EasyHotel says FY 'a little ahead' of expectations
EasyHotel said on Tuesday that trading for the full year was “a little ahead” of the board’s expectations as the good progress seen in the first half continued through to the second.
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In a trading update for the year to 30 September, the owner and operator of budget hotels said total sales rose 39% to £29.7m. Meanwhile, like-for-like revenue for owned hotels and franchised hotels was up 13.7% and 8.6%, respectively. The company said that according to STR Global, its owned hotels “significantly” outperformed the competitor set.
Chief executive officer Guy Parsons said: “It has been a year of accelerated growth for the group, endorsing our strategy of offering comfortable, affordable accommodation in key tourist and business locations in the UK and internationally.
"The strong like-for-like performance of both our owned and franchised hotels and their continued outperformance against the market is very encouraging. We are particularly pleased by the performance of our newly opened hotels, designed in our stylish new brand format, which are proving popular with our customers and trading ahead of expectations.”
EasyHotel’s network, including pipeline hotels, rose by more than 1,100 rooms, or 32%, during the financial year, with 2,270 rooms now open and a committed pipeline of 2,400 rooms.
The company said its new 78 bedroom hotel in Liverpool is expected to open next month. Meanwhile, new hotel projects currently under construction in Ipswich, Barcelona, Leeds, and Sheffield, are all due to open in 2018.
At 1250 BST, the shares were up 6.8% to 94.50p.