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PPHE Hotel Group has reported that the impact of Covid-19 saw total revenue fall to £61.9m, down from £155.2m, in the six months ended 30 June 2020.
In addition, EBITDA for the period swung to a loss of £3.3m, down from earnings of £45.7m in the first half of 2019.
While the group said it “outperformed” the market in January and February prior to the onset of the pandemic.
The “significant” impact of the crisis resulted in reduced customer demand and property closures from March, though 84% of its property portfolio is now open, with a “sharp rebound” in performance seen in its flagship properties during weekends.
Despite the crisis, the group said it was able to preserve cash flow and realign its operational structure to meet near-term demand, as well as reprioritise its investments, including capex programmes and development pipeline projects.
It has also secured various funding in the period, including a £180m fund secured for the development of Art’otel London Hoxton.
The hotel group said it will now continue to “closely monitor” the ongoing uncertainty and disruption to the hospitality industry and will “further adapt to market conditions” to preserve cash and its long-term growth prospects.
Boris Ivesha, president and CEO, PPHE Hotel Group said: “The first half of the year has brought unprecedented challenges unlike anything the hospitality industry has seen before.
“In the face of these difficulties, the Group has shown its ability to adapt to the new environment, supported by the high quality of our portfolio, our flexible owner operator model and broad customer appeal.”
He added: “I am delighted that the majority of our properties are safely welcoming customers once again, and I am encouraged by the strong leisure demand and resulting market outperformance we have seen in our flagship properties in London and Amsterdam.
“Looking ahead, we are focused on maintaining this positive momentum and ensuring that the group is well-positioned to navigate the ever-evolving trading environment and to capitalise on future opportunities in line with our growth strategy.”
