EasyHotel sees system sales hit £62m in FY22

Budget hotel chain EasyHotel has reported a period of strong trading as it revealed over £62m in total systems sales for the year ending 30 September 2022.

The firm attributed the performance to pent-up demand from business and leisure customers which built over the course of the year as travel re-opened and European cities saw the return of large-scale events. It also said it benefitted from growing consumer focus on value, which has been compounded with the cost-of-living crisis.

The companies also revealed like for like RevPAR was up 37%, outperforming the competitive set’s RevPAR growth of 10%.

The groups’ hotels in Glasgow and Barcelona performed “particularly well” following rescheduled international events.

New hotels in Oxford and Charles De Gaulle Villepinte in Paris also performed well, the latter reported a RevPAR 5% above its competitive set in its first six months, and occupancy above 93% in September, despite two out of three of the airport terminals being closed.

EasyHotel added it experienced particularly good trading in the Benelux region which achieved record sales figures for the summer period.

The news comes as the group announced in October that it had acquired eight new hotels in the region as part of its European expansion plan which will include a new 230 bedroom hotel in Madrid’s Atocha area due to open in late 2022.

Karim Malak, CEO of EasyHotel, said: “Our strategic focus on offering low-carbon, high-quality, affordable hotels has underpinned strong trading recovery in FY22. In an inflationary economy, the strength of the EasyHotel brand and our ability to offer our customers excellent value have been key drivers behind our growth in market share.

“The relaunch of our brand promise – super easy, super price, and super low carbon, has been particularly important in helping us build on this further, appealing to new customers seeking more sustainable, fuss free and affordable hotel stays.”

Malak added: “The year has also seen us implement a number of operational and commercial improvements over the course of the year that will stand us in strong stead for the year ahead as we continue to progress our ambitious growth plans to increase our estate to 100 hotels across Europe by 2026, with 51 owned and franchised hotels in 13 different countries planned to open in the next 18 months.

“Business on the books for November is already above budget and October was 78% stronger than October 2021.”
Harm Meijer, chairman of EasyHotel, said: “EasyHotel has demonstrated its resilience throughout the pandemic and we’ve seen a return to strong trading in FY22. We are also making good progress with our ambitious expansion plans to become the European leader
in affordable, low-carbon hotels.

“We recently announced the purchase of eight Benelux franchise hotels as part of our European Growth drive and have exciting plans in the pipeline to capitalise on the pent-up demand for travel from both business and leisure travellers.”