Accor Says 2013 Profit to Be at Top of Forecast on Cost SavingsDalia Fahmy
Accor SA, Europe’s largest hotel operator, said 2013 profit was at the top of its forecast after cost savings boosted fourth-quarter results.
Earnings before interest and taxes will be 530 million euros ($720 million), compared with a previous estimate of 510 million euros to 530 million euros, the Paris-based owner of the Sofitel and Ibis brands said in a statement today.
“In 2013, Accor delivered a solid improvement in its business,” Chief Executive Officer Sebastien Bazin said in the statement.
Accor in November scrapped a plan to sell properties and expand through leases, replacing it with a reorganization that will focus the business on operating and owning hotels. The strategic change was Accor’s first since Bazin took office in August after the company fired his predecessor.
Revenue in the fourth quarter fell 3.1 percent from a year earlier to 1.40 billion euros after the company sold hotels, according to the statement. That’s in line with the median estimate in a Bloomberg survey of 10 analysts.
Accor said it opened 22,637 rooms in 2013.