(Reuters) – IHG said on Friday it expected to close out 2023 with “very strong” financials as the Holiday Inn-owner reported a rise in quarterly revenue per room on strong summer travel demand and a recovery in China to pre-pandemic levels.
IHG’s global revenue per available room – a key performance indicator for the hotel industry – was up 10.5% in the third quarter compared with last year.
It did not provide specific guidance for 2023.
The hotel industry has benefited from a boom in leisure travel demand after the pandemic, as people splurge their savings on vacations despite rising costs of living.
“Looking further ahead, whilst there are macro-economic uncertainties and some short-term financing challenges holding back new hotel development, I am excited about the future for IHG,” CEO Elie Maalouf said in a statement.
The owner of the Crowne Plaza, Regent and Hualuxe hotel chains saw rooms revenue growth for each of leisure, business and group travel, Maalouf said.
(Reporting by Yadarisa Shabong in Bengaluru; Editing by Subhranshu Sahu)
