InterContinental Hotels Group has posted its results for Q3 2014, with an increase in RevPAR worldwide boosted by the brand’s boutique name, Hotel Indigo.
The group recorded its best quarterly performance in two years with a growth in all four regions. RevPAR in Europe was up 6.1% in the third quarter and 5.3% in the first 9 months, with particularly strong performances from the UK and Germany, two priority markets for the group. The figures showed that the UK delivered double digit RevPAR growth, which reflected strong performance levels in both London and the regions.
Hotel Indigo Paris Opera opened during Q3, the first for the brand in France and 60th worldwide, taking the portfolio to 119 hotels opened and in the pipeline combines. 2014 marks its 10th anniversary year and five hotels have been opened and 14 signed so far.
In terms of room growth, 8k rooms were opened in Q3, while 16k rooms were signed, with over 90% of year to date signings located in IHG’s priority markets.
At the end of Q3, the pipeline was 190k rooms, with over 45% under construction.
Richard Solomons, chief executive, InterContinental Hotels Group said: “We delivered our best quarterly RevPAR performance in over two years with growth in each of our four regions.
“We continue to focus on enhancing our scale position and developing our high quality pipeline, opening 8k rooms in the period, signing 16k rooms into the system, and delivering solid net system size growth of 2.7%.
“Our preferred brands reached several important milestones in the quarter. Staybridge Suites became the fastest growing brand in its segment to reach 200 open hotels, and Hotel Indigo opened its 60th hotel.
“Whilst some of our markets face heightened uncertainty and risks, we continue to see strong momentum in the business and remain encouraged by current trading and positive booking trends.”