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IHG operating profits rise by 26%

IHG operating profits rise by 26%

InterContinental Hotels Group (IHG) has said that strong performances in the US and China have led to a surge in operating profits over the past year.

IHG chief executive Richard Solomons said the group, which operates the InterContinental, Crowne Plaza, Holiday Inn, Hotel Indigo, Staybridge and Candlewood hotel chains, saw a 26% increase in operating profit to 559 million US dollars.

Total gross revenue from its hotels increased by 8% to 20.2 billion US dollars, the group said, while its revenue per available room (RevPAR) rose by 6.2% in 2011.

Mr Solomons said: "The strength of our brands, underpinned by our global systems and scale, delivered 6.2% growth in revenue per available room in the year. We have continued to outperform the industry in key markets such as the US and Greater China where RevPAR was up 7.9% and 10.7% respectively."

The hard work of people in travel jobs  across the group's brands will also be good news for IHG shareholders, as the company announced it will pay them a 15% dividend in 2012.



Copyright Press Association 2012
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