Intercontinental Hotels said it delivered a strong performance in the quarter with revenue per available room (RevPAR) up seven per cent.
The firm, which has 4,500 hotels in its portfolio, said first quarter RevPAR was up across its territories with Americas up 7.7%, Europe up 2.6%; AMEA up 6.9%, and China up 11.9%.
It added that this performance had continued in a similar vein during April, with global RevPAR up 6.1% in the month.
Subscribe to MoneyWeek
Subscribe to MoneyWeek today and get your first six magazine issues absolutely FREE
Sign up to Money Morning
Don't miss the latest investment and personal finances news, market analysis, plus money-saving tips with our free twice-daily newsletter
Don't miss the latest investment and personal finances news, market analysis, plus money-saving tips with our free twice-daily newsletter
Total revenues for the quarter were up 3% to $409m, while pre-tax profits were up to $106m from $96m the year before, the company said.
Earnings per share came in at 26c before exceptional items were added, up 8% on the first three months of 2011.
Chief Executive Richard Solomons said the global economic backdrop, particularly in Europe, was still challenging,
"But the considerable strengths of our business including our resilient model and strong balance sheet give us confidence that we will continue to drive high quality growth," he said.
In Europe revenue increased 18% to $90m and operating profit increased 25% to $15m.
Intercontinental said Greater China continued to be its strongest growth market.
Revenue in the country increased 10% to $54m and operating profit increased 25% to $20m.
The company hopes to tap into the growth of domestic travel in China and recently launched a new brand that celebrates Chinese culture.
The company said the move was a response to research showing the "Chinese traveller wants the status of a world-class luxury hotel group combined with a feeling of pride in China and respect for Chinese tradition".
Its new brand is called HUALUXE, which translates from Hua, which means 'majestic China', and luxe, representing luxury.
It will focus on four key priorities it feels are important to Chinese travellers: tradition, rejuvenation, status and familiar spaces.
-
Parental contributions to kids' university living costs could reach £14,000 a yearParents helping kids with university living costs face contributions of up to £14,000 per year, according to a report from HEPI and TechnologyOne.
-
Rightmove: property asking prices hit record highNews Rising demand for top of the ladder home is boosting asking prices, Rightmove research shows. Is now a good time to sell a property?
