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PPHE Hotel Group Ltd on Thursday said it delivered a performance above pre-pandemic levels in its largest markets - the UK and the Netherlands - in the first quarter of 2023.
The hotel and resort operator reported revenue of £68.8 million, up sharply from £32.0 million in the previous year and 10% higher than the £62.5 million achieved in the first quarter of 2019.
Total room revenue amounted to £50.4 million, up from £22.5 million in the previous year and 16% higher than £43.5 million in the first quarter of 2019.
Average room rate increased to £143.70 from £124.10 year-on-year. Against 2019, average room rate increased 25% from £115.50.
Revenue per available room improved to £96.20 from £42.50 the year prior. Against 2019, RevPAR climbed from £88.20.
Occupancy levels, meanwhile, fell to 67% in the quarter from 77% in the same quarter of 2019. Against the previous year, occupancy levels improved significantly from 34%.
Chief Executive Boris Ivesha said that the momentum experienced in the first quarter is moving into the second quarter. ‘This affords us great optimism for the rest of the year, with forward bookings for summer and peak season also very healthy,’ he said.
Consequently, PPHE said it is on track to deliver further growth in revenue and earnings before interest, tax, depreciation and amortisation in line with recently upgraded market consensus.
PPHE-compiled analyst consensus forecast range for 2023 sees total revenue between £368 million and £376 million. It sees Ebitda between £108 million and £111 million.
In 2022, revenue totalled £330.1 million and Ebitda totalled £94.6 million.
‘Our confidence in the future is stronger than ever in spite of the ongoing macroeconomic uncertainties. The portfolio is well-invested, the development pipeline is fully funded and accretive, and our strong offering and financial position enable us to take advantage of the continued momentum in the travel market. Trading continues to indicate that consumers and our guests are happy to spend on attractive destinations and holidays regardless of the backdrop,’ CEO Ivesha concluded.
Shares in the firm were down 0.9% at 1,130.00 pence on Thursday afternoon in London.
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