Record expansion and increased asset-light target:
80%(1)?of the portfolio to be managed or franchised by end-2016
- Solid growth in revenue, up 3.6% like-for-like(2) to ?2,717 million
- Strong improvement in EBIT, up 10.1% like-for-like to ?212 million
- Sharp increase in operating profit before tax and non-recurring items, up 27.4% like-for-like to ?190 million
- Net profit of ?80 million, before the impact of the Motel 6 disposal
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- Ongoing deployment of the asset management program, with the disposal of 59 hotels over the first-half reducing adjusted net debt by ?283 million
- Full year EBIT target of ?510-530 million
First-half 2012 was shaped by:
- A solid performance in every segment, led by steadily rising room rates
- A sharp 10.1% like-for-like improvement in EBIT, to ?212 million, in particular thanks to the success of the asset management strategy
- A recurring free cash flow generation at ?140 million
- Record expansion that added 20,700 new rooms, or 141 hotels, including Mirvac
- The signature on May 22 of an agreement to sell Motel 6 to Blackstone
- The effective launch of the ibis megabrand program, with 661 hotels rebranded to date
- The issue in June of a ?600-million in five-year, 2.875% bond
Full Article in Source: Accor Hotels