REG - PPHE Hotel Grp Ltd - Q1 Trading Update

PPHE HotelAnnouncement

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RNS Number : 6839G  PPHE Hotel Group Limited  30 April 2025

30 April 2025

 

PPHE HOTEL GROUP LIMITED
("PPHE Hotel Group")

 

Q1 Trading Update

 

Revenue growth and full opening of art'otel Rome Piazza Sallustio

 

PPHE Hotel Group, the international hospitality real estate group which
develops, owns and operates hotels and resorts, is pleased to announce a
trading update for the three months ended 31 March 2025.

 

Q1 Financial Highlights

 

 ·             As highlighted in our FY 2024 results announced in February, Q1 is
               traditionally the quietest quarter. Total revenue of £77.6 million, an
               increase of 0.7% year-on-year (Q1 2024: £77.0 million). Like-for-like(1)
               revenue decreased by 5.6% largely due to the comparable leap year impact and
               Easter falling within Q2 which resulted in a later opening of the Croatian
               leisure portfolio and impacted the UK and Dutch markets in particular.

 ·             Like-for-like(1) occupancy levels were stable at 70.5% (Q1 2024: 70.4%).

 ·             The like-for-like(1) average room rate decreased by 3.6% to £134.3 (Q1 2024:
               £139.3), due to room rates continuing to normalise in most regions.
               Consequently, like-for-like(1) RevPAR declined 3.5% to £94.6 (Q1 2024:
               £98.1).

 

Q1 Strategic Highlights

 

 ·             art'otel Rome Piazza Sallustio opened on 6 March 2025 and is seeing increasing
               levels of guest demand as well as excellent guest feedback, in line with
               expectations. Yezi, the hotel's restaurant, is now fully operational after
               opening on 16 April 2025.

 ·             art'otel London Hoxton continued to show good improvements, in line with
               expectations, supported by increasing corporate and meetings & events
               booking demand as the hotel continued to build its presence in the London
               market. The office space as well as the restaurant and bar on the
               25(th) floor are expected to open in the second half.

 

Current Trading & Outlook

 

 ·             Forward booking activity levels are positive with overall pace and demand
               consistent with 2024 levels, albeit there continues to be normalisation in
               industry room rates. The Group remains focused on cost control, with several
               ongoing projects to drive further efficiencies.

 ·             The macroeconomic and geopolitical backdrop is increasingly uncertain, yet the
               Board remains confident in delivering full-year performance within the range
               of market expectations(2) for 2025.

 

(1) The like-for-like* figures exclude results from the newly opened art'otel
Rome Piazza Sallustio and art'otel London Hoxton.

 

(2) At 7 March 2025, the Company compiled analyst consensus forecast range for
the financial year ending 31 December 2025 showed a revenue range of £463.6
million to £477.4 million and an EBITDA* range of £148 million to £158.6
million.

 

Greg Hegarty, Co-Chief Executive Officer, PPHE Hotel Group

 

"We are pleased with the Group's progress during the first three months in
what has been a fast evolving and challenging macroeconomic and geopolitical
environment. We have maintained solid occupancy levels whilst proactively
managing room rate.

 

Our newly opened hotels are performing well and in line with expectations,
with demand growing month-on-month and excellent guest feedback. These
openings solidify the successful evolution of PPHE into a pan-European,
multi-brand hospitality real estate group, with broad customer appeal and the
opportunity for attractive long-term growth.

 

The extent to which recent tariff-driven volatility will impact consumer
purchasing and travel demand remains to be seen. Whilst the backdrop remains
uncertain, we are moving into the busier Spring and Summer periods, which
supports our confidence in the year ahead. The Group expects to deliver
another year of record revenue and profitability, continuing its growth in
EBITDA and margins."

 

 

Key financial statistics for the three months ended 31 March 2025 (unaudited)

 

                     Reported                                            Like-for-like(1)
                     Three months ended  Three months ended  % change    Three months ended  Three months ended  % change

31 March 2025
31 March 2024
31 March 2025
31 March 2024
 Total revenue       £77.6m              £77.0m              0.7%        £72.7m              £77.0m               (5.6)%
 Total room revenue  £55.6m              £55.2m              0.7%        £51.9m              £55.2m               (6.0)%
 Occupancy           69.7%               70.4%                (70) bps   70.5%               70.4%               10 bps
 Average room rate   £136.7              £139.3               (1.8)%     £134.3              £139.3               (3.6)%
 RevPAR              £95.3               £98.1                (2.8)%     £94.6               £98.1                (3.5)%

 

 

 

Enquiries:

 

 PPHE Hotel Group Limited                                       Tel: +31 (0)20 717 8600

 Daniel Kos, Chief Financial Officer & Executive Director
 h2Radnor                                                       Tel: +44 (0) 203 897 183 (tel:+44%20(0)203%20897%201832) 0

 Iain Daly / Joshua Cryer
 Hudson Sandler                                                 Tel: +44 (0)20 7796 4133

                                                              Email: pphe@hudsonsandler.com (mailto:pphe@hudsonsandler.com)
 Wendy Baker / India Laidlaw

 

 

Notes to Editors

 

PPHE Hotel Group is an international hospitality real estate company, with a
£2.2 billion portfolio, valued as at December 2024 by Savills and Zagreb
nekretnine Ltd (ZANE), of primarily prime freehold and long leasehold assets
in Europe.

 

Through its subsidiaries, jointly controlled entities and associates it owns,
co-owns, develops, leases, operates and franchises(1) hospitality real estate.
Its portfolio includes full-service upscale, upper upscale and lifestyle
hotels in major gateway cities and regional centres, as well as hotel, resort
and campsite properties in select resort destinations. The Group's strategy is
to grow its portfolio of core upper upscale city centre hotels, leisure and
outdoor hospitality and hospitality management platform.

 

PPHE Hotel Group benefits from having an exclusive and perpetual licence from
the Radisson Hotel Group, one of the world's largest hotel groups, to develop
and operate Park Plaza® branded hotels and resorts in Europe, the Middle East
and Africa. In addition, PPHE Hotel Group wholly owns, and operates under, the
art'otel® brand and its Croatian subsidiary owns, and operates under, the
Arena Hotels & Apartments® and Arena Campsites® brands.

 

PPHE Hotel Group is a Guernsey registered company with shares listed on the
London Stock Exchange. PPHE Hotel Group also holds a controlling ownership
interest in Arena Hospitality Group ('AHG'), whose shares are listed on the
Prime market of the Zagreb Stock Exchange.

 

Company websites: www.pphe.com (http://www.pphe.com) |
www.arenahospitalitygroup.com (http://www.arenahospitalitygroup.com)

 

For reservations:

www.parkplaza.com (http://www.parkplaza.com) | www.artotel.com
(http://www.artotel.com) | www.radissonhotels.com
(http://www.radissonhotels.com) | www.arenahotels.com
(http://www.arenahotels.com) | www.arenacampsites.com
(http://www.arenacampsites.com)

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