The Accor Group’s performance continues on a positive curve. The first quarter of 2017 was marked by a turnover reaching 425 million euros, an increase of 35.4% in published data and 7.4% in comparable data.
In addition, scope effects (acquisitions and disposals) contributed favorably for 82 million euros (+26%), thanks in particular to the contributions of Raffles, Fairmont, Swissotel, Onefinestay and JohnPaul. Note that currency effects have a positive impact of 6 million euros, mainly due to the Brazilian real (+€8.2M) and the Australian dollar (+€4.3M). “The trends observed during the first quarter in the vast majority of regions reflect a buoyant environment for the hotel industry. This is particularly the case in our three main markets: France, Europe and the Asia Pacific region,” explains Sébastien Bazin, Chairman and CEO of AccorHotels. “At the same time, the new activities are performing well, thanks in particular to the support of AccorHotels. At the same time, the Group continues its growth, its opening to new businesses, and its leadership in luxury with numerous value-creating acquisitions: Rixos and BHG in the hotel industry, Availpro, Potel & Chabot and VeryChic in new businesses. Finally, the AccorInvest spin-off process is continuing. AccorHotels is therefore perfectly in line with its 2017 objectives,” he emphasizes.
As a reminder, during the first quarter, AccorHotels developed 35 hotels and more than 7,000 rooms. At the end of March 2017, the group’s pipeline represented 951 hotels and 176,000 rooms. This increase in turnover is notably linked to strong growth for HotelServices (+5.6%) and new activities (concierge, rental of luxury private residences and digital services to independent hoteliers (+10.4%). As a result, the Group recorded in the first quarter of 2017 a turnover up 7.4% at constant scope and exchange rates (like for like), despite one less day of activity than in the first quarter of 2016. The figure of hotel assets held by the Group, mainly in Central Europe and rented in Brazil, also increased by 5.8% The group recalls in the same context that the turnover of HotelServices, which operates under franchise and management contract 4,158 hotels (586,578 rooms) at the end of March 2017, stood at 394 million euros, an increase of 34% in published data. very sustained activity in the majority of regions, favorable bases for comparison, particularly in France and Belgium, and to a lesser extent, the shift of the Easter holidays to the month of April.
The group’s balance sheet also shows that in France and Switzerland, turnover is down 0.6% on a comparable basis. This decline is notably linked to one fewer day of activity, and the conversion of around sixty Grape Hospitality hotels into franchises in June 2016. However, the RevPAR is clearly increasing (+5.0%), driven by an occupancy rate up 2.7 pts and stable prices.
The Middle East Africa region, for its part, recorded an increase of 1.9% in its turnover, with contrasting situations between Morocco and Dubai, very solid, and more difficult markets such as the Emirates, Saudi Arabia, Angola and Algeria, countries sensitive to oil prices.
Very well oriented, activity in Asia Pacific also increased by 10.6%, supported by the Luxury segment (RevPAR +6.4%), and by continued rapid development. North, Central America and the Caribbean remain strong despite the notable decline in foreign tourist arrivals in major US cities. AccorHotels benefits from a well-distributed portfolio of Fairmont hotels between the USA and Canada, and a strong presence in American cities less exposed to international customers. The region’s RevPAR thus increased by 3.6%. The 0.1% like-for-like increase in revenue does not include Fairmont, but exclusively the hotels included in the group in Q1 2016, which are more exposed to markets such as New York or Miami.
