Accor (AC) H1 2025 earnings summary

Executive summary

• Revenue rose 2.5% year-over-year to €2,745 million in H1 2025, with strong performance in Luxury & Lifestyle (+5.6%) and stable Premium, Midscale & Economy results (+0.1%), despite macroeconomic and FX headwinds.

• Recurring EBITDA increased 9.4% to €552 million (13.5% at constant currency), with recurring free cash flow up 13.3% to €136 million and a 25% cash conversion rate.

• Net profit was €233 million, down from €253 million in H1 2024 due to prior-year one-offs, but up 19% when adjusted for Essendi asset sales.

• 117 hotels opened in H1 2025, adding over 15,000 rooms and achieving net unit growth of 1.9% over 12 months, with a pipeline of 241,000+ rooms.

• €503 million returned to shareholders via dividends and share buybacks in H1 2025.

Financial highlights

• Group revenue up 2.5% at reported rates and 5.1% at constant currency to €2.745 billion in H1 2025.

• Recurring EBITDA up 9.4% at reported rates and 13.5% at constant currency to €552 million, with FX headwinds of 4 points.

• Net profit at €233 million, down from €253 million prior year, but up 19% when adjusted for Essendi asset sales.

• Recurring free cash flow improved 13.3% to €136 million, with cash conversion ratio rising to 25%.

• Net financial debt increased to €3,096 million as of June 30, 2025, from €2,495 million at year-end 2024.

Outlook and guidance

• FY 2025 guidance: RevPAR growth of 3–4%, net unit growth around 3.5%, and recurring EBITDA growth of 9–10% at constant currency.

• Reported recurring EBITDA for FY 2025 expected to be negatively impacted by ~€60 million due to currency effects.

• H2 2025 priorities include reinforcing financial discipline, accelerating hotel openings, advancing Essendi bid evaluation, and executing the remaining €240 million share buyback.

• FY26 and FY27 prospects reaffirmed.