AccorHotels has reported solid first-half 2016 results, with robust growth in almost all of its key markets.
With the opening of 19,366 rooms, 90% of which are under franchise or management contracts, AccorHotels has seen record development in the first half of 2016.
Consolidated first-half 2016 revenue amounted to ¬2,598 million, up 2.0% year-on-year at constant scope of consolidation and exchange rates. The increase resulted from favourable business levels in most of the Group’s key markets: Northern, Central and Eastern Europe (NCEE: +4.1%), Asia-Pacific (ASPAC: +4.8%), Americas (+1.7%) and the Mediterranean, Middle East, Africa (MMEA: +3.2%).
Revenue was down 2.6% in France (RevPAR: -2.2%), with a very pronounced drop in Paris (RevPAR: -12.0%), still affected by the events of November 13, 2015, as well as floods and strikes more recently, in May and June 2016. Regional cities reported excellent first-half activity (RevPAR: +6.0%), thanks to Euro 2016.
Revenue in the Americas was up 1.7%, driven chiefly by dynamic growth in Argentina (+57.2%), Mexico (+20.6%), Canada (+9.7%), Peru (+4.6%) and Chile (+1.4%), offsetting slower business in Brazil (-5.5%).
“With several of our key markets, including France and Brazil, shaken by crises and violent events, the Group showed remarkable resilience in the first half of 2016,” says Sébastien Bazin, Chairman and CEO of AccorHotels. “We continued to invest heavily in order to grow, transform and gain a foothold in new businesses that are destined to become fundamental for the Group.
“We will pursue this offensive strategy in the coming months. Our presence in 95 countries, our leadership positions in Europe, Asia-Pacific, Latin America, Africa and the Middle East, and our strength as the world’s leading hotel operator covering all segments from economy to luxury give us a major competitive edge. Combined with the launch of a project to turn our property division into a subsidiary and a strategy that gives priority to customer-focused innovation, these strengths will be the drivers of our future growth.”
2016 has already proved a key year for AccorHotels with a number of key developments, including the acquisition of a 30% stake in Oasis Collections, a 49% stake in Squarebreak (which offers stays in private upscale properties in resort locations, primarily in France, Spain and Morocco), and the acquistion of the Fairmont Raffles Hotels International Group, amongst others.