InterContinental Revpar Jumps Worldwide Except Greater Chinaby
Hotel company's shares gain as much as 5% in London trading
Revpar in Hong Kong and Macau falls by double digits
InterContinental Hotels Group Plc, the world’s largest provider of hotel accommodation, said third-quarter room revenue rose as the owner of the Holiday Inn and Crowne Plaza chains saw increases in all its regions except Greater China. The shares soared.
Revenue per available room, a measure of occupancy and rates known as revpar, increased 4.8 percent from a year earlier, the Denham, England-based company said in a statement on Tuesday. InterContinental’s shares rose as much as 5 percent, the most since July 30, and were trading at 2,428 pence in London at 9:55 a.m.
Revpar at InterContinental’s hotels in Europe advanced 7.8 percent in the third quarter, the company said, while there was an increase of 7.1 percent in Asia, the Middle East and Africa. Revpar fell by double digits in Hong Kong and Macau, where trading conditions remain challenging, according to InterContinental. That caused revpar in Greater China to drop 0.7 percent.
“Holiday Inn delivered a record level of room openings, and we are expanding
our global luxury footprint, particularly in Greater China,” Chief Executive
Officer Richard Solomons said in the statement. “We are encouraged by current trading trends and remain confident in the outlook."