Operating profit from reportable segments down 75% to $219m before System Fund result of $(102)m and operating exceptionals of $(270)m, predominantly comprising charges already taken in H1 2020, including impairments to owned and leased hotels and acquired management agreements.
Following the release of InterContinental Hotels Group (IHG) Q3 2020 trading update, Ben Cordwell, Travel & Tourism Analyst at GlobalData offers his view on the company’s results
Occupancy improved to 44% from 25% in Q2; 199 hotels (3% of estate) remained closed at 30 September
IHG Announces Interim Results to 30 June 2020
Group Q1 comparable RevPAR down 24.9%; March down 55%; April expected to be down around 80%
$13.6bn total gross revenue (up 2%; 5% at CER) - 0.1% global H1 RevPAR (Q2 = (0.2)%)
RevPAR was up 0.3%, with rate up 0.6% and occupancy down 0.2%pts.
FY Comparable RevPAR: Americas = 1.9% (US: FY = 1.3%; Q4 = 0.6%); EMEAA = 2.7%, Greater China = 6.9%.
5.1% YOY net system size growth, up 4.6% excluding Regent Hotels & Resorts and the UK portfolio deal
H1 Comparable RevPAR: Americas = 3.2% (US = 2.7%); EMEAA = 3.0%, Greater China = 10.1%