Hotels

PPHE revenues rise 5.2% in full-year results

PPHE Hotel Group has reported a 5.2% increase in like-for-like revenues to £355.8m for the year ended 31 December 2019. 

Like-for-like EBITDA increased by 3.4% to £117.4m, as reported EBITDA increased by 8.6% to £122.9m, driven by an increased average room rate leading to a 5.1% growth in RevPAR.

Normalised profit before tax also increased by 7.9% to £40.7m.

The report said that site works progressed for the Hoxton-based Art’otel and works are underway at Art’otel London Battersea Power Station, which will be managed by the group on completion.

The group’s portfolio includes 37 hotels and resorts, which compromises around 8,800 rooms and it also announced the acquisition of a plot of land near Waterloo Station in London, for which it is currently in the process of obtaining planning consent for a hotel development.

Boris Ivesha, president and chief executive officer, PPHE Hotel Group said: “Our 2019 financial results coupled with our strategic progress once again demonstrate the strength of our unique business model, the appeal of our hospitality real estate portfolio and our rigorous focus on performance. 

“Over the last three years we completed more than £100m asset upgrade investment projects, the continued benefit of which is being reflected in our financial performance and a significantly enhanced guest experience.”

He added: “Whilst we are closely monitoring the current uncertain macro environmental developments related to the Coronavirus outbreak and its impact on travel patterns, trading for the two months in 2020 for our group has been in line with the board’s expectations.

“Our longer term outlook focuses on growth delivery through our well invested portfolio, the delivery of our more than £300m development pipeline of new properties in London, New York and Eastern Europe and additional acquisition opportunities.”

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