Accor Hotels has posted results for the third quarter of 2018, showing that revenue came in at €1,033bn, up 22.3% as reported and 7.6% like-for-like.
RevPAR climbed 5.9%, reflecting positive performances in all regions – particularly in Europe (up 7.1%) and Asia-Pacific (up 3.1%) – primarily as a result of a strong price effect (76%).
Changes in the scope of consolidation (acquisitions and disposals) had a positive impact of €144m (up 17%), thanks in particular to the addition of Mantra, Mo¨venpick and Gekko.
Currency effects had a negative impact of €20m, attributable to the euro’s substantial appreciation against a number of currencies, and despite a fall in value versus the US dollar (1%).
During the period, AccorHotels opened 73 hotels, adding nearly 11,000 rooms. At end-September 2018, the Group’s pipeline had risen above the symbolic 1,000 hotel mark with 1,031 units in planning, representing record volumes of around 184,000 rooms.
HotelServices, which operated 4,681 hotels (684,836 rooms) under franchise agreements and management contracts at the end of September 2018, reported a 9.1% like-for-like increase in revenue to €679 million. This growth resulted from very strong activity in all regions.
Within the division, Management & Franchise (M&F) posted like-for-like revenue growth of 8.5%, supported by a solid RevPAR performance and expansion of the hotel portfolio.
In the UK, M&F RevPAR growth during the quarter (+3.4%) reflected a particularly favorable summer period. Unlike in the first half, activity was up sharply in London (+5.8%), where the occupancy rate reached a record high of over 90% in the third quarter. Outside London, RevPAR also increased, albeit at a more modest rate (+1.4%).
The group’s development continues at a rapid pace. During the third quarter, AccorHotels opened 73 hotels, representing nearly 11,000 rooms. At the end of September 2018, the pipeline comprised 1,031 hotels and over 184,000 rooms, of which 80% in emerging markets and 49% in the Asia-Pacific region.
Sebastien Bazin, Chairman and CEO, (pictured) said, “AccorHotels turned in a solid performance in the third quarter, reflecting positive operating trends in the majority of our markets, as well as the Group’s strong growth as a result of acquisitions made since the start of the year.
'In addition to these operations, which enable us to cement our international leadership, our organic growth continued at a fast pace and our pipeline rose above the 1,000 hotel mark, underlining the strength of our brand portfolio.
'Despite contrasting conditions across our geographies, this strong operating momentum enables us to narrow our EBITDA target to the upper range of the guidance announced in July.”