Radisson Hospitality AB: Interim Report January - September 2018

Third Quarter 2018  Revenue increased by MEUR 4.2 (1.7%) to MEUR 253.3.  The increase is mainly due to strong performance in the like-for-like hotel portfolio, partly offset by the exit of eight leases at the end of last year and one lease this year (MEUR -8.2) and the strengthening of the...

London, 25/10/2018 (informazione.news - comunicati stampa - turismo)

 

Q3 has been both an outstanding and reassuring quarter

Outstanding because we report an all-time high Q3 EBITDA, confirming the step change at operating level.

Reassuring because the work performed in the 5-year operating plan update confirms the potential of all the initiatives in the plan and because of the very good progress in Q3 delivering on all the 2018 initiatives.

More in detail; in the quarter we achieved an EBITDA of MEUR 40.2 (an increase of 16.9%) and an EBITDA margin of 15.9% (an increase of 2.1 pp). RevPAR like-for-like, including hotels under renovation, increased by 8.9%, representing the highest increase we have had since Q3 2010. Revenue like-for-like, including hotels under renovation, grew by 7.1% (MEUR 16.8).

We reiterate our guidance for the full year with like-for-like revenue, including hotels under renovation, expected to grow 4.0 - 4.5 % and with an EBITDA margin of ca 11%. This means that during Q4, the company will have higher operating costs (mainly restructurings) than previous quarters, which is in line with the 5-year operating plan.

On October 25, 2018 at 10:00 CET, a combined telephone conference and live webcast (in English) concerning the report will be presented by the President & CEO, Federico J. González and Deputy President & CFO, Knut Kleiven. To follow the webcast, please visit https://www.radissonhospitalityab.com/investors.

To access the telephone conference, please dial:

Belgium, Local              +32 2 404 0659
Belgium, Free               0800 58228
Sweden, Local:             +46 8 5664 2753
Sweden, Free:              0200 880 389
UK, Local:                    +44 330 336 9127
UK, Free:                      0800 358 6377
USA, Local:                  +1 929 477 0448
USA, Free:                   888 254 3590
France, Local:               +33 1 76 77 22 88
France, Free:                0805 101 219
Norway, Local:              +47 2100 2610
Norway, Free:               800 51084

Confirmation code: 5407820. For a replay of the conference call please visit https://www.radissonhospitalityab.com/investors.

Q4 2018 results: February 22, 2019
Q1 2019 results: April 30, 2019
AGM 2019: April 30, 2019

Knut Kleiven
Deputy President & CFO
knut.kleiven@radissonhotels.com

Avenue du Bourget 44
B-1130 Brussels
Belgium
Tel: +32 2 702 9200

Website: www.radissonhospitalityab.com

Radisson Hospitality AB (publ) is focused on hotel management and operates the core brands Radisson Blu and Park Inn by Radisson, as well as Radisson RED, an upscale "lifestyle select" brand inspired by the millennial lifestyle, and Radisson Collection, a premium lifestyle collection of exceptional hotels located in unique locations. Radisson also holds 49% in prizeotel, a young hotel chain in the economy segment.

The portfolio consists of 380 hotels, with 83,784 rooms, in operation and 116 hotels, with 25,482 rooms, under development in 79 countries across Europe, the Middle East and Africa.

Radisson's strategy is to grow with an asset-right approach, balancing management and franchise contracts with selected lease contracts. Management and franchise contracts offer a higher profit margin and more stable income streams and lease contracts allow Radisson to complete their presence in Mature markets.

Radisson is a member of Radisson Hotel Group. For more information, visit www.radissonhospitalityab.com.

This interim report comprises information which Radisson Hospitality AB (publ) is required to disclose under the Securities Markets Act and/or the Financial Instruments Trading Act. It was released for publication at 07:30 CET on October 25, 2018.

Stockholm, October 25, 2018

The Board of Directors
Radisson Hospitality AB (publ)

The full report with tables can be downloaded from the following link: