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Millennium & Copthor (MLC)

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Wednesday 02 November, 2016

Millennium & Copthor

3rd Quarter Results

RNS Number : 0520O
Millennium & Copthorne Hotels PLC
02 November 2016
 

                                                                                                                       

                               

 

For Immediate Release                                                                                               2 November 2016

 

 

MILLENNIUM & COPTHORNE HOTELS plc

TRADING UPDATE

Nine months and third quarter results to 30 September 2016

 

 

Highlights for the nine months 2016:

 

9 mths

2016

Reported Currency

Constant Currency

9 mths

2015

Change

 

9 mths

2015

Change

RevPAR

£73.94

£71.43

£2.51

3.5%

£76.37

£(2.43)

(3.2)%

Revenue - total

£665m

£615m

£50m

8.1%

£658m

£7m

1.1%

Revenue - hotel

£581m

£559m

£22m

3.9%

£598m

£(17)m

(2.8)%

Profit before tax

£102m

£98m

£4m

4.1%

£105m

£(3)m

(2.9)%

 

 

Highlights for the third quarter 2016:


 

Q3

2016

Reported Currency

Constant Currency

Q3

2015

Change

 

Q3

2015

Change

RevPAR

£85.78

£77.66

£8.12

10.5%

£87.23

£(1.45)

(1.7)%

Revenue - total

£247m

£211m

£36m

17.1%

£240m

£7m

2.9%

Revenue - hotel

£221m

£194m

£27m

13.9%

£220m

£1m

0.5%

Profit before tax

£46m

£36m

£10m

27.8%

£42m

£4m

9.5%

 

·       The steep fall in the value of sterling after the 23 June 2016 referendum had a significant impact on Group's results, with exchange gains adding £43m and £7m to Group reported revenue and profit before tax respectively for the first nine months of 2016.

 

·       Group RevPAR in reported currency was up 3.5% but in constant currency fell by 3.2% in the first nine months of 2016 compared to the same period last year.

 

·       Total revenue in reported currency for the first nine months grew by 8.1% to £665m, due to higher land sales and REIT revenue and exchange gains; partially offset by lower hotel revenue. In constant currency, revenue grew slightly by 1.1% for the same period.

 

·       Hotel revenue in constant currency declined by 2.8% to £581m during the first nine months of 2016.  In reported currency, hotel revenue increased by 3.9% to £581m (2015: £559m).

 

·       Third-quarter occupancy increased by 4.8% points for the Group's London hotels, reflecting higher inbound tourism.

 

·       Profit before tax in constant currency for the third quarter of 2016 increased by 9.5% and by 27.8% in reported currency. For the first nine months of 2016, profit before tax increased by 4.1% in reported currency and decreased by 2.9% in constant currency.

 

 

Mr Kwek Leng Beng, Chairman commented:

 

"Our London hotels have seen some positive benefits from leisure travellers following the EU referendum in June 2016 although the outlook for the UK economy is uncertain.  We have also seen an improving trend in the regional US and growth in the New Zealand markets; and benefitted from favourable foreign exchange movements. However, trading of our New York and Singapore hotels was disappointing and we continued to focus on improving margins.  We are monitoring the performance in all our markets closely and the Group's financial position remains strong.  The Group has a long term perspective and considers asset ownership as key to its strategy."

 

 

 

 

 

 

 

 

Enquiries

Millennium & Copthorne Hotels plc                                                                                                               Tel: +44 (0) 2078722444

Aloysius Lee, Chief Executive Officer

Jonathon Grech, Group General Counsel and Company Secretary

Peter Krijgsman, Financial Communications (Media)               

 



FINANCIAL PERFORMANCE

 

 

9 mths 2016

£m

Reported Currency

Constant Currency

9 mths 2015

£m

Change

9 mths

£m

Change

£m

%

£m

%

Hotel

581

559

22

3.9

598

(17)

(2.8)

Property

42

23

19

82.6

25

17

68.0

REIT

42

33

9

27.3

35

7

20.0

Total Revenue

665

615

50

8.1

658

7

1.1

 

 

Q3

£m

Reported Currency

Constant Currency

Q3 2015

£m

Change

Q3

£m

Change

£m

%

£m

%

Hotel

221

194

27

13.9

220

1

0.5

Property

13

6

7

116.7

7

6

85.7

REIT

13

11

2

18.2

13

-

-

Total Revenue

247

211

36

17.1

240

7

2.9

 

For the nine months ended 30 September 2016, Group revenue increased by 8.1% to £665m (2015: £615m).  This was a result of higher property revenue, increased contribution from the REIT and a positive foreign exchange impact of £43m. Excluding exchange gains, Group revenue rose by 1.1% (2015: £658m).

 

Hotel revenue in constant currency fell by 2.8% to £581m (2015: £598m) during the first nine months of 2016, compared to the same period last year. This was due mainly to continued weak trading in New York and Singapore. London recorded a stronger revenue performance in Q3 2016, supported by RevPAR growth of 2.4%.

 

Property revenue in constant currency for the period increased by 68.0% to £42m (2015: £25m), mainly because of increased land sales in New Zealand primarily during the first half of this year and an increased contribution from Millennium Mitsui Garden Hotel Tokyo. Revenue from the REIT in constant currency increased by 20.0% to £42m (2015: £35m) mainly because of the contribution from its first UK hotel, Hilton Cambridge City Centre which was acquired in October 2015.

 

Hotel Operations

 

In constant currency, Group RevPAR for the first nine months of 2016 fell by 3.2% to £73.94 (2015: £76.37) due to decreases in both occupancy and average room rate of 0.5% points and 2.4% respectively. In the third quarter of 2016 Group RevPAR decreased by 1.7% in constant currency, with occupancy up by 1.1% points and average room rate down by 3.1%.

 


RevPAR

Occupancy

Average Room Rate

9 mths 2016

YTDQ3 2016

£

#YTDQ3 2015

£

Change

%

YTDQ3 2016

%

YTDQ3 2015

%

Change

%pts

YTDQ3 2016

£

#YTDQ3 2015

£

Change

%

  New York

130.32

152.94

(14.8)

74.8

82.3

(7.5)

174.14

185.80

(6.3)

  Regional US

58.80

56.32

4.4

61.1

61.2

(0.1)

96.23

91.98

4.6

Total US

82.35

88.15

(6.6)

65.6

68.2

(2.6)

125.49

129.30

(2.9)

  London

105.29

107.68

(2.2)

81.1

80.6

0.5

129.78

133.66

(2.9)

  Rest of Europe

52.67

53.42

(1.4)

72.8

74.3

(1.5)

72.32

71.94

0.5

Total Europe

79.32

81.45

(2.6)

77.0

77.5

(0.5)

102.96

105.08

(2.0)

  Singapore

79.60

88.03

(9.6)

84.8

87.5

(2.7)

93.83

100.58

(6.7)

  Rest of Asia

57.88

55.69

3.9

64.1

62.1

2.0

90.26

89.61

0.7

Total Asia

66.29

68.22

(2.8)

72.1

72.0

0.1

91.88

94.78

(3.1)

Australasia

51.92

44.70

16.2

79.4

74.9

4.5

65.37

59.68

9.5











Total Group

73.94

76.37

(3.2)

71.7

72.2

(0.5)

103.18

105.75

(2.4)

 

 


RevPAR

Occupancy

Average Room Rate

Q3 2016

Q3 2016

£

#Q3 2015

£

Change

%

Q3 2016

%

Q3 2015

%

Change

%pts

Q3 2016

£

#Q3 2015

£

Change

%

  New York

158.04

182.10

(13.2)

82.1

89.1

(7.0)

192.54

204.27

(5.7)

  Regional US

73.10

67.79

7.8

68.5

67.0

1.5

106.79

101.23

5.5

Total US

101.06

105.45

(4.2)

72.9

74.3

(1.4)

138.56

141.98

(2.4)

  London

132.48

129.37

2.4

92.0

87.2

4.8

144.01

148.35

(2.9)

  Rest of Europe

57.13

59.65

(4.2)

76.9

79.9

(3.0)

74.30

74.66

(0.5)

Total Europe

95.29

95.40

(0.1)

84.5

83.6

0.9

112.72

114.06

(1.2)

  Singapore

87.51

95.55

(8.4)

90.1

89.9

0.2

97.13

106.34

(8.7)

  Rest of Asia

60.07

56.97

5.4

64.8

60.7

4.1

92.63

93.89

(1.3)

Total Asia

70.70

71.91

(1.7)

74.6

72.0

2.6

94.74

99.91

(5.2)

Australasia

52.43

44.02

19.1

74.1

67.7

6.4

70.79

64.99

8.9











Total Group

85.78

87.23

(1.7)

76.4

75.3

1.1

112.29

115.89

(3.1)

 

#       In constant currency whereby 30 September 2015 RevPAR and average room rates have been translated at average exchange rates for the period ended 30 September 2016. 

 

US

 

US RevPAR for the first nine months of 2016 was down by 6.6% £82.35 (2015: £88.15) with decreases in both occupancy and average room rate. In the third quarter of 2016, US RevPAR decreased by 4.2%.

 

In New York, RevPAR fell by 14.8% as a result of a 7.5% points fall in occupancy and 6.3% fall in average room rate.  Excluding ONE UN New York whose east tower was closed for refurbishment from November last year to early September 2016, RevPAR for US and New York fell by 2.0% and 7.8% respectively.

 

RevPAR for Regional US increased by 4.4% to £58.80 (2015: £56.32) for the first nine months of 2016. For the third quarter of 2016, RevPAR increased by 7.8% to £73.10 (2015: £67.79) largely due to positive returns from newly refurbished hotels.

 

Europe

 

Europe RevPAR for the first nine months of 2016 dropped by 2.6% to £79.32 (2015: £81.45).  In the third quarter Europe RevPAR was marginally lower compared to the same period, reflecting improvement in the London in-bound market, following the sharp fall in sterling against other currencies after the EU referendum on 23 June.

 

London RevPAR fell by 2.2% for the first nine months of 2016, compared to the same period last year, with a 0.5% point rise in occupancy and 2.9% fall in average room rate. In the third quarter of 2016, London RevPAR grew by 2.4% mainly due to an increase in occupancy of 4.8% points.

 

RevPAR for the Rest of Europe decreased by 1.4% during the first nine months of 2016 mainly due to lower occupancy.

 

Asia

 

Asia RevPAR for the first nine months of 2016 fell by 2.8% to £66.29 (2015: £68.22) driven mainly by lower average room rate. Singapore RevPAR fell by 9.6% with decreases in both occupancy and average room rate.

 

Rest of Asia RevPAR grew by 3.9% in the nine months of 2016, driven by an increase in both occupancy and average room rate. For the third quarter of 2016, RevPAR increased by 5.4% to £60.07 (2015: 56.97) mainly due to improved performance in Millennium Seoul Hilton following completion of refurbishment of guest rooms.

 

Australasia

 

Australasia RevPAR grew by 16.2% in the first nine months of 2016 with average room rate increasing by 9.5% to £65.37 (2015: £59.68) and occupancy up by 4.5% points reflecting positive results from the management of sales channels and market segments. For the third quarter of 2016 RevPAR increased by 19.1% to £52.43 (2015: £44.02) with the continued growth in the number of in-bound tourists into New Zealand.

 

Development

The building permit application for Seoul Yangdong development project has been lodged and approval is anticipated to be received by the end of this year for the construction work to commence in early 2017. The main contract tender process is expected to be completed by the end of this year and subject to the outcome of the building permit application a recommendation will be made for the award of the main contract. 

The Sunnyvale project in California is progressing with continuous effort to improve the design, space planning as well as costing. The proposed development comprises a 263-room hotel and a 250-unit residential apartment block on the 35,717m2 mixed-use freehold landsite.

 

Hotel Refurbishments

 

The refurbishment programme for Millennium Hotel London Mayfair is planned to commence around the end of this year. To minimise the impact on London occupancy, there will be a gap of at least 12 months before Millennium Hotel London Knightsbridge undertakes smaller scale refurbishment work.

 

The refurbishment of guest rooms in the east tower of ONE UN New York was completed in early September 2016 and the tower was re-opened in time for the UN General Assembly.

 

Work on the main lobby and food and beverage outlets at the main entrance level of the Grand Copthorne Waterfront Hotel in Singapore, which started in December 2015, was substantially completed in May 2016 and the outlets opened for business in June 2016.  The remaining works left under the current contract mainly relate to the refurbishment of some function rooms at level two, which started in September and is scheduled for completion by end November 2016.

 

Soft refurbishment of the guestrooms at Grand Millennium Kuala Lumpur, from level 9 to level 19, has been completed, with the remaining level 7 and level 8 being planned for next year. 

 

Soft refurbishment of the guestrooms at M Hotel Singapore, from level 12 to level 28, has been substantially completed, except for one floor at level 25 which is scheduled for completion by end 2016.

 

Copthorne Hotel Auckland Harbour City in New Zealand closed for a major NZ$40m (£22m) refurbishment programme in Q3 2015. The construction stage has progressed with seismic strengthening completed, all windows for the 190 guest rooms installed, façade plastering and painting completed and scaffolding taken down to ground level. The installation of major services, fitting of internal partitions, bathroom tiling is progressing well. The hotel will be rebranded under the Group's M Social brand and is expected to re-open in the middle of next year.

 

The Group assumed the lease of Rendezvous Grand Hotel Auckland with effect from 7 September 2016. The hotel, the largest in New Zealand with a total of 452 guestrooms, is owned by the REIT and is the Group's first Grand Millennium hotel in New Zealand.

 

Asset Disposals

 

The Group has in place a number of contractual arrangements with the developer of Birmingham's Paradise Circus redevelopment scheme pursuant to which the developer has a right to acquire the existing site of the Copthorne Hotel Birmingham in accordance with an agreed process and the Group has an option to sell the existing site to the developer and, as applicable, an option to acquire an alternative site in the redevelopment area for the construction of a new hotel.  The Group continues to review its options and discussions with the developer are on-going.

 

With regard to the Millennium Hotel Glasgow, it was previously reported that in September 2015 the Group received notice of an application from Network Rail Infrastructure Limited ("Network Rail") for an order to temporarily close and possess the Millennium Hotel Glasgow, and permanently take a portion of the hotel, in connection with the redevelopment of the Queen Street Station in Glasgow.  The Group objected to various components of the application and a public inquiry was held in May and June 2016.  A final decision on the proposed order is awaited from the Scottish Ministers.  Pending that, the Group continues to pursue commercial discussions with Network Rail and will assess options once the decision has been issued.

 

Other Group Operations

 

Joint ventures and associates contributed £9m to profit in the first nine months of 2016 (2015: £9m). The Group has an effective interest of 36% in First Sponsor Group Limited, which is listed on the Singapore Exchange and reports its results independently.

 

Board Changes

 

The Board has agreed to the request of Director and Group Chief Executive Officer, Aloysius Lee to retire from the Group in Q1 2017.  His successor will be announced in due course.

 

Daniel Desbaillets joined the Board as an Independent Non-Executive Director on 14 September 2016. He has been in the hospitality industry since 1973 holding senior positions with InterContinental Hotel Group, Hilton and Shangri-La. He previously served on the boards of CDL Hospitality Trusts as an Independent Non-Executive Director.

 

Financial Position

 

At 30 September 2016, the Group had net debt of £720m (Dec 2015: net debt £605m).  Excluding the REIT, the net debt was £230m (Dec 2015: net debt £201m).

 

The Group has a total of £541m of undrawn committed bank facilities at 30 September 2016 (Dec 2015: £406m). Excluding the REIT, the total undrawn committed bank facilities was £321m (Dec 2015: £280m). Most of the facilities are unsecured, with unencumbered assets representing 92.1% of fixed assets and investment properties.

 

Current Trading

 

On a constant currency basis, Group RevPAR fell by 8.6% for the three weeks ended 21 October 2016, with London down by 15.0%, New York down by 14.2% and Singapore down by 14.0%; partially offset by RevPAR growth in Australasia of 17.3%. However on a reported currency basis taking into account exchange gains, Group RevPAR for the same period was down by 2.3%, with London down by 15.0%, New York down by 5.2%, Singapore down by 6.1% and Australasia up by 25.3%.

 

 

 

 

This trading update contains certain statements that are or may be forward-looking with respect to the financial condition, results or operations and business of Millennium & Copthorne Hotels plc. By their nature forward-looking statements involve risk and uncertainty because they relate to events and depend on circumstances that will occur in the future. There are a number of factors that could cause actual results and developments to differ materially from those expressed or implied by such forward-looking statements. Undue reliance should not be placed on forward looking statements which speak only as of the date of this document. The Group accepts no obligation to publicly revise or update these forward-looking statements or adjust them to future events or developments, whether as a result of new information, future events or otherwise, except to the extent legally required.



 

Condensed consolidated income statement (unaudited)

for the nine months ended 30 September 2016



 

 

Third Quarter

2016

£m

 

 

Third Quarter

2015

£m

 

 

Nine

Months

2016

£m

 

 

Nine

Months

2015

£m

 

 

Full

 Year

2015

£m

 

Revenue


247

211

665

615

847

Cost of sales


(101)

(85)

(283)

(257)

(350)

Gross profit


146

126

382

358

497








Administrative expenses


(99)

(88)

(274)

(256)

(342)

Other operating income


-

-

2

-

41

Other operating expense


-

-

(4)

-

(84)

Operating profit


47

38

106

102

112

 

Share of profit of joint ventures and associates


4

3

9

9

17

Finance income


6

2

10

5

5

Finance expense


(11)

(7)

(23)

(18)

(25)

Net finance expense


(5)

(5)

(13)

(13)

(20)








Profit before tax


46

36

102

98

109

Income tax expense


(7)

(7)

(15)

(17)

(12)

Profit for the period


39

29

87

81

97

 

Attributable to:







Equity holders of the parent


29

24

59

60

65

Non-controlling interests


10

5

28

21

32



39

29

87

81

97








 

The financial results above were derived from continuing activities.

  



Condensed consolidated statement of financial position (unaudited)

as at 30 September 2016

 


 

 

 

 

 

As at

30 Sept

 2016

£m

 

As at

30 Sept

 2015

£m

 

As at

31 Dec

 2015 

£m

Non-current assets





Property, plant and equipment


3,217

2,707

2,764

Lease premium prepayment


107

93

94

Investment properties


556

457

506

Investment in joint ventures and associates


293

246

255



4,173

3,503

3,619

Current assets





Inventories


4

4

4

Development properties


92

72

81

Lease premium prepayment


2

2

2

Trade and other receivables


94

158

76

Cash and cash equivalents


308

211

238



500

447

401

Total assets


4,673

3,950

4,020

 

Non-current liabilities





Interest-bearing loans, bonds and borrowings


(964)

(529)

(665)

Employee benefits


(13)

(15)

(13)

Provisions


(9)

(7)

(8)

Other non-current liabilities


(14)

(12)

(12)

Deferred tax liabilities


(238)

(219)

(210)



(1,238)

(782)

(908)

Current liabilities





Interest-bearing loans, bonds and borrowings


(64)

(303)

(178)

Trade and other payables


(218)

(203)

(187)

Provisions


(2)

(3)

(2)

Income taxes payable


(29)

(27)

(33)



(313)

(536)

(400)

Total liabilities


(1,551)

(1,318)

(1,308)

Net assets


3,122

2,632

2,712

 

Equity





Issued share capital


97

97

97

Share premium


843

843

843

Translation reserve


490

144

196

Treasury share reserve


(4)

(4)

(4)

Retained earnings


1,184

1,143

1,144

Total equity attributable to equity holders of the parent


2,610

2,223

2,276

Non-controlling interests


512

409

436

Total equity


3,122

2,632

2,712

 

   

Operating Segment Information

 


9 months 2016


New York

£m

Regional

US

£m

London

£m

Rest of Europe

£m

 

Singapore

£m

Rest of Asia

£m

Australasia

£m

Central

Costs

£m

Total Group

£m

 

Revenue










 

Hotel

92

103

88

56

92

115

35

-

581

 

Property operations

-

3

-

-

2

7

30

-

42

 

REIT

-

-

-

8

10

14

10

-

42

 

Total revenue

92

106

88

64

104

136

75

-

665

 

Hotel gross operating profit

11

23

45

13

38

38

15

-

183

 

Hotel fixed charges 1

(22)

(17)

(16)

(7)

(3)

(25)

(3)

-

(93)

 

Hotel operating profit/(loss)

(11)

6

29

6

35

13

12

-

90

 

Property operating profit/(loss)

-

(1)

-

-

1

6

17

-

23

 

REIT operating profit/(loss)

-

-

-

2

(4)

5

9

-

12

 

Central costs

-

-

-

-

-

-

-

(17)

(17)

 

Other operating income

-

-

-

-

-

-

2

-

2

 

Other operating expense

-

-

-

-

(4)

-

-

-

(4)

 

 Operating profit/(loss)

(11)

5

29

8

28

24

40

(17)

106

 

Share of joint ventures and

-

-

-

3

-

6

-

-

9

 

associates profit










 

Add: Depreciation and amortisation

6

8

5

4

9

16

1

1

50

 

Add: Revaluation deficit

-

-

-

-

4

-

-

-

4

 

EBITDA 2

(5)

13

34

15

41

46

41

(16)

169

 

Less: Depreciation, amortisation & revaluation deficit









(54)

 

Net finance expense









(13)

 

Profit before tax









102

 

 

 

 


9 months 2015


New York

£m

Regional

US

£m

London

£m

Rest of Europe

£m

 

Singapore

£m

Rest of Asia

£m

Australasia

£m

Central

Costs

£m

Total Group

£m

 

Revenue










 

Hotel

100

90

91

53

90

106

29

-

559

 

Property operations

-

2

-

-

2

4

15

-

23

 

REIT

-

-

-

-

9

15

9

-

33

 

Total revenue

100

92

91

53

101

125

53

-

615

 

Hotel gross operating profit

22

20

46

14

40

32

12

-

186

 

Hotel fixed charges 1

(20)

(14)

(15)

(7)

(2)

(25)

(3)

-

(86)

 

Hotel operating profit

2

6

31

7

38

7

9

-

100

 

Property operating profit/(loss)

-

(1)

-

-

1

3

7

-

10

 

REIT operating profit/(loss)

-

-

-

(1)

(3)

5

9

-

10

 

Central costs

-

-

-

-

-

-

-

(18)

(18)

 

 Operating profit/(loss)

2

5

31

6

36

15

25

(18)

102

 

Share of joint ventures and

-

-

-

-

-

9

-

-

9

 

associates profit










 

Add: Depreciation and amortisation

6

6

5

2

8

17

1

1

46

 

EBITDA 2

8

11

36

8

44

41

26

(17)

157

 

Less: Depreciation and amortisation









(46)

 

Net finance expense









(13)

 

Profit before tax









98

 

 

1 Hotel fixed charges include depreciation, amortisation of lease premium prepayments, property rent, taxes and insurance, operating lease rentals and management fees.

 

2 EBITDA is earnings before interest, tax, depreciation and amortisation.

 

 

 



 

APPENDIX 1: Key OPERATING STATISTICS

for the nine months ended 30 September 2016

 

Owned or leased hotels*

 

Nine Months

2016

Reported

currency

Nine Months

2015

Constant

 currency

Nine Months

2015

Reported

 currency

Full Year

2015

Reported

currency

Occupancy (%)

 

 

 

 

New York

74.8

 

82.3

82.1

Regional US

61.1

 

61.2

58.2

Total US

65.6

 

68.2

66.1

London

81.1

 

80.6

80.2

Rest of Europe

72.8

 

74.3

72.7

Total Europe

77.0

 

77.5

76.5

Singapore

84.8

 

87.5

87.1

Rest of Asia

64.1

 

62.1

64.5

Total Asia

72.1

 

72.0

73.2

Australasia

79.4

 

74.9

77.1

Total Group

71.7

 

72.2

71.8

 

 

 

 

 

Average Room Rate (£)

 

 

 

 

Regional US

96.23

91.98

83.25

84.00

Total US

125.49

129.30

117.03

120.84

London

129.78

133.66

133.66

135.51

Rest of Europe

72.32

71.94

69.84

70.96

Total Europe

102.96

105.08

104.10

105.72

Singapore

93.83

100.58

92.09

91.67

Rest of Asia

90.26

89.61

84.33

84.31

Total Asia

91.88

94.78

87.99

87.70

Australasia

65.37

59.68

55.99

56.18

Total Group

103.18

105.75

98.91

100.19

 

 

 

 

 

RevPAR (£)

 

 

 

 

New York

130.32

152.94

138.43

142.92

Regional US

58.80

56.32

50.98

48.92

Total US

82.35

88.15

79.79

79.89

London

105.29

107.68

107.68

108.68

Rest of Europe

52.67

53.42

51.86

51.56

Total Europe

79.32

81.45

80.70

80.92

Singapore

79.60

88.03

80.61

79.85

Rest of Asia

57.88

55.69

52.41

54.35

Total Asia

66.29

68.22

63.33

64.23

Australasia

51.92

44.70

41.94

43.33

Total Group

73.94

76.37

71.43

71.98

 

 

 

 

 

Gross Operating Profit Margin (%)

 

 

 

 

New York

11.9

 

21.8

23.9

Regional US

22.6

 

22.9

21.2

Total US

17.5

 

22.3

22.7

London

50.5

 

50.5

50.8

Rest of Europe

22.9

 

26.5

26.7

Total Europe

39.8

 

41.7

41.7

Singapore

41.0

 

44.2

44.3

Rest of Asia

32.8

 

30.2

33.1

Total Asia

36.5

 

36.6

38.1

Australasia

43.1

 

40.9

42.5

Total Group

31.3

 

33.3

34.1

 

For comparability, the 30 September 2015 Average Room Rate and RevPAR have been translated at average exchange rates for the period ended 30 September 2016.

  

 

* excluding managed, franchised and investment hotels.



 

APPENDIX 2: Key OPERATING STATISTICS

for the quarter year ended 30 September 2016

 

Owned or leased hotels*

 

Third Quarter

2016

Reported

currency

Third Quarter

2015

Constant

 currency

Third Quarter

2015

Reported

 currency

Occupancy (%)

 

 

 

New York

82.1

 

89.1

Regional US

68.5

 

67.0

Total US

72.9

 

74.3

London

92.0

 

87.2

Rest of Europe

76.9

 

79.9

Total Europe

84.5

 

83.6

Singapore

90.1

 

89.9

Rest of Asia

64.8

 

60.7

Total Asia

74.6

 

72.0

Australasia

74.1

 

67.7

Total Group

76.4

 

75.3

 

 

 

 

Average Room Rate (£)

 

 

 

New York

192.54

204.27

177.61

Regional US

106.79

101.23

88.08

Total US

138.56

141.98

123.49

London

144.01

148.35

148.35

Rest of Europe

74.30

74.66

71.24

Total Europe

112.72

114.06

112.46

Singapore

97.13

106.34

89.80

Rest of Asia

92.63

93.89

79.98

Total Asia

94.74

99.91

84.73

Australasia

70.79

64.99

49.23

Total Group

112.29

115.89

103.17

 

 

 

 

RevPAR (£)

 

 

 

New York

158.04

182.10

158.33

Regional US

73.10

67.79

58.98

Total US

101.06

105.45

91.71

London

132.48

129.37

129.37

Rest of Europe

57.13

59.65

56.91

Total Europe

95.29

95.40

94.06

Singapore

87.51

95.55

80.69

Rest of Asia

60.07

56.97

48.53

Total Asia

70.70

71.91

60.98

Australasia

52.43

44.02

33.34

Total Group

85.78

87.23

77.66

 

 

 

 

Gross Operating Profit Margin (%)

 

 

 

New York

18.9

 

27.8

Regional US

30.0

 

29.4

Total US

24.7

 

28.6

London

55.4

 

53.5

Rest of Europe

26.5

 

27.7

Total Europe

44.9

 

44.5

Singapore

41.7

 

44.3

Rest of Asia

31.3

 

28.0

Total Asia

36.1

 

35.8

Australasia

38.5

 

36.5

Total Group

34.4

 

35.6

 

For comparability, the 30 September 2015 Average Room Rate and RevPAR have been translated at average exchange rates for the period ended 30 September 2016.

 

  

 

* excluding managed, franchised and investment hotels.



 

APPENDIX 3: HOTEL ROOM COUNT AND PIPELINE

as at 30 September 2016

 


Hotels


Rooms


Hotel and room count

30 Sept

 2016

31 Dec

 2015

Change

30 Sept

2016

31 Dec

2015

Change








Analysed by region:







New York

4

4

-

2,238

2,238

-

Regional US

15

15

-

4,467

4,463

4

London

8

8

-

2,651

2,651

-

Rest of Europe

18

18

-

2,867

2,867

-

Middle East

26

22

4

7,345

6,450

895

Singapore

7

6

1

3,011

2,716

295

Rest of Asia

26

26

-

9,427

9,430

(3)

Australasia

25

27

(2)

3,641

3,903

(262)

Total

129

126

3

35,647

34,718

929








Analysed by ownership type:







Owned or leased

66

65

1

19,442

18,984

458

Managed

41

37

4

11,250

10,212

1,038

Franchised

7

8

(1)

1,091

1,206

(115)

Investment

15

16

(1)

3,864

4,316

(452)

Total

129

126

3

35,647

34,718

929








Analysed by brand:







Grand Millennium

9

8

1

3,732

3,277

455

Millennium

49

48

1

15,869

15,657

212

Copthorne

35

34

1

6,945

6,804

141

Kingsgate

7

9

(2)

671

933

(262)

Other M&C

11

9

2

2,941

2,431

510

Third Party

18

18

-

5,489

5,616

(127)

Total

129

126

3

35,647

34,718

929

 

 

 


Hotels

Rooms

Pipeline

30 Sept

 2016

31 Dec

2015

Change

30 Sept

 2016

31 Dec

 2015

Change








Analysed by region:







Middle East

17

16

1

5,734

4,663

1,071

Asia

3

3

-

1,389

1,674

(285)

Regional US

1

1

-

263

263

-

Total

21

20

1

7,386

6,600

786








Analysed by ownership type:







Managed

19

18

1

6,581

5,830

751

Owned

2

2

-

805

770

35

Total

21

20

1

7,386

6,600

786








Analysed by brand:







Grand Millennium

2

2

-

847

887

(40)

Millennium

11

10

1

3,537

3,140

397

Copthorne

2

2

-

666

307

359

Other M&C

4

4

-

1,777

1,707

70

Kingsgate

2

2

-

559

559

-

Total

21

20

1

7,386

6,600

786















The Group's worldwide pipeline comprises 21 hotels offering 7,386 rooms, which are mainly management contracts.

 

 


This information is provided by RNS
The company news service from the London Stock Exchange
 
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