InterContinental posts solid Q3 growth
Dubai, November 5, 2013
InterContinental Hotels Group (IHG) has registered a 3.3 per cent global growth in RevPAR for the third quarter globally driven by a solid performance from its units in Asia, Middle East and Africa (AMEA) region.
Announcing the quarterly results, IHG said it had performed particularly well in the emerging markets with over 50 per cent of pipeline figures being in those markets. In the AMEA region, RevPAR (Revenue Per Available Room) was up 5.4 per cent, led by 5 per cent rate growth.
The hospitality giant said it aims to provide jobs for approximately 20,000 people across its AMEA estate over the next few years.
In the GCC region, the hotel group registered a strong performance mainly in key markets Saudi Arabia and the UAE.
"There have been some notable hotel signings in the quarter including Holiday Inn Makkah in Saudi Arabia, which will be the largest Holiday Inn hotel in the world with more than 1,200 rooms," remarked Richard Solomons, IHG’s global chief executive.
"Globally, IHG saw a 3.3 per cent growth in RevPAR in the third quarter, with 3.6 per cent growth in the first nine months. A total of 8,000 rooms opened in the quarter taking the system size to 679,000 rooms, up one per cent year on year," stated Solomons.
“We have delivered a solid third quarter performance with RevPAR growth in all four regions, driven by our preferred brands," he noted.
In addition, 16,000 rooms signed in the third quarter, up 18 per cent year on year, taking the pipeline to 180,000 rooms at the quarter end, he added.
On the Southeast Asian sector, Solomons said it had recorded a 10.1 per cent increase in the third quarter driven by continued strength in Indonesia and Thailand. The 11.7 per cent RevPAR growth in Japan reflects increased international business for IHG with particular strength in Tokyo and Okinawa.
“The growth of 3.3 per cent in the quarter was led by a strong performance in our Asia, Middle East and Africa region, up by 5.4 per cent. We have driven group RevPAR up 3.6 per cent in the first nine months, with 4.4 per cent in our largest region, the Americas.”
“We continue to develop our high quality pipeline which underpins our future growth plans. Signings of more than one hotel a day include two new hotels for our InterContinental brand, in London and Sydney, and our second owned hotel for EVEN Hotels.”
“Despite the ongoing challenges in some of our markets, current trading trends give us confidence for the rest of the year and our strategy for high quality growth positions us well for continuing success into the future,” he added.-TradeArabia News Service