Third Quarter 2014
- Like-for like ("L/L") RevPAR was up by 3.5%.
- Revenue increased by 5.9% and amounted to MEUR 240.8 (227.4).
On a L/L basis Revenue increased by 2.5%. - EBITDA amounted to MEUR 26.4 (22.8) and the EBITDA margin increased to 11.0% (10.0).
- EBIT amounted to MEUR 17.3 (15.1) and the EBIT margin increased to 7.2% (6.7).
- Profit after tax amounted to MEUR 11.3 (9.7).
- Basic and diluted Earnings per Share were EUR 0.07 (0.07).
- 1,346 new rooms were contracted, 586 new rooms opened and 970 rooms left the system.
Nine months ended September 2014
- L/L RevPAR was up by 3.4%.
- Revenue increased by 2.3% and amounted to MEUR 699.3 (683.5).
On a L/L basis Revenue increased by 1.5%. - EBITDA amounted to MEUR 56.5 (54.9) and the EBITDA margin increased to 8.1% (8.0).
- EBIT amounted to MEUR 30.2 (31.3) and the EBIT margin decreased to 4.3% (4.6).
- Profit after tax amounted to MEUR 15.1 (15.9).
- Basic and diluted Earnings per Share were EUR 0.10 (0.11) and EUR 0.09 (0.11) respectively.
- Cash flow from operating activities amounted to MEUR 23.1 (26.0).
- 4,546 new rooms were contracted, 2,595 new rooms opened and 1,803 rooms left the system.
| MEUR | Q3 2014 | Q3 2013 | Jan-Sep 2014 | Jan-Sep 2013 |
| Revenue | 240.8 | 227.4 | 699.3 | 683.5 |
| EBITDAR | 87.7 | 81.7 | 242.4 | 237.4 |
| EBITDA | 26.4 | 22.8 | 56.5 | 54.9 |
| EBIT | 17.3 | 15.1 | 30.2 | 31.3 |
| Profit for the period | 11.3 | 9.7 | 15.1 | 15.9 |
| EBITDAR margin, % | 36.4% | 35.9% | 34.7% | 34.7% |
| EBITDA margin, % | 11.0% | 10.0% | 8.1% | 8.0% |
| EBIT margin, % | 7.2% | 6.7% | 4.3% | 4.6% |
Comments from the CEO
Continued progress despite turbulent markets
"I am pleased to report a like-for-like RevPAR increase of 3.5% for the third quarter of 2014. The RevPAR growth in the quarter was a result from increased room rates and occupancy. Revenue grew by MEUR 13.4 (5.9%) over last year. In addition to the RevPAR growth, the increase in revenue was mainly related to the conversion of two hotels in Copenhagen from management contracts to leases at the beginning of the year.
Steady progress continues to be made on key strategic initiatives. Rezidor continues to grow on an asset light basis, signing over 1,300 rooms in the quarter. The pipeline of projects has over 19,000 rooms over a broad geographic area.
Both profits and margin performance showed improved results. Despite the current challenges in some of the Emerging Markets, the company generated higher profits from these markets in Q3 this year than during the same period last year. The improvement is a result of growth of the portfolio and our asset light business model. Furthermore, the EBITDA margin in the quarter reached 11% for the first time in a third quarter since 2007.
The important activity around asset management continues to be a key driver of our Route 2015 turnaround plan. We have restructured two agreements in October that will improve the profitability of the leased portfolio by ca MEUR 3.2 per year as from January 2014. The cost reduction will be reflected in the Q4 results. Together with the two leases that were restructured earlier in the year, we have now secured an EBITDA improvement of ca MEUR 4.6 for the full year 2014.
The proceeds from the rights offering earlier this year are largely being deployed in the key Nordic markets for refurbishments. These markets remain core to the company with further growth potential."
Wolfgang M. Neumann, President & CEO
Presentation of the Q3 Results
On October 24, 2014 at 10:00 (Central European Time) a combined telephone conference and live webcast (in English) concerning the report will be presented by the President & CEO, Wolfgang M. Neumann and Deputy President & CFO, Knut Kleiven. To follow the webcast, please visit www.investor.rezidor.com.
| To access the telephone conference, please dial: | |
| Sweden, Local: Sweden, Free: UK, Local: UK, Free: USA, Local: USA, Free: France, Local: France, Free: | +46(0)8 5065 3938 0200 883 440 +44(0)20 3427 1912 0800 279 4992 +1 646 254 3362 1877 280 2342 +33(0)1 70 48 01 66 0805 631 579 |
Confirmation code: 1190368. For a replay of the conference call please visit www.investor.rezidor.com.
Financial Calendar
Q4 2014 results: February 17, 2015
Q1 2015 results: April 24, 2015
AGM 2015: April 24, 2015
This quarterly report comprises information which Rezidor Hotel Group AB (publ) is required to disclose under the Securities Markets Act and/or the Financial Instruments Trading Act. It was released for publication at 07:30 Central European Time on October 24, 2014.
Stockholm October 24, 2014
Wolfgang M. Neumann
President & CEO
Rezidor Hotel Group AB
For Further Information, Contact
Knut Kleiven
Deputy President & CFO
Tel: +32 2 702 9244
Fax: +32 2 702 9330
knut.kleiven@carlsonrezidor.com
Andrea Brandenberger
Senior Director
Business Development Strategy & Investor Relations
Tel: +32 2 702 9237
andrea.brandenberger@carlsonrezidor.com
The Rezidor Hotel Group Corporate Office
Avenue du Bourget 44
B-1130 Brussels
Belgium
Tel: +32 2 702 9200
Fax: +32 2 702 9300
Website: www.rezidor.com
About the Rezidor Hotel Group
The Rezidor Hotel Group currently features a portfolio of 428 hotels with over 95,000 rooms in operation and under development in 71 countries across Europe, the Middle East and Africa. Rezidor operates the core brands Radisson Blu and Park Inn by Radisson.
Rezidor is a member of the Carlson Rezidor Hotel Group.
For more information, visit www.rezidor.com
The full report with tables can be downloaded from the following link:
