IHG revenues surge as travel rebounds from pandemic

Hotels chain IHG reported a rise in third-quarter hotel room revenue driven by strong demand as business and leisure travel recovered from the Covid pandemic.

The Holiday Inn and Crowne Plaza owner also said chief financial officer Paul Edgecliffe-Johnson will step down in six months to join gambling group Flutter.

IHG said revenue per available room (RevPAR) in the three months to September 30 increased 28% year on year and was up 2.7% than pre-pandemic 2019. In the US, revPAR rose 6.8% compared with 2019.

“Leisure stays saw rooms revenue increase 12% on 2019, while the ongoing return of business and group travel has been building each quarter through the year. RevPAR performance in the Americas was well ahead compared to three years ago and the EMEAA region was back to broadly flat on 2019 levels,” the company said.

“Improvements in Greater China reflected the lifting of some of the Covid-related travel restrictions and, while the potential for further lockdowns there continues, we are pleased with overall group momentum.”

Reporting by Frank Prenesti for Sharecast.com