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AccorHotels has posted a strong increase in its profits for 2017, driven by “robust business and very dynamic development”.
Europe’s biggest hotel group which includes Sofitel, Novotel, Mercure and Ibis, said in its full year update for 2017 that net profit increased by 66% to €441m (£389m) in 2017.
Furthermore operating profit grew by 24% to €492m (£434m) on a 17.7% increase in revenues to €1.94bn (£1.71bn).
Sébastien Bazin, CEO, said: “[Our] earnings for 2017 mark another leap in performance, with excellent operating results and record development. The group continues to benefit from positive market trends with a confirmed increase in volumes.
“Against this buoyant backdrop, AccorHotels continues to pursue its dynamic trajectory, consolidate its market share and enrich its range of services for customers and partners.
The group has never been so strong. By developing our ‘augmented hospitality’ model, we are at the forefront of an industry that is constantly transforming and has unlimited prospects.”
Organic development for the group also reached new record levels in 2017, with 264 new hotel openings representing more than 40,802 rooms, and a pipeline of 874 hotels and 161,000 rooms.
Consolidated EBITDA amounted to €626m (£553m) in 2017, up 8.1% like-for-like and 23.6% as reported compared with 2016.
