PPHE Hotel Group (PPH) Q3 2024 TU earnings summary

Executive summary

• Achieved robust Q3 performance with like-for-like total revenue up 1.8% to £143.5m, and reported revenue up 5.1% to £148.2m, driven by new hotel openings and growing occupancy.

• Occupancy improved to 81.5% like-for-like (up 400 bps year-over-year), with RevPAR up 2.3% to £139.8 like-for-like.

• Strategic progress included completion of Radisson RED Berlin Kudamm and phased opening of art'otel London Hoxton.

Financial highlights

• Q3 reported total revenue rose 5.1% year-over-year to £148.2m; like-for-like revenue up 1.8%.

• Q3 reported occupancy at 79.5% (up 200 bps); like-for-like occupancy at 81.5% (up 400 bps).

• Q3 average room rate decreased 2.7% like-for-like to £171.6; reported rate £171.8.

• Q3 like-for-like RevPAR up 2.3% to £139.8; reported RevPAR £136.6.

• Nine-month reported revenue up 5.7% to £339.2m; like-for-like up 3.2%.

Outlook and guidance

• Trading remains in line with market expectations; FY24 revenue consensus mean at £438.5m and EBITDA consensus mean at £138.1m.

• Board remains confident in FY24 outlook, supported by high-quality assets and strategic momentum.