forum in 2004, of which IHG is still a member today. The environment and local communities remain at the heart of IHG’s global corporate responsibility focus.
IHG offers information and online reservations for all its hotel brands at http://www.ihg.com and information for the Priority Club Rewards program at http://www.priorityclub.com . For the latest news from IHG, visit our online Press Office at http://www.ihg.com/media .
Press Images
High resolution images to accompany this announcement are available for the media to download free of charge from http://www.vismedia.co.uk . This includes profile shots of the key executives.
Additional Details
The full stock exchange announcement and supplementary data is available at http://www.ihg.com/interims07 .
