Accor reports strong increase in profits for first half of 2019
Accor has reported a 5.1 per cent rise in first-half operating profit, driven by restructuring efforts and robust demand in most regions.
Consolidated EBITDA came in at €375 million in the first half of 2019.
Accor, with close to 4,800 hotels in 100 countries, has been cutting costs, and expanding in Asia and in the luxury end of the market.
The company operates high-end chains such as Raffles and Sofitel as well as budget brands such as Ibis.
Sébastien Bazin, chief executive of Accor, said: “Once again, Accor reported another semester of solid results, in line with its objectives set for the medium term.
“Transformed into an asset-light player, the group is now capitalising on its growth drivers — strong complementary brands that are leaders in the majority of their markets, a sustained development, leading positions in the most touristic markets and a unique ecosystem for the benefit of the group’s millions of customers and partner-owners.
“The execution of our plan and our business momentum remain on track to achieve another record year in 2019.”
Accor predicted another rise in profit for 2019.
For the full-year 2019, the French company now expects EBITDA to rise to between € 820-850 million, from €712 million in 2018.
Accor said RevPAR rose 2.9 per cent on a like-for-like basis in the first half of the year, driven by robust demand in Europe, South America and the Middle East.