The international multi-brand hospitality real estate group with 51 hotels, resorts and campsites across Europe announced its audited annual results for the financial year ended 31 December 2024.
Highlights
- Total revenue increased by 6.8% to a record £442.8 million (2023: £414.6 million), achieved despite the weaker Euro in 2024, which accounts for c.40% of Group revenue. On a like-for-like basis, revenue grew by 3.3%.
- EBITDA increased by 6.5% to £136.5 million (2023: £128.2 million). Like-for-like EBITDA increased by 8.7% to £139.3 million.
- Like-for-like EBITDA margin improved to 32.5% (2023: 30.9%), supported by a strong focus on cost management and technological initiatives.
- EPRA NRV* per share increased by 3.0% to £27.51 (2023: £26.72) and included art’otel London Hoxton for the first time.
- Adjusted EPRA** earnings per share improved by 5.9% to 125 pence (2023: 118 pence).
- Occupancy grew across all regions to 74.5% (2023: 72.4%). On a like-for-like basis, occupancy increased by 350 bps to 75.8%.
- Average room rate was 3.2% lower at £161.5 (2023: £166.8). Like-for-like average room rate decreased 3.6% to £160.8.
- RevPAR was stable at £120.3 (2023: £120.7), reflecting the gradual opening of the Group’s new hotels.
- Like-for-like RevPAR increased 1.0% to £122.0.
- In the UK, The Netherlands and in Germany in particular, occupancy continued to build whilst room rates moderated as anticipated. In Croatia, the Group’s portfolio performed well during July and August, the peak trading months.
- The Board has recommended a final proposed dividend of 21p per share. Together with the 17p per share interim dividend paid, the total dividend for 2024 is 38p per share (2023: 36p per share).
Commenting on the results, Greg Hegarty, Co-Chief Executive Officer, PPHE Hotel Group said: "I am pleased that PPHE delivered solid topline growth on the back of a strong underlying performance, which was achieved against strong prior year comparatives and in the context of a challenging macroeconomic backdrop. Our performance was driven by growing occupancy across our portfolio, a continued focus on cost management and margin, and delivery on our development pipeline.
2024 was an exciting and busy year for the Group as we neared completion of our £300+ million development pipeline, which is now in its final phases. We opened several new hotels, including our flagship art’otel London Hoxton, our first art’otel in Croatia, and the Group’s first two hotels under the Radisson RED brand. These hotels are receiving excellent feedback from guests, are performing well and are on track to add at least £25 million of incremental EBITDA upon stabilisation of trading. The 2024 openings will soon be joined by art’otel Rome Piazza Sallustio, which is due to open in March 2025."
Notwithstanding wider macro-economic and geo-political uncertainties, the Board expects to build on the record performance achieved during 2024, and to further grow revenue and EBITDA in 2025, driven by a growing contribution from its newly opened and repositioned hotels./red
You can find the full report here.