Q2 REVIEW
Worrisome China data impacts otherwise strong IHG performance
The InterContinental Sao Paulo in Brazil .
IHG Hotels & Resorts posted strong performance in the first half of the year , with RevPAR up 3.2 % in the second quarter , driven largely by the impressive performance in the U . S . Globally , IHG ’ s RevPAR rose 3 %, while ADR increased by 2 %. Robust performances in the Americas and EMEAA regions helped offset China ’ s weak performance . While RevPAR in the Americas increased by 2.5 % in the second quarter , it fell 7 % in China .
Total revenue rose
Elie Maalouf , CEO , IHG Hotels & Resorts
4 % to stand at $ 2.32 million . RevPAR growth accelerated in the second quarter , highlighting the strong rebound in the U . S ., IHG ’ s wide global presence and increasing developing activity , CEO Elie Maalouf said during the earnings call .
New signings and conversions played a key role in fueling IHG ’ s Q2 performance . New hotel signings rocketed 123 % YOY , or up 23 % adjusting for Iberostar and NOVUM . Through the quarter , IHG signed 39,400 rooms , up from 17,700 rooms in Q1 . In the first half of the year ,
the company opened 126 new hotels and signed a record 384 properties , which equals more than two hotels a day . Holiday Inn , IHG ’ s massively popular brand , has been instrumental in driving the company ’ s overall growth . IHG signed 200 Holiday Inn properties in the past 30 months and opened nearly 90 . There are now more Holiday Inn hotels and rooms than there was at 2021-end .
New brands represented more than a quarter of the 384 new signings . Garner , IHG ’ s new midscale brand , contributed to the high number of new signings this year , with over 80 properties signed under the brand since it was launched last year .
IHG ’ s total global estate now stands at 6,430 hotels totaling 955,000 rooms .
Luxury and lifestyle hotels lead Accor H1 performance
Accor posted a strong first-half performance with revenue up 11 % to € 2.6 million and RevPAR up 6 %. The performance aligns with the medium-term outlook Accor presented last year , Chairman and CEO Sébastien Bazin said .
The growth was propelled by a 4 % increase in the premium , midscale and economy division ( compared to Q2 2023 ) and a 22 % surge in the luxury and lifestyle division ( compared to H1 2023 ). Q2 activity was robust across all regions and for all its brands . These performances will help the group to raise its RevPAR target for the year , Bazin said .
Revenue generated by the premium , midscale and economy division saw a 4 % rise from H1 2023 to € 1.4 million . The increase was largely in line with the activity level in the first half .
The impressive performance of the
16 hotelsmag . com September 2024