(Reuters) – Europe’s biggest hotel group Accor on Thursday reported annual core profit ahead of market expectations and its own guidance, citing “very good” activity in December.
Boosted by demand for shorter trips, European hotel chains have seen bookings recover to levels comparable to those in 2019 before the COVID-19 pandemic grounded international flights.
The group, which runs chains such as Sofitel, Pullman and Ibis, posted earnings before interest, taxes, depreciation and amortisation (EBITDA) of 675 million euros ($716.72 million) for 2022, above its outlook range of 610 million to 640 million euros.
Analysts on average had forecast EBITDA of 640.3 million euros in a Refinitiv poll.
Accor’s revenue per available room (RevPAR), a key gauge of performance for the hotel industry, came 2% above the 2019 pre-pandemic level.
Its regional division comprising India, Africa, the Middle East and Turkey saw a 73% rise in RevPAR in the last quarter of the year compared to 2019, boosted by high demand during the FIFA World Cup in Qatar.
($1 = 0.9418 euros)
(Reporting by Tristan Chabba and Anna Mackenzie in Gdansk; Editing by Milla Nissi)
