Resultados anuales y publicación del informe anual
29 de febrero de 2024
PPHE Hotel Group Limited
("PPHE Hotel Group", "PPHE, or the "Group")
Resultados Anuales Auditados del ejercicio cerrado el 31 de diciembre de 2023
Publicación de informes y cuentas anuales
Record revenue and EBITDA performance, and significant increase in dividend
PPHE Hotel Group, the international hospitality real estate group which develops, owns and operates hotels and resorts, is pleased to announce its audited annual results for the financial year ended 31 December 2023.
Resumen
Reportado en GBP (£)
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Año terminado | Año terminado 31 de diciembre 2022 | Diferencia | |
Los ingresos totales | EUR 414.6 millones | EUR 330.1 millones | + 25.6% |
anual | EUR 128.2 millones | EUR 94.6 millones | + 35.5% |
EPRA NRV por acción | £26.72 | £25.17 | + 6.2% |
Ganancias por acción ajustadas de EPRA | 118p | 50p | + 136.0% |
Dividendo por acción | 36p | 15p | + 140.0% |
Ocupación | 72.4% | 60.0% | +1,240 puntos básicos |
Tarifa media de la habitación | £166.8 | £160.4 | + 4.0% |
RevPAR | £120.7 | £96.2 | + 25.5% |
Commenting on the results, Boris Ivesha, President & Chief Executive Officer, PPHE Hotel Group said:
"PPHE continues to deliver significant growth and value creation through the hard work and dedication of our teams. In 2023, we achieved record levels of revenue and EBITDA, with EPRA earnings and NRV per share above 2022 levels, enabling us to propose a significantly enhanced dividend for shareholders. Meanwhile, we continued to deliver on our highly anticipated development pipeline, growing both our proprietary art'otel brand and our Radisson branded hotels, as well as delivering meaningful EBITDA upside.
2024 is set to be a very exciting year for the Group, as we are set to open our art'otel London Hoxton and art'otel Rome Piazza Sallustio, and we are able to welcome ever-increasing numbers of guests. The new year has started well and has seen a continuation of our strong momentum, which supports the Board's confidence in the Group's outlook."
Aspectos financieros más destacados
· Total revenue increased by 25.6% to a record £414.6 million (2022: £330.1 million).
· EBITDA increased by 35.5% to £128.2 million, a record for the Group (2022: £94.6 million).
· Improved EBITDA margin of 30.9% (2022: 28.7%), due to the successful mitigation of inflationary and sector-specific costs through proactive investments in energy efficiency and our people.
· EPRA NRV per share increased by 6.2% to £26.72 (2022: £25.17), with our December 2023 external property valuations showing further growth over 2022. Despite higher interest rates, valuations have risen due to the benefit of improved trading and upgraded outlook.
· Adjusted EPRA earnings per share improved by 136.0% to 118 pence (2022: 50 pence).
· The Group continued to rebuild occupancy, whilst increasing average room rates:
· Occupancy increased to 72.4%, reflecting sustained growth throughout the year (2022: 60.0%).
· Average room rate continued to increase, by 4.0% to £166.8 (2022: £160.4).
· RevPAR was up 25.5% at £120.7 (2022: £96.2).
· The UK and The Netherlands performed well across all segments, driving occupancy and rate growth alike. Operations in Croatia also saw solid demand including during the peak summer period, with Grand Hotel Brioni Pula trading its first full year.
· Enhanced shareholder returns, with a final proposed dividend of 20p per share which, including the 16p interim dividend paid, would deliver a total dividend for 2023 of 36p per share (2022: 15p per share). The Group re-instated its progressive dividend policy, whereby the prospective dividend should be approximately 30% of adjusted EPRA earnings.
Destacados estratégicos
· On track with £300+ million pipeline which is nearing completion in H1 2024:
· Fully opened premium lifestyle art'otel London Battersea Power Station (February 2023) and soft launched art'otel Zagreb (Octubre 2023).
· Signed first Radisson rojo branded property which opened in Belgrado, Serbia (February 2024), following an extensive repositioning.
· Muy anticipado art'otel propiedades en Hoxton, London y Roma, Italia will launch in H1 2024.
· Other exciting projects planned for 2024 and beyond include:
· Park Plaza Berlin Kudamm (set to reopen Q2 2024 following extensive renovation works) as the Radisson RED Berlin Kudamm, the Group's second Radisson RED property, and third under its expanded partnership with Radisson Hotel Group.
· Detailed planning is underway to develop a 179-room hotel in a predominantly subterranean space of our Park Plaza Victoria Londres property. This new hotel is expected to have its own brand concept with a dedicated entrance and facilities and services.
· The European Hospitality Fund launched in March 2023 to support the Group's future pipeline and is set to close to new investors in March 2024. Following this, it is anticipated to become a joint venture with cornerstone investor Clal Insurance, with a total potential value of around ?300m (with 50% leverage), including the contribution of our 'seed' asset in Rome.
· Continued to progress and enhance ESG initiatives and credentials, overseen by the Board, to support the future prospects of the Group and our assets, including:
· Investments in the availability and use of renewable energy in our hotels;
· Energy efficiency programme launched last year to achieve a baseload reduction in power consumption;
· The achievement or otherwise ambition of BREEAM certifications for our properties; and
· An intensive emissions mapping process including for Scope 3 to create our ESG targets. We continue to work with the SBTi (Science-Based Targets initiative) to set and verify our formal net zero target.
Posterior al final del período
· Appointed Greg Hegarty to Co-CEO, to be responsible for day-to-day managing of the Group and implementing the long-term strategy.
Outlook
· Continued momentum into 2024, with overall forward booking levels consistent with those at this point in 2023.
· As previously reported, the mix of corporate and leisure bookings has begun to normalise, with growing demand for meetings and events and an emphasis on rebuilding occupancy. On account of this mix and the rapid growth in average room rate throughout the past three years, we expect average room rate to stabilise during 2024.
· Upon stablisation of trading, new openings are together targeted to deliver at least £25 million of incremental EBITDA to the Group.
· The Board anticipates that cost inflation will remain in 2024, but will continue to be manageable. Utility cost hedges are expected to positively impact margins and the Group continues to manage labour-related cost pressures, particularly recently announced minimum wage increases, to ensure limited impact on margins. Hedges are also already in place to mitigate the impact of rising interest rates, with most loans fixed to 2028, and no significant loans to refinance before 2026.
· All of the above supports the Board's confidence in its future prospects. Although it is still early in the new financial year, the good start made by the Group underpins confidence that FY2024 performance will be in line with current market consensus1.
1 As at 28 February 2024, PPHE complied analysts' consensus forecast range for FY 2024 showed a revenue range of £435.5 million to £466.9 million, with a consensus mean of £450.0m, and an EBITDA range of £135.3 million to £150.9 million, with a consensus mean of £142.7m.
Estadísticas financieras clave
Reportado en GBP (£)
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Año terminado | Año terminado 31 de diciembre 2022 | |
Los ingresos totales | EUR 414.6 millones | EUR 330.1 millones |
EBITDA | EUR 130.5 millones | EUR 97.0 millones |
anual | EUR 128.2 millones | EUR 94.6 millones |
Margen de EBITDA | 30.9% | 28.7% |
PBT informado | EUR 28.8 millones | £11.5 millones de |
PBT normalizado | EUR 37.5 millones | EUR 8.3 millones |
EPS reportado | 53p | 24p |
Ganancias por acción ajustadas de EPRA | 118p | 50p |
EPRA NRV por acción | £26.72 | £ 25.17p |
Ocupación | 72.4% | 60.0% |
Tarifa media de la habitación | £166.8 | £160.4 |
RevPAR | £120.7 | £96.2 |
Ingresos por habitación | EUR 300.1 millones | EUR 237.8 millones |
Publicación de informes y cuentas anuales
PPHE Hotel Group Limited will publish later today its annual report and accounts for the financial year ended 31 December 2023 (the "Annual Report"). This document shall be available today on the Company's website: www.pphe.com
Pursuant to UK Listing Rule 9.6.1, copies of the Annual Report shall be submitted later today to the National Storage Mechanism and will shortly be available for inspection en: https://data.fca.org.uk/#/nsm/nationalstoragemechanism
In accordance with Disclosure Guidance and Transparency Rule 6.3.5, the information in the attached Appendix consisting of a Directors' Responsibility Statement, principal risks and uncertainties and related party transactions has been extracted unedited from the Annual Report & Accounts for the financial year ended 31 December 2023. This material is not a substitute for reading the full Annual Report.
Este anuncio contiene información privilegiada. La persona responsable de organizar la publicación de este anuncio en nombre de la empresa es Daniel Kos, director financiero y director ejecutivo.
- Termina -
Consultas:
PPHE Hotel Group Limited | Tel.: +31 (0) 20 717 8600 |
Greg Hegarty, Co-Chief Executive Officer & Executive Director | |
Daniel Kos, director financiero y director ejecutivo | |
Robert Henke, vicepresidente ejecutivo de asuntos comerciales | |
hudson sandler | Tel.: +44 (0) 20 7796 4133 |
Wendy Baker / Charlotte Cobb / India Laidlaw |
Notas para los redactores:
PPHE Hotel Group es una empresa inmobiliaria de hostelería internacional, con una cartera de 2.2 millones de libras esterlinas, valorada en diciembre de 2023 por Savills y Zagreb nekretnine Ltd (ZANE), de activos principalmente de propiedad absoluta y arrendamiento a largo plazo en Europa.
A través de sus subsidiarias, entidades controladas conjuntamente y asociadas, es propietaria, copropietaria, desarrolla, alquila, opera y otorga en franquicia bienes inmuebles hoteleros. Su cartera incluye hoteles de lujo de servicio completo, de lujo superior y de estilo de vida en las principales ciudades de entrada y centros regionales, así como propiedades de hotel, resort y camping en destinos turísticos seleccionados. La estrategia del Grupo es hacer crecer su cartera de hoteles centrales de lujo en el centro de la ciudad, ocio y hospitalidad al aire libre y plataforma de gestión de la hospitalidad.
PPHE Hotel Group se beneficia de tener una licencia exclusiva y perpetua de Radisson Hotel Group, uno de los grupos hoteleros más grandes del mundo, para desarrollar y operar hoteles y complejos turísticos con la marca Park Plaza® en Europa, Oriente Medio y África. Además, PPHE Hotel Group posee y opera bajo la marca art'otel® y su subsidiaria croata posee y opera bajo las marcas Arena Hotels & Apartments® y Arena Campsites®.
PPHE Hotel Group es una empresa registrada en Guernsey con acciones que cotizan en la Bolsa de Valores de Londres. PPHE Hotel Group también tiene una participación mayoritaria en Arena Hospitality Group, cuyas acciones cotizan en el mercado Prime de la Bolsa de Valores de Zagreb.
Sitios web de la empresa: www.pphe.com | www.arenahospitalitygroup.com
Para reservaciones:
www.parqueplaza.com | www.artotel.com | www.arenahotels.com | www.arenacampsites.com
DECLARACIÓN DEL PRESIDENTE
Introducción
2023 was an important year of financial and strategic progress for the Group. We delivered a full recovery to pre-pandemic levels, driven by continued strong room rates and improving occupancy rates across our portfolio of well-invested hotels, resorts and campsites. We also entered a very exciting phase, as we near completion of our extensive development pipeline. Together, these provide extremely strong foundations for our performance and future growth going into 2024 and beyond.
Throughout the year, we acted where possible to manage the impact of ongoing macro-economic, geo-political and wider cost pressures on our business. The 2023 performance is a testament to this and our team members, who remain at the heart of everything we do. Their dedication to delivering memorable guest experiences is steadfast.
PPHE's unique 'Buy, Build, Operate' business model is also central to our success, positioning the Group strongly across its key markets and segments, and supporting our growth strategy, strong financial performance and our outlook upgrade at the half-year point of 2023. Furthermore, our long-standing relationship with Radisson Hotel Group, and the recent extension of our partnership, support our multi-brand approach and our future growth and opportunities.
Extensive pipeline nears completion
Many years of hard work on construction and refurbishment projects in our £300+ million development pipeline are coming to fruition. In 2023, we opened two contemporary upper upscale lifestyle hotels - art'otel London Battersea Power Station and art'otel Zagreb, Croatia.
In February 2024, we opened our first Radisson RED in Belgrade, representing our second hotel under our extended partnership with Radisson Hotel Group. A further repositioning and rebranding programme is underway in Berlin, and we plan to launch Radisson RED Berlin Kudamm in Q2 2024.
The highlight of 2024 will be the opening of our much anticipated and highly impressive art'otel London Hoxton development, following three years of construction. This will increase our presence in the attractive London market, bringing the total number of rooms we operate in the capital to over 3,700. In addition, our new art'otel in Rome, marking our entry in Italy, will open in H1 2024. These recent and upcoming openings in Belgrade, Zagreb, London Hoxton and Rome are targeted to generate at least £25 million of EBITDA for the Group upon stabilisation of trading.
Sustainability in focus
During the year, our sustainability-dedicated teams expanded further, and we worked with retained external specialist consultancies to advise on carbon footprint and reporting to stakeholders, to ramp up our efforts in this important area. This included measures to increase transparency and stakeholder accountability for our Sustainability Strategy, including informing the Science-Based Targets initiative of our work to set robust net zero targets, and be held accountable to them. We are pushing to gather more data in various areas including water consumption, waste and creation of social value by monetary, work-hour and in-kind donations. This will allow us to set baselines, and set targets with the kind of robust metrics that allow stakeholder accountability.
Further details around our new strategy, targets and KPIs are set out in the Strategy and Key Performance Indicator sections of our 2023 Annual Report.
El Directorio
We were delighted to welcome Greg Hegarty to the Board in May. His appointment provides important operational expertise given his tenure with the Group to date. It is also in line with the Board's commitment to refreshing its expertise while developing and preserving internal talent. Further enhancing our succession planning, Greg was promoted to a Co-CEO role in February 2024, being responsible for creating and implementing the Group's operational strategies, including Operations, People & Culture and Commercial, while driving PPHE's corporate vision and growth strategy. In December 2023, the Board appointed Ken Bradley, as a Deputy Chairman, providing an independent view and support on the governance duties of the Board. The Board remains focused on engaging with shareholders and implementing best-practice corporate governance to secure the best possible future for the Group.
Enhanced shareholder value
The Board has a long-standing commitment to shareholder value. We completed our £3.7 million share buy-back programme in March 2023, which enhanced capital returns to shareholders. Our strong financial performance and the business momentum during H1 enabled the Board to announce a return to its historic capital return policy of distributing approximately 30% of adjusted EPRA earnings. This resulted in a total dividend for the year of 36 pence per share.
The Board continues to prioritise its progressive dividend policy, and we look forward to continuing to deliver consistent shareholder returns.
A future of great promise
We started 2024 with positive trading momentum and a significant amount of confidence for the future. Leisure and business travel continue to be in demand across our key markets, and while headwinds persist globally, we do not see this demand changing materially going forward.
The Group will continue to focus on pulling the strategic levers it can and build on the successes it achieved over the last year. We look forward to updating all stakeholders further on our progress in the coming months and years.
Eli Papuchado
Presidente
PRESIDENT & CEO'S REVIEW
A full recovery
We are very pleased to have delivered a full recovery across the business in 2023 with a financial performance significantly ahead of that expected at the outset of the year, achieved despite the macro headwinds experienced across the sector during the year.
This was thanks to a combination of our strong financial and strategic progress, due to the hard work and dedication of our team members across our markets.
2023 en revisión
The positive momentum in 2022 following the ongoing international easing of previous pandemic-related restrictions on travel, continued into the 2023 financial year and was sustained throughout 2023. Our teams should be proud of the progress made across all of the markets and segments in which we operate. Our outperformance versus expectations enabled us to upgrade our outlook during the year, resulting in FY 2023 revenue of £414.6 million and EBITDA of £128.2 million.
Initially, we saw strong rate growth across the leisure segment in particular. This helped us to part mitigate the well-documented inflationary cost pressures, and was followed by an ongoing narrowing of the occupancy gap versus 2019 levels, as we focused on building this back up to pre-COVID levels. We saw this most notably in the UK and the Netherlands, which were the first of our markets to reopen fully in 2022.
Elsewhere, our assets in Croatia delivered a solid performance, including throughout the peak summer season, following significant investments in recent years to upgrade many of our unique hotels and campsites there. Our new Grand Hotel Brioni Pula traded its first full year and made a good contribution. In Germany, our smallest region, recovery was slower than in our other markets but improved as the year progressed.
Our performance this year has further illustrated the strength and resilience of our unique business model and proposition. Our confidence in our abilities and positioning in the market continues to grow, as we own, operate and manage a wide variety of different brands and assets that cater fully to the needs of our valued guests.
Strong momentum delivered throughout the year
Reported total revenue increased by 25.6% to £414.6 million (2022: £330.1 million) and EBITDA improved 35.5% to £128.2 million (2022: £94.6 million), resulting in an EBITDA margin of 30.9% (2022: 28.7%).
Revenue growth was driven by both strong rates, which increased to £166.8 (2022: £160.4) as well as improving occupancy to 72.4% (2022: 60.0%), which was 89.8% of 2019 levels. This resulted in a 25.5% improvement in RevPAR to £120.7 (2022: 96.2), 116.5% of 2019 levels.
Our property portfolio was predominantly valued by Savills and Zane at £2.2 billion as at 31 December 2023. EPRA NRV per share increased by 6.2% to £26.72 per share (2022: £25.17 per share). The adjusted EPRA earnings per share was 118 pence (2022: 50 pence).
Delivery of our £300+ million development pipeline
We are in a very exciting phase of the Group's development which will see the culmination of many years of work to upgrade and extend our property portfolio as well as our geographic footprint. We are now in the final stages of delivering our £300+ million development pipeline, which has included the construction of new hotels and the upgrade and repositioning of existing properties.
During the year, we successfully opened two new hotels. Our first UK art'otel at London Battersea Power Station officially opened February 2023. This hotel is managed by our hospitality management platform under a long-term management agreement. In October, we opened art'otel Zagreb, our first hotel in the city centre of the Croatian capital. Radisson RED Belgrade, our first Radisson RED hotel, opened in February 2024. Our flagship new property, art'otel London Hoxton, started to take bookings for 2024 during Q4, and is set for a soft opening in April 2024. Meanwhile, the new art'otel in Rome is due to open during H1 2024 following an extensive repositioning project.
Upon stabilisation of trading, the Zagreb, Belgrade, London Hoxton and Rome hotel openings are together targeted to generate at least £25 million EBITDA to the Group's portfolio.
We continued to enhance our long-standing and well-established relationship with Radisson Hotel Group, which was expanded during 2022 to enable both companies to invest fully in and further grow the reaches of their portfolio of brands which together include brands such as Park Plaza, art'otel, Radisson Collection, Radisson Blu and Radisson RED. Alongside the forthcoming opening of our first Radisson RED properties, our recently launched Grand Hotel Brioni Pula, a Radisson Collection Hotel, traded its first full summer season in 2023, and we were very pleased with its progress, performance and feedback from our guests.
We further cemented our partnership with Radisson at the International Hospitality Investment Forum in May 2023, when Radisson fully incorporated art'otel into their brand architecture, and we look forward to seeing what more this innovative partnership can deliver for PPHE and Radisson and our respective brand portfolios over the coming months and years.
In addition, we continue to progress three longer-term development projects in London and one property repositioning project in Berlin, Germany.
Further details on our development pipeline are set out in the Business Review.
Continuous investment in our teams
Our people continue to be the backbone of our operations. Having rebuilt our teams after the pandemic, our long-term approach is centred on investing in our people from the point of recruitment onwards, and positioning PPHE as a best-in-class employer. This includes talent attraction and retention initiatives and employee engagement and wellbeing programmes.
2023 saw the return of 'business as usual' for the Group, in line with the resumption of normal operations and a strong focus on future growth. We hired hundreds of new recruits through our partnerships with the Department for Work and Pensions, charities, universities and colleges, as well as through our internship and apprenticeship schemes, our 'Recommend a Friend' scheme and our Hospitality Career Centre. For the opening of art'otel London Battersea Power Station alone, we created 200 new jobs, and have hundreds more in the pipeline for the opening of art'otel London Hoxton in 2024.
This meant the reactivation and in many cases upgrading of our leading people-focused policies and practices, including new and improved benefits and wellbeing packages, learning and development, and the amplification of diversity and inclusion initiatives.
Aspectos destacados de ESG
During 2023, we doubled down on our ESG efforts, to enhance our contributions to the environment and society around us in all our markets. We expanded our internal resources, hiring new talent and specialist consultancies where required, to bring in industry-leading experience and expertise.
We have submitted our notification to the Science-Based Targets Initiative (SBTi). This sets out our intention to set robust targets for achieving net zero by 2040. This also involves setting interim targets. We have mapped our full carbon emissions, including working with specialists to achieve a detailed footprint of Scope 3 emissions, which will be key to achieving ambitious goals.
We want to have net positive impact on society as a whole, so we are looking at how we can ensure best practice as an employer and developer of our workforce, and a contributor to our local communities.
Further detail on our new strategy, targets and KPIs are set out in our Annual Report and Accounts 2023, and I look forward to regularly updating all our stakeholders on our progress against our goals over the coming months and years.
Commitment to shareholder returns
Given our consistently strong performance during the course of 2023, we continued to look for ways to deliver enhanced value for our shareholders.
We engaged with investors - particularly during the second half of the year - to gauge their views as to the best mechanisms to return value to shareholders. This resulted in a 16 pence per share interim dividend being announced and paid following the Interim Results, which represented a 13 pence per share increase year-on-year.
With the final dividend proposed at 20 pence per share, the total dividend paid is 36 pence per share.
Mirando hacia el futuro
We have an exciting year ahead in 2024, with highly anticipated new property launches in Belgrade, London and Rome. We launched Radisson RED Belgrade in February and we are launching two art'otels in Hoxton, London, and in Rome. These new openings are targeted to deliver at least £25 million of incremental EBITDA to the Group upon stabilised trading.
We also remain ambitious in our plans for future growth as we continue to identify opportunity and find new, entrepreneurial ways to continue to deliver value for our shareholders. PPHE has committed up to ?50 million in cash and/or assets to a European Hospitality Real Estate Fund founded by the Group. The Fund's cornerstone investor, Clal Insurance ("Clal"), has committed to invest up to ?75 million, however, capped at any time at 49% of the contributed equity. Throughout the year, the Group engaged with investment bankers to raise the remaining equity for the European Hospitality Real Estate Fund ("the Fund"), however the significant changes in the interest rate market during this period meant that the Group was not successful in signing up new investors up to the date of these results. If further investors haven't joined the Fund by 13 March 2024 (unless mutually extended), the Fund will carry on as a joint venture with Clal. The Group may top up its own equity contribution (currently at up to ?50 million) to ?78 million, representing 51%, to give the total joint venture a c.?150 million equity value.
With full equity subscription combined with a targeted 50% bank leverage, the investment potential of the joint venture will then be around ?300 million. The Fund has an investment period of 24 months from March 2023, which can be extended by an additional 12 months (subject to consent).
The booking demand experienced in 2023 has continued momentum into 2024, with overall forward booking levels consistent with those at this point in 2023. As previously reported, the mix of corporate and leisure bookings has begun to normalise, with growing demand for meetings and events and an emphasis on rebuilding occupancy.
We anticipate that cost inflation will remain in 2024, but will continue to be manageable. Utility cost hedges are expected to positively impact margins and the Group continues to manage labour-related cost pressures. Hedges are also already in place to mitigate any impact of rising interest rates.
Basado en lo anterior, we are confident in the Group's future prospects for what is expected to be milestone year in our history and beyond.
boris ivesha
Presidente y Director Ejecutivo
REVISIÓN FINANCIERA
Descripción general de 2023
2023 ended on a high, reporting fully recovered, record results and strong performance across our main markets. Since 2019, results of the Group have been distorted with the impacts of COVID-19 restrictions around the world, and 2023 marked the first year since with a normal trading pattern. 2023 kicked off with strong RevPAR increases compared to 2019, slightly above inflation reported over the four-year period that passed. Inflation did also affect many of our cost lines, most noticeably in the costs of utilities and labour.
The Group successfully mitigated a number of inflationary and sector-specific issues through the implementation of innovative solutions and forward planning. We have invested in enhancing our energy efficiency, and staffing is also much less of a constraint for the Group due to its proactive approach to investment in people, automation and employer branding.
We reported EBITDA margins that are behind on 2019, however lower utility hedges in the near future are expected to positively impact margin recovery. We keep focusing on managing the continued cost pressures we see on the labour side, due to minimum wage increases in all our territories.
Although 2023 showed sharp interest rate increases, the Group's results were not affected by this as all our loans are near fully hedged on fixed interest rates. These hedges limit the majority of exposure to interest rate risk on average to 2028. Furthermore, there are no significant loans up for refinance before 2026.
The elevated interest rate environment also impacts the discount rates used in property valuations, but despite increased rates, valuations have again shown a small improvement as improved trading and outlooks more than offset yield expansion.
Throughout the year, we spent approximately £126 million on capital expenditure, and the Group is now nearing completion of a heavy development cycle, where a record pipeline of more than £300 million will begin to contribute for the first time. This pipeline is estimated to grow EBITDA by at least £25 million once fully stabilised.
Desempeño operacional
Ingresos
Total revenue was up 25.6% at £414.6 million and was 15.9% ahead of 2019 levels. RevPAR was £120.7, up 25.5%, and was 16.5% ahead of 2019 levels. This reflected some further growth in average room rate, up 4.0% versus 2022 and 29.8% versus 2019, alongside a consistent recovery in occupancy levels to 72.4%, compared with 60.0% in 2022 and 80.6% in 2019.
Overall, RevPAR levels led to a total room revenue of £300.1 million, up 26.2% versus 2022 and up 19.7% of room revenue in 2019. The 2023 trading comparison with 2022 normalised month-on-month throughout the year. Where the first comparative quarter of 2022 was still heavily impacted by COVID-19 (thus showing significant year-on-year growth), the latter part of 2022 actually showed a fully recovered and strong trading comparable.
Resultados financieros
Estadísticas financieras clave para el ejercicio económico finalizado el 31 de diciembre de 2023.
Año terminado 31 de diciembre 2023 | Año terminado 31 de diciembre 2022 | Año terminado 31 de diciembre 2019 | |
Los ingresos totales | EUR 414.6 millones | EUR 330.1 millones | EUR 357.7 millones |
Ingresos por habitación | EUR 300.1 millones | EUR 237.8 millones | EUR 250.6 millones |
EBITDA | EUR 130.5 millones | EUR 97.0 millones | EUR 124.7 millones |
anual | EUR 128.2 millones | EUR 94.6 millones | EUR 122.9 millones |
Margen de EBITDA | 30.9% | 28.7% | 34.4% |
PBT informado | EUR 28.8 millones | EUR 11.5 millones | EUR 38.5 millones |
PBT normalizado | EUR 37.5 millones | EUR 8.3 millones | EUR 40.7 millones |
EPS reportado | 53p | 24p | 80p |
Ocupación | 72.4% | 60.0% | 80.6% |
Tarifa media de la habitación | £166.8 | £160.4 | £128.5 |
RevPAR | £120.7 | £96.2 | £103.6 |
EPRA NRV por acción | £26.72 | £25.17 | £25.93 |
Ganancias por acción ajustadas de EPRA | 118p | 50p | 128p |
Q1 2023 saw a strengthening of demand for leisure, corporate travel and meeting events across all our markets. Our rate-led strategy supported topline growth which helped to mitigate inflationary headwinds, with average room rate up 15.9% versus Q1 2022 and 24.6% ahead of Q1 2019 levels. Occupancy levels continued to improve and track closer to 2019 levels in the UK and the Netherlands, with slower recovery in Germany. Overall, Q1 2023 occupancy was 950 bps behind Q1 2019.
This momentum continued into the second quarter, supported by the Coronation, taking place in London, where total revenue was up 36.9% year-on-year and up 19.8% versus Q2 2019. Average room rate grew by 14.8% versus Q2 2022 and was up 35.6% versus Q2 2019. Occupancy continued to rebuild to 70.8% (58.8% in Q2 2022 and 77.1% in Q2 2019).
In Q3, a quarter heavily impacted by the seasonal trading in Croatia, total revenue was up 8.8% versus Q3 2022 and up 16.5% versus Q3 2019, driven primarily by strong occupancy growth to 77.5% (Q3 2022: 70.8%). Average room rate remained solid, up 0.8% versus Q3 2022, despite the strong comparative performance in Q3 2022 which was boosted by a record summer 2022 trading in Croatia and several significant events in London, including the State Funeral of Her Majesty The Queen.
The performance in Q4 continued to be solid, with further occupancy recovery. Compared to Q4 2022 revenue was up 7.2% (up 15% versus Q4 2019). Room rate was marginally down on Q4 2022 and up 25.1% versus Q4 2019. Occupancy increased to 72.8% (Q4 2022: 72.1%).
Normalised profit
Millones de libras esterlinas | 12 meses terminados | 12 meses terminados |
Beneficio declarado antes de impuestos | 28.8 | 11.5 |
Loss on buy-back of units in Park Plaza Westminster Bridge London from private investors | 3.3 | 1.5 |
Non-cash revaluation of finance lease | 3.9 | 3.7 |
Non-cash changes in fair value of Park Plaza County Hall London Income Units | (1.6) | (0.3) |
Pre-opening expenses and other non-recurring expenses | 1.4 | 1.4 |
Capital loss on disposal of fixed assets and inventory | - | 0.1 |
Non-cash changes in fair value of financial instruments | 1.7 | (9.6) |
Beneficio normalizado antes de impuestos | 37.5 | 8.3 |
EBITDA, beneficio y beneficio por acción
The Group reported EBITDA of £128.2 million (2022: £94.6 million and 2019: £122.9 million). The EBITDA margin continued to improve year-on-year to 30.9%, compared with 28.7% in 2022 and 34.4% in 2019. Broader cost inflation, particularly for utilities and labour, impacted full pre-COVID margin recovery over the last 12 months. The Board anticipates that cost inflation will remain topical in 2024, particularly with the recently announced minimum wage increases, however forward energy cost hedges will start flowing through at substantially lower levels than those fixed for 2023.
Normalised profit before tax improved to £37.5 million (2022: £8.3 million). Reported profit before tax improved by £17.3 million to £28.8 million (2022: £11.5 million). Reported profit before tax was negatively affected by non-cash revaluations of - amongst others - hedging derivatives and lease liabilities. A table of normalisation adjustments is provided above.
Reported basic/diluted earnings per share for the period were 53 pence (2022: 24 pence). Depreciation in the year was £45.1 million (2022: £40.0 million). Depreciation is recorded in accordance with IFRS, however, internally we consider the Group's ongoing average capital expenditure (CAPEX) over the lifespan of our hotels as a more relevant measure in determining profit, which in the hospitality industry is calculated as approximately 4% of total revenue. Our EPRA earnings number is calculated using the 4% rate instead of the reported non-cash depreciation charge (see EPRA Earnings table below).
Real estate performance
Valoraciones
The Group is an integrated developer, owner and operator of hotels, resorts and campsites and its business model is real estate driven. We generate returns and drive increased value for all our stakeholders by developing the assets that we own and operating our properties to their full potential. Certain EPRA performance measurements are disclosed to aid investors in analysing the Group's performance and understanding the value of its assets and earnings from a property perspective.
In December 2023, the Group's properties (with the exception of operating leases and managed and franchised properties) were once again independently valued predominantly by Savills (in respect of properties in the Netherlands, UK and Germany) and by Zagreb nekretnine Ltd (Zane) (in respect of properties in Croatia).
Based on their valuations, we have calculated the Group's EPRA NRV, EPRA NTA and EPRA NDV. The EPRA NRV as at 31 December 2023, set out in the EPRA Performance Measurement section below, amounts to £1,136.4 million (2022: £1,078.7 million), which equates to £26.72 per share (2022: £25.17 per share).
The EPRA NRV was positively impacted by the profit in the year of £22.4 million and positively impacted by marginally increased property valuations of £50.8 million (based on constant currency). This year the valuations were negatively affected by an increase in the discount rates used, mainly as a result of the higher interest rate environment. The value effect of these increased rates, however, were more than offset by the increased underlying results of the hotels used in the valuations, with expectations on improving margin embedded in the profit forecasts.
The table below provides additional information regarding the discount and cap rates used.
Actualised trading versus assumption in 2023 valuations
Tasas de descuento | Tasas de capitalización
| |||
2023 valoraciones | 2022 valoraciones | 2023 valoraciones | 2022 valoraciones | |
Reino Unido | 7.75% -10.50% | 7.75% -10.50% | 5.25% -8.00% | 5.25% -8.00% |
Países Bajos | 8.25% -9.75% | 7.75% -9.50% | 5.75% -7.25% | 5.25% -7.00% |
Alemania | 8.25% -9.25% | 8.00% -9.25% | 5.75% -6.75% | 5.50% -6.75% |
Croacia | 8.00% -11.00% | 8.00% -11.00% | 6.00% -9.00% | 6.00% -9.00% |
Valuation Comparison
2023 versus 2022 valuation - Total portfolio +2.3% | |
Reino Unido | + 2.0% |
Países Bajos | + 5.5% |
Alemania | - 6.5% |
Croacia | + 4.0% |
Flujo de caja y ganancias EPRA
In 2023, the Group had a positive operational cash flow of £126.1 million, due to its record fully recovered trading. Cash used for debt service increased to £82.2 million (2022: £68.0 million), of which £46.4 million (2022: £41.8 million) is due to interest expenses, £31.7 million (2022: £21.3 million) due to loan amortisations and £4.1 million (2022: £4.9 million) due to lease amortisations.
Investment cash flows reported an outflow of £121.5 million, of which about 86.5% was due to proyectos de desarrollo and £15.0 million regarding our usual maintenance CAPEX projects. Most noticeable was the £80.6 million CAPEX related to our development projects in Hoxton London and art'otel Rome Piazza Sallustio. These hotels are due to open in the current financial year, hence construction CAPEX is expected to significantly decrease from the third quarter onwards.
The Group has a healthy balance sheet, no significant refinancing until 2026 and a total cash position of £150.4 million, with access to a further £30 million of undrawn facilities.
The Group reported adjusted EPRA earnings of £50.1 million, up 137% (2022: £21.2 million), and adjusted EPRA earnings per share of 118 pence, up 136% (2022: 50 pence, 2019: 128 pence per share).
EPRA Performance measurement
EPRA summary
Summary of EPRA Performance indicators
| ||||
Año terminado el 31 de diciembre de 2023 | Año terminado el 31 de diciembre de 2022 | |||
Millones de libras | Por acción | Millones de libras | Por acción | |
EPRA NRV (valor neto de restablecimiento) | 1,136.4 | £26.72 | 1,078.7 | £25.17 |
EPRA NTA (Activos tangibles netos) | 1,106.6 | £26.02 | 1,047.2 | £24.44 |
EPRA NDV (valor neto de disposición) | 1,070.4 | £25.17 | 1,030.9 | £24.06 |
Ganancias de EPRA | 59.0 | 139p | 32.7 | 77p |
Ingresos EPRA ajustados | 50.1 | 118p | 21.1 | 50p |
VRN EPRA
31 de diciembre 2023 | 31 de diciembre 2022 | |||||
Millones de libras | VRN EPRA
| EPRA NTA 4 | EPRA NDV
| VRN EPRA
| EPRA NTA 4 | EPRA NDV
|
NAV según los estados financieros | 314.6 | 314.6 | 314.6 | 315.1 | 315.1 | 315.1 |
Efecto del ejercicio de opciones | - | - | - | 3.0 | 3.0 | 3.0 |
VL diluido, tras el ejercicio de opciones1 | 314.6 | 314.6 | 314.6 | 318.1 | 318.1 | 318.1 |
Incluye: | ||||||
Revalorización de propiedades propias en operación (neto de participación no controladora)2 | 794.6 | 794.6 | 794.6 | 746.9 | 746.9 | 746.9 |
Revaluation of the joint venture interest held in two German properties (net of non-controlling interest) | 6.1 | 6.1 | 6.1 | 6.8 | 6.8 | 6.8 |
Valor razonable de la deuda a tasa de interés fija | - | - | (5.9) | - | - | (9.2) |
Impuesto diferido sobre revalorización de inmuebles | - | - | (39.0) | - | - | (31.7) |
Impuesto de transferencia de bienes inmuebles3 | 19.1 | - | - | 18.7 | - | - |
No incluye: | ||||||
Valor razonable de instrumentos financieros | 14.2 | 14.2 | - | 21.1 | 21.1 | - |
Impuesto diferido | (16.2) | (16.2) | - | (9.3) | (9.3) | - |
Intangibles según el balance de situación de las NIIF | - | 10.7 | - | - | 12.8 | - |
NAV | 1,136.4 | 1,106.6 | 1,070.4 | 1,078.7 | 1,047.2 | 1,030.9 |
Número de acciones totalmente diluido (en miles)1 | 42,527 | 42,527 | 42,527 | 42,846 | 42,846 | 42,846 |
NAV per share (in £) | 26.72 | 26.02 | 25.17 | 25.17 | 24.44 | 24.06 |
1 The fully diluted number of shares excludes treasury shares but includes 163,221 outstanding dilutive options (as at 31 December 2022: 150,223).
2 The fair values of the properties were determined on the basis of independent external valuations prepared in December 2023.
3 EPRA NTA and EPRA NDV reflect fair value net of transfer costs. Transfer costs are added back when calculating EPRA NRV.
4 NTA is calculated under the assumption that the Group does not intend to sell any of its properties in the long run.
Ganancias de EPRA
12 meses terminados 31 de diciembre 2023 Millones de libras | 12 meses terminados 31 de diciembre 2022 Millones de libras | |
Resultado atribuido a los accionistas de la sociedad matriz | 22.4 | 10.2 |
Depreciación y amortización reportadas | 45.1 | 40.0 |
Revalorización de las unidades de ingresos de Park Plaza County Hall London | (1.6) | (0.3) |
Cambios en el valor razonable de los instrumentos financieros | 1.7 | (9.6) |
Participaciones no controladoras con respecto a lo anterior3 | (8.6) | (7.6) |
Ganancias EPRA | 59.0 | 32.7 |
Número promedio ponderado de acciones ordinarias en circulación | 42,541,186 | 42,522,523 |
EPRA Earnings per Share (in pence) | 139 | 77 |
Ajustes específicos de la empresa:1 | ||
Pérdida de capital en la recompra de unidades de ingresos en Park Plaza Westminster Bridge London | 3.3 | 1.5 |
Nueva medición del pasivo por arrendamiento4 | 3.9 | 3.7 |
Enajenaciones y otros gastos no recurrentes (incluidos los gastos previos a la apertura)7 | 1.4 | 1.5 |
Ajuste de los pagos de arrendamiento5 | (2.3) | (2.2) |
One-off tax adjustments6 | (2.5) | (5.8) |
CAPEX de mantenimiento2 | (16.6) | (13.2) |
Non-controlling interests in respect of Maintenance CAPEX and the adjustments above3 | 3.9 | 3.0 |
Company Adjusted EPRA Earnings1 | 50.1 | 21.2 |
Company Adjusted EPRA Earnings per Share (in pence) | 118 | 50 |
Reconciliation Company adjusted EPRA earnings to normalised PBT: | ||
Company Adjusted EPRA Earnings1 | 50.1 | 21.2 |
Depreciación y amortización reportadas | (45.1) | (40.0) |
Participación no controladora con respecto a la depreciación informada3 | 8.6 | 7.6 |
CAPEX de mantenimiento2 | 16.6 | 13.2 |
Non-controlling interests in respect of Maintenance CAPEX and the adjustments above3 | (3.9) | (3.0) |
Ajuste de los pagos de arrendamiento5 | 2.3 | 2.2 |
One-off tax adjustments6 | 2.5 | 5.8 |
Beneficio atribuible a participaciones no controladoras3 | 4.7 | 4.7 |
Impuesto informado | 1.7 | (3.4) |
Beneficio normalizado antes de impuestos | 37.5 | 8.3 |
1 The 'Company specific adjustments' represent adjustments of non-recurring or non-trading items.
2 Calculated as 4% of revenues, which represents the expected average maintenance capital expenditure required in the operating properties.
3 Non-controlling interests include the non-controlling shareholders in Arena, third party investors in Income Units of Park Plaza Westminster Bridge London and the non-controlling shareholders in the partnership with Clal that was entered into in June 2021 and March 2023.
4 Non-cash revaluation of finance lease liability relating to minimum future CPI/RPI increases.
5 Lease cash payments which are not recorded as an expense in the Group's income statement due to the implementation of IFRS 16.
6 Mainly relates to deferred tax asset on carry forward losses recorded in 2023.
7 Mainly relates to pre-opening expense and net profit and loss on disposal of property, plant and equipment.
Otras medidas EPRA
Given that the Group's asset portfolio is comprised of hotels, resorts and campsites which are also operated by the Group, a few of EPRA's performance measurements, which are relevant to real estate companies with passive rental income, have not been disclosed as they are not relevant or non-existent. Those EPRA performance measurements include EPRA Net Initial Yield (NIY), EPRA 'Topped-up' NIY, EPRA Vacancy Rate and EPRA Cost Ratios.
Estructura capital
Call impact minorities and future
As part of our strategy, we unlock capital on the back of our assets in many different ways. We do this by raising debt, raising equity through several different forms of partnerships or sometimes by entering into 100+ year ground rent structures. This funding strategy gives us access to capital on the back of the fair value of our assets and also balances the liquidity and interest rate risk attached to our capital structure.
Our partnerships, such as the third party unit holders in Park Plaza Westminster Bridge London, the third party shareholders in our listed Croatian subsidiary or the individual professional partners we work with on several assets, provide us with long-term equity and therewith sharing of the risks and returns on each asset.
The 100+ year ground rent structures give us long-term access to capital, with no covenants, no recourse to the Group and no refinance risk or interest rate exposure. These structures are typically linked to inflation, although, these are often capped at around 4-5% annually.
Finally, our asset-backed mortgages are mostly entered into with long-standing banking partners, with a five- to ten-year maturity and with a fixed rate or a variable rate with hedging arrangements. Our mortgages have covenants around the value of assets (Loan to Value) and trading (interest or debt service cover ratios). The level of debt raised on trading assets is typically around 50% of the value of these assets and appropriate buffers are kept towards the covenants on the loan. Furthermore, most of our loans are amortised annually around 2.5% of the nominal amount over the term. The current net bank debt leverage (EPRA LTV) percentage is 33.4%.
Although our mortgages are exposed to interest rate risks, most of these were entered into years ago, averaging at 3.5% interest (98% fixed) and with an average remaining maturity of 4.0 years. In early 2022, the Group entered into multiple forward starting hedges (starting when loans roll over or refinance in 2024 and 2026) for approximately £380 million, around 1.4%-1.9% swap rate, significantly below current market levels. The loans on trading assets are non-recourse.
Fondo inmobiliario europeo de hostelería
Consistent with PPHE's long-standing approach to building shareholder value through the careful stewardship of its own balance sheet and partnership with third party capital providers, we launched our inaugural European Hospitality Real Estate Fund (the 'Fund') in March 2023 to support the Group's long-term growth ambitions. Hotels acquired by the Fund will be operated by PPHE's hospitality management platform, building further scale in the platform. PPHE has committed up to ?50 million in cash and/or assets to the Fund and the Fund's cornerstone investor, Clal Insurance, has committed to invest up to ?75 million (however, capped at 49% of the equity contributed at any time). In March 2023, our property in Rome (soon to open as art'otel Rome Piazza Sallustio) was contributed as a seed asset.
Throughout the year the Group engaged with investment bankers to raise the remaining equity for the Fund, however, the significant changes in the interest rate market during this period has meant that the Group was not successful in signing up new investors.
If further investors have not joined the Fund by 13 March 2024 (unless mutually extended), the Fund will carry on as a joint venture with Clal. Furthermore, the Group has the option to top up its own equity contribution (currently at up to ?50 million) to ?78 million to give the total joint venture a c.?150 million equity value. With full equity subscription combined with a targeted 50% bank leverage, the investment potential of the joint venture will then be around ?300 million. The Fund has an investment period of 24 months from March 2023, which can be extended by an additional 12 months (subject to consent).
Net debt leverage/EPRA LTV reconciliation
Group as reported under IFRS Millones de libras | Adjustments to arrive at EPRA Group LTV Millones de libras | Group EPRA LTV before NCI adjustment Millones de libras | Proportionate Consolidation (Non-controlling interest) Millones de libras | Combined EPRA LTV Millones de libras | ||
Incluye: | ||||||
Préstamos | ||||||
(short-/long-term) | 893.0 | - | 893.0 | (202.4) | 690.6 | |
Excluir: | ||||||
Cash & cash equivalents and restricted cash | (167.7) | - | (167.7) | 36.6 | (131.1) | |
Deuda Neta (a) | 725.3 | - | 725.3 | (165.8) | 559.5 | |
Incluye: | ||||||
PP&E | 1,412.8 | 762.4 | 2,175.2 | (511.8) | 1,663.4 | |
Activos por derecho de uso | 229.2 | (229.2) | - | - | - | |
Pasivos por arrendamiento | (277.4) | 277.4 | - | - | - | |
Liability to income units in Westminster Bridge hotels | (114.3) | 114.3 | - | - | - | |
Activos intangibles | 10.7 | - | 10.7 | (0.9) | 9.8 | |
Inversiones en negocios conjuntos1 | 5.4 | 11.4 | 16.8 | (7.8) | 9.0 | |
Otros activos y pasivos, neto | (9.9) | (4.0) | (13.9) | 8.5 | (5.4) | |
Valor total de la propiedad (b) | 1,256.5 | 932.3 | 2,188.8 | (512.0) | 1,676.8 | |
EPRA LTV (a/b) | 57.7% | - | 33.1% | - | 33.4% | |
Adjustments to reported EPRA NRV: | ||||||
Impuesto de transferencia de bienes inmuebles | - | 21.9 | 21.9 | (2.8) | 19.1 | |
Total Property Value after adjustments (c) | 1,256.5 | 954.2 | 2,210.7 | (514.8) | 1,695.9 | |
Total Equity (c-a) | 531.2 | 954.2 | 1,485.4 | (349.0) | 1,136.4 | |
1 Proportionate consolidation was not applied to the Joint ventures as it is considered as not material.
Capital Expenditure/Development pipeline update
With an expansion CAPEX of £110.6 million, we remained focused on implementing our strategy, progressing our development pipeline, and expanding our footprint into new, highly attractive markets.
The construction phase of our new hotel in Hoxton London (art'otel London Hoxton) is nearing completion and handover of certain areas commenced in Q1 2024 enabling our operational teams to start preparing the hotel for its expected opening in Q2 2024.
We opened our first art'otel in Croatia in Q3 2023, art'otel Zagreb. This was an office-to-hotel conversion project in Zagreb city centre at a total investment of £18 million.
Similarly, the first Radisson RED property to be operated by the Group, and the second to open under the extended Radisson partnership, opened for bookings in Q4 2023, following an extensive repositioning (previously known as Arena 88 Rooms Hotel).
In Rome, the Group had embarked on a full repositioning and construction of the former Londra & Cargill Hotel located in the city centre in July 2022. Works are underway to reposition this hotel into a 99-room premium art'otel, which is expected to open in the first half of 2024.
On the above £300+ million pipeline, the Group has a remaining commitment of approximately £60 million.
We are constantly working on improving our existing portfolio and looking for interesting opportunities to acquire further assets to broaden the Group's portfolio. The diagram in the Financial Review section of the Annual Report provides a summary of the investments done in the past ten years.
Dividendo
The strength of trading during the first half of 2023 and the Board's confidence in the outlook enabled it to recommend a return to the Company's historical capital returns policy of distributing approximately 30% of adjusted EPRA earnings while continuing to support investment in future growth opportunities. Given the continued share price discount relative to the Company's EPRA NRV per share, the Board consulted with shareholders about the most appropriate and effective mechanism for such distributions to take place, including dividends, share buy-backs, tender offers or a combination of these. During this exercise, a broad range of opinions and preferences were expressed by shareholders. Having listened carefully to all the viewpoints provided, the Group took the decision to pay an interim dividend of 16 pence per share for the period ended 30 June 2023, which represented a year-on-year increase of 13 pence per share (H1 2022: 3 pence per share).
Further to the above, and in line with the Board's confidence in the Group's performance and the strength of its development pipeline being delivered, the Board has proposed a final dividend payment of 20 pence per share. When combined with the interim ordinary dividend, it will bring the total dividend for the year to 36 pence per share.
The Board will continue to regularly review its capital returns policy.
daniel kos
Director financiero y director ejecutivo
REVISION DEL NEGOCIO
INTRODUCCIÓN
Demand among leisure and corporate visitors alike remained resilient and grew consistently during 2023. This was despite persistent macro-economic challenges and wider concerns about consumer confidence, as people around the world sought to travel and meet in person at levels close to and in many cases exceeding those of 2019 (which was the last full pre-pandemic year).
Our strategic progress was similarly broad-based, with openings across all of our key markets successfully completed to plan. Our newly opened art'otel at London Battersea Power Station was a particular highlight and has traded well in a well-known and highly desirable destination. We were also pleased to open art'otel Zagreb, our first city-centre hotel in Croatia, as well as our first Radisson RED branded property in Belgrade, Serbia.
As our £300+ million development pipeline nears completion, we have continued to find innovative ways to drive further growth and shareholder returns in the years ahead. This includes the equity partnership with Clal, which gives us, when leveraged, access to an investment potential of between ?200 and ?300 million (based on leverage assumption of 50% and including PPHE's participation) for new property acquisitions, and an asset optimisation including securing planning to convert subterranean space at Park Plaza Victoria London into a 179-room hotel concept.
As activity grew throughout the year, our teams once again worked extremely hard to deliver a memorable guest experience for all our guests, resulting in high levels of guest satisfaction. We continued to prioritise recruitment, learning and development, engagement and retention. Our long-term approach and investment in our people has positioned us strongly in the market and this remains a key focus. Our talented and dedicated teams remain critical to the long-term success of the Group, and I would like to reiterate my gratitude to them.
Investment in new technologies and systems remained a key priority as we sought new ways to innovate and enhance our service offering, and create efficiencies in our processes. This included the continued use of automation and robotics across several business functions, alongside the implementation of two highly regarded revenue management systems to optimise pricing and forecasting. We also further upgraded our Digital Services suite of products, including online check-in and digital keys, to create a more seamless guest journey.
While leveraging the additional Radisson brands in line with our expanded partnership, each with their distinct personas and market positioning (Radisson RED and Radisson Collection), we continued to expand and evolve our offering, within both our restaurant and bar concepts. During the year, we opened a number of new destination restaurants and bars, including Portuguese-inspired JOIA on the 15th floor at art'otel London Battersea Power Station, following our successful collaboration with Executive Chef Henrique Sá Pessoa at art'otel Amsterdam. TOZI Grand Café also opened on the ground floor, inspired by the elegance of Europe's famous grand cafés and celebrating authentic Italian dishes, and TOZI Counter - a casual outlet specialising in fresh Italian sandwiches, pastries and specialty coffees - is located adjacent to TOZI Grand Café. Furthermore, in November 2023 we opened our first YEZI restaurant, at our new art'otel in Zagreb, which provides a relaxed fine-dining experience inspired by the traditional Asian tea house.
I look forward to keeping shareholders updated on our performance and strategic progress over the coming months. In the meantime, please read on for our 2023 Business Review.
greg hegarty
Co-Chief Executive Officer & Executive Director
Reino Unido
cartera de propiedades
The Group's well-invested property portfolio consists of approximately 3,350 rooms in operation in the upper upscale segment of the London hotel market. In addition, the Group will be soft opening the 357-room art'otel London Hoxton in April 2024 and it has a further three development sites in London, which could add up to over 800 rooms.
Four of the Group's London hotels are in the popular South Bank area of London, with further properties in Victoria, Marylebone, Battersea and Park Royal. There are also three properties located in the UK regional cities of Nottingham, Leeds and Cardiff2.
The Group has an ownership interest in ten properties: Park Plaza Westminster Bridge London, Park Plaza London Riverbank, Park Plaza London Waterloo, Park Plaza County Hall London2, Park Plaza Victoria London, Park Plaza London Park Royal, art'otel London Hoxton, Holmes Hotel London, Park Plaza Leeds and Park Plaza Nottingham. Park Plaza Cardiff2 operates under a franchise agreement. The Group operates art'otel London Battersea Power Station2 hotel under a long-term management agreement through its hospitality platform.
Total value of the UK property portfolio¹ £1,014m (2022: £991m)
Rendimiento financiero
Reported in Pound Sterling (£)
| |||||
Año terminado 31 Dec 2023 | Año terminado 31 Dec 2022 | % cambio | Año terminado 31 Dec 2019 | % cambio | |
Los ingresos totales | 234.9m | 190.1m | 23.6% | 207.4m | 13.3% |
EBITDA | 76.6m | 56.8m | 35.0% | 71.0m | 7.9% |
anual | 76.3m | 56.2m | 35.7% | 70.7m | 7.9% |
Ocupación | 83.6% | 67.8% | 1,590 bps | 87.7% | (405) bps |
Tarifa media de la habitación | £190.8 | £192.3 | (0.8)% | £152.4 | 25.2% |
RevPAR | £159.6 | £130.3 | 22.5% | £133.7 | 19.4% |
Ingresos por habitación | 183.8m | 149.9m | 22.6% | 152.7m | 20.4% |
Margen de EBITDA | 32.5% | 29.6% | 290 bps | 34.1% | (160) bps |
1 Independent valuation by Savills in December 2023 and excluding the London development sites art'otel London Hoxton and Westminster Bridge Road.
2 Revenues derived from these hotels are accounted for in Management and Holdings, and their values and results are excluded from the data provided in this section.
Desempeño de la cartera
The United Kingdom remains the Group's largest region in terms of revenue generated and property value. Throughout the year, the portfolio performed strongly across the Group's main segments of leisure, corporate and meetings. This was predominantly achieved through a further growth in room rate alongside a significant recovery in occupancy. Booking activity was supported by a number of events in London, including the Coronation of King Charles III in May, and a return to business travel.
Total reported revenue was up 23.6% to £234.9 million (2022: £190.1 million). Reported RevPAR was £159.6 (2022: £130.3), driven by a estable average room rate of £190.8, down 0.8% (2022: £192.3), and una mejora adicional in occupancy to 83.6% (2022: 67.8%).
EBITDA was £76.3 million (2022: £56.2 million).
Canal de desarrollo
The Group's flagship project, art'otel London Hoxton, is now in the final stages of development ahead of soft opening in April 2024. Located in the vibrant Shoreditch area in East London, this premium lifestyle hotel will comprise 357 rooms and suites, five floors of 5,900m2 office space, wellness facilities, a gym and swimming pool, and an art gallery space. The hotel's Signature Artist is London-born British street artist D*Face, who is recognised globally as one of his generation's most prolific contemporary urban artists, blending art, design and graffiti. The General Manager has been appointed along with a support function to prepare the hotel for launch.
The Group also has three longer-term development projects in London. The first is a site adjacent to Park Plaza London Park Royal (in West London), the second site is at 79-87 Westminster Bridge Road, close to the Group's Park Plaza London Waterloo and Westminster Bridge properties, and the third development project is the potential to create a 179-bedroom subterranean hotel at the Group's Park Plaza London Victoria property. The Park Royal and Park Plaza London Victoria sites both have planning consent.
Hospitality management platform projects
In February 2023, the Group fully opened - to critical acclaim - the UK's first art'otel, located within the Battersea Power Station development. The property features 164 bedrooms, a Venetian inspired Italian TOZI restaurant and bar, a skyline destination restaurant, JOIA, and a spectacular rooftop swimming pool. The hotel also offers a gym, spa, event facilities, and an art gallery with regular art programmes throughout the hotel. Jaime Hayon is the hotel's interior designer and Signature Artist, and two Michelin starred Portuguese chef Henrique Sá Pessoa is the JOIA restaurant Concept Chef. This hotel is managed by the Group under a long-term operating agreement and as a result, its financial performance is not included in the performance reported in this segment. Management fees are accounted for in the Management and Central Services segment.
El mercado hotelero del Reino Unido *
RevPAR was up 14.5% at £92.4, driven by an 8.7% increase in average room rate to £119.5 and a 5.3% increase in occupancy to 77.3%.
In London, RevPAR increased by 17.1% to £156.2 compared with 2022, reflecting an 8.8% increase in occupancy to 79.8%, and a 7.6% increase in average room rate to £195.7.
* Source STR European Hotel Review, December 2023.
LOS PAÍSES BAJOS
Cartera de propiedades
The Group has an ownership interest in three hotels in the centre of Amsterdam (Park Plaza Victoria Amsterdam, art'otel Amsterdam and Park Plaza Vondelpark, Amsterdam), and a fourth property located near Schiphol Airport (Park Plaza Amsterdam Airport). It also owns Park Plaza branded hotels in Utrecht and Eindhoven.
Valor total de la cartera de propiedades de los Países Bajos1 318 millones de libras esterlinas (2022: 307 millones de libras esterlinas)
Finanzas actuación
Reportado en Libra Esterlina2 (£) | Reported in local currency Euro (?) | ||||||||||
Países Bajos | Ejercicio finalizado el 31 de diciembre de 2023 | Año terminado el 31 de diciembre 2022 | % cambio | Año terminado el 31 de diciembre 2019 | % cambio | Año terminado el 31 de diciembre 2023 | Año terminado el 31 de diciembre | % cambio | Año terminado el 31 de diciembre | % cambio | |
Los ingresos totales | £63.3.m | 41.6m | 52.3% | 53.8m | 17.7% | ? 72.8m | ? 48.7m | 49.6% | ? 61.4m | 18.6% | |
EBITDA | 19.6m | 11.2m | 75.2% | 15.0m | 30.5% | ? 22.6m | ? 13.1m | 72.1% | ? 17.2m | 31.5% | |
anual | 19.6m | 11.2m | 75.4% | 15.0m | 30.5% | ? 22.5m | ? 13.1m | 72.3% | ? 17.1m | 31.5% | |
Ocupación | 82.4% | 57.3% | 2,510 bps | 86.2% | (385) bps | 82.4% | 57.3% | 2,510 bps | 86.2% | (385) bps | |
Tarifa media de la habitación | £149.1 | £142.2 | 4.9% | £124.8 | 19.5% | ? 171.6 | ? 166.6 | 3.0% | ? 142.6 | 20.3% | |
RevPAR | £122.8 | £81.5 | 50.7% | £107.6 | 14.1% | ? 141.4 | ? 95.5 | 48.0% | ? 122.9 | 15.0% | |
Ingresos por habitación | 48.1m | 31.9m | 50.7% | 40.3m | 19.5% | ? 55.4 | ? 37.4m | 48.0% | ? 46.0m | 20.4% | |
Margen de EBITDA | 30.9% | 26.9% | 410 bps | 27.9% | 305 bps | 30.9% | 26.9% | 410 bps | 27.9% | 305 bps | |
1 Independent valuation by Savills in December 2023.
2 Average exchange rate from Euro to Pound Sterling for the period ended 31 December 2023 was 1.151 and for the period ended 31 December 2022 was 1.172 representing a 1.8% decrease.
Desempeño de la cartera
As in the United Kingdom, the Group's Dutch properties performed strongly throughout the year, driven by a combination of rate growth and occupancy recovery.
Total revenue (in local currency) was up 49.6% at ?72.8 million (2022: ?48.7 million). RevPAR increased to ?141.4 (2022: ?95.5), reflecting the 3.0% uplift in average room rate to ?171.6 (2022: ?166.6), and the importante improvement in occupancy to 82.4% (2022: 57.3%). EBITDA improved by ?9.4 million to ?22.5 million (2022: ?13.1 million).
El mercado hotelero holandés *
RevPAR increased by 25.4% to ?108.3 compared with 2022. Occupancy increased by 13.4% to 71.3%, and the average room rate was ?151.9, 10.6% higher than in 2022.
In Amsterdam, our main market in the Netherlands, RevPAR increased by 29.3% to ?134.2. Occupancy levels increased by 16.6% to 74.8%, and the average daily room rate increased by 10.9% to ?179.4.
* Source STR European Hotel Review, December 2023.
CROACIA
Cartera de propiedades
The Group's subsidiary, Arena Hospitality Group d.d. ('Arena'), owns and operates a Croatian portfolio compromising more than 8,500 rooms and accommodation units across eight hotels, six resorts and eight campsites. With the exception of art'otel Zagreb, all these properties are located in Istria, Croatia's most prominent tourist region. Four of these properties are Park Plaza branded, one property is art'otel branded, and Grand Hotel Brioni is a Radisson Collection hotel. The remainder of our portfolio operates as part of the Arena Hotels & Apartments and Arena Campsites brands. The Group opened its first art'otel in Zagreb in Q4 2023.
Total value of the Croatian property portfolio1 361 millones de libras esterlinas (2022: 334 millones de libras esterlinas)
Rendimiento financiero
Reportado en Libra Esterlina2 (£) | Reported in local currency Euro (?)4 | ||||||||||
Croacia | Ejercicio finalizado el 31 de diciembre de 2023 | Año terminado el 31 de diciembre 2022 | % cambio | Año terminado el 31 de diciembre 2019 | % cambio | Año terminado el 31 de diciembre 2023 | Año terminado el 31 de diciembre 2022 | % cambio | Año terminado el 31 de diciembre 2019 | % cambio |
|
Los ingresos totales | 78.1m | 69.2m | 12.8% | 61.1m | 27.8% | ? 89.9m | ? 81.3m | 10.6% | ? 70.1m | 28.3% |
|
EBITDA | 22.4m | 23.3m | (3.9)% | 19.4m | 15.2% | ? 25.7m | ? 27.2m | (5.6)% | ? 22.2m | 16.0% |
|
anual | 20.4m | 21.4m | (4.7)% | 18.2m | 12.0% | ? 23.5m | ? 25.1m | (6.4)% | ? 20.8m | 12.8% |
|
Ocupación3 | 52.7% | 55.1% | (240) bps | 63.1% | (1,040) bps | 52.7% | 55.1% | (240) bps | 63.1% | (1,040) bps |
|
Tarifa media de la habitación3 | £140.2 | £123.2 | 13.8% | £91.1 | 53.8% | ? 161.3 | ? 144.4 | 11.7% | ? 104.1 | 54.9% |
|
RevPAR3 | £73.8 | £67.8 | 8.8% | £57.5 | 28.4% | ? 85.0 | ? 79.5 | 6.9% | ? 65.7 | 29.4% |
|
Ingresos por habitación3 | 42.6m | 36.1m | 17.9% | 33.5m | 27.3% | ? 49.0m | ? 42.3m | 15.8% | ? 38.2m | 28.2% |
|
Margen de EBITDA | 26.1% | 30.9% | (480) bps | 29.8% | (370) bps | 26.1% | 30.9% | (475) bps | 29.7% | (360) bps |
|
1 Independent valuation by Zagreb nekretnine Ltd in December 2023.
2 Average exchange rate from Euro to Pound Sterling for the period ended 31 December 2023 was 1.151 and for the period ended 31 December 2022 was 1.172 representing a 1.8% decrease.
3 The room revenue, average room rate, occupancy and RevPAR statistics include all accommodation units at hotels and self-catering apartment complexes and exclude campsites and mobile homes.
4 Since 1 January 2023, the Group's Croatian portfolio performance has been reported in euros, following Croatia's admission to the eurozone.
Desempeño de la cartera
The Group's Croatian operations are predominately seasonal, with most of the properties closed during the first and last quarter of the year. From around Easter time, business activity intensifies while hotels, resorts and campsites are fully open and trading for the peak summer season in June, July and August. Most properties are then closed in late September/mid-October for winter.
The region continued to benefit from the maturing of properties following significant repositioning investment programmes to upscale market positions across the portfolio. Revenue growth was primarily from hotels and apartments, especially from Grand Hotel Brioni Pula due to its first full-year trading since it opened in May 2022. In addition, campsites performed well and delivered year-on-year revenue growth, building on the record performance in 2022. This performance was achieved despite reduced air travel capacity to and from Pula airport, adverse weather conditions (with torrential rains during the summer season) and the full re-opening of other global tourist markets compared with 2022, providing tourists with more travel options.
Total revenue (in local currency) was up 10.6% to ?89.9 million (2022: ?81.3 million) and was 28.3% above revenue in 2019. This was driven by an 11.7% increase in average room rate to ?161.3 (2022: ?144.4) with occupancy decreasing 240 bps to 52.7% (2022: 55.1%). Consequently, RevPAR grew to ?85.0, mainly due to the higher average room rate.
EBITDA was ?23.5 million, which was 12.8% above 2019, however, it was 6.4% lower than 2022 (2022: ?25.1 million), primarily due to the impact of significantly higher utilities costs, up 71.0% year-on-year, and increased payroll expenses.
proyectos de gestión de activos
Following phase one of renovations at Arena Stoja Campsite in 2022, phase two was completed ahead of the 2023 summer season. This ?8.3 million investment included a new arrival and entrance area for the campsite, an extensive renovation of its main restaurant and coffee shop, along with major infrastructure upgrades, further strengthening the campsite's offering and appeal.
In Croatia, we are taking a more cautious approach to new developments and postponing larger projects, such as the conversion of the Hotel Riviera, Pula into a premium offering, until such time that we can be sure that new investments meet our targeted return hurdle rate. Our planned investment in Hotel Riviera in Pula is temporarily paused due to construction cost inflation associated with the project.
Proyectos de desarrollo
In October 2023, the Group opened art'otel Zagreb following a ?18 million investment to convert an iconic office building in the heart of the city centre, known to be one of the best examples of Zagreb's Art Deco architecture. Located just off Zagreb's main square (Ban Jela?i? Square), the hotel features 110 rooms, a rooftop bar with a panoramic view of the city (opening in 2024), pan-Asian destination restaurant and bar YEZI, four meeting spaces, a spa and an indoor pool. The hotel's Signature Artist is the late Boris Bu?an, one of Croatia's best-known artists. His artwork is layered within the very fabric of the hotel for guests to enjoy during their stay - it is a poignant last collection of his life's creativity. The hotel has been well received since its launch in October 2023, and contributed nine weeks of performance to the results.
ALEMANIA
Cartera de propiedades
The Group's portfolio includes four properties in Berlin and one hotel each in Cologne, Nuremberg and Trier. Hotels with an ownership interest include Park Plaza Berlin Kudamm (relaunching in Q2 2024 as Radisson RED Berlin Kudamm)3, Park Plaza Nuremberg, art'otel Berlin Mitte3, Park Plaza Berlin and art'otel Cologne. Park Plaza Wallstreet Berlin Mitte operates under an operating lease and Park Plaza Trier3 opera bajo un contrato de franquicia.
Total value of the German property portfolio1 92 millones de libras esterlinas (2022: 100 millones de libras esterlinas)
Rendimiento financiero
Reportado en Libra Esterlina2 (£) | Reported in local currency Euro (?) | |||||||||
Alemania | Año terminado el 31 de diciembre 2023 | Año terminado el 31 de diciembre 2022 | % cambio | Año terminado el 31 de diciembre 2019 | % cambio | Año terminado el 31 de diciembre 2023 | Año terminado el 31 de diciembre 2022 | % cambio | Año terminado el 31 de diciembre 2019 | % cambio |
Los ingresos totales | 22.8m | 17.7m | 28.4% | 24.2m | (6.1)% | ? 26.2m | ? 20.8m | 26.0% | ? 27.7m | (5.4)% |
EBITDA | 5.5m | 6.4m | (14.2)% | 7.0m | (21.6)% | ? 6.3m | ? 7.5m | (15.7)% | ? 8.0m | (21.0)% |
anual | 5.5m | 6.4m | (14.2)% | 7.0m | (21.6)% | ? 6.3m | ? 7.5m | (15.7)% | ? 8.0m | (21.0)% |
Ocupación | 62.3% | 53.0% | 930 bps | 79.4% | (1,715) bps | 62.3% | 53.0% | 930 bps | 79.4% | (1,715) bps |
Tarifa media de la habitación | £120.3 | £110.3 | 9.0% | £96.7 | 24.3% | ? 138.4 | ? 129.3 | 7.1% | ? 110.5 | 25.2% |
RevPAR | £74.9 | £58.4 | 28.2% | £76.8 | (2.5)% | ? 86.2 | ? 68.5 | 25.9% | ? 87.8 | (1.8)% |
Ingresos por habitación | 19.5m | 15.2m | 28.2% | 20.0m | (2.5)% | ? 22.5m | ? 17.8m | 25.9% | ? 22.9m | (1.8)% |
Margen de EBITDA | 24.0% | 35.9% | (1,190) bps | 28.8% | (480) bps | 24.0% | 35.9% | (1,190) bps | 28.8% | (480) bps |
1 Independent valuation by Savills in December 2023.
2 Average exchange rate from Euro to Pound Sterling for the period ended 31 December 2023 was 1.151 and for the period ended 31 December 2022 was 1.172, representing a 1.8% decrease.
3 Revenues derived from these hotels are accounted for in Management and Central Services performance and their values and results are excluded from the data provided in this section.
Desempeño de la cartera
Germany is the Group's smallest region and as previously reported, operations had a slower start to the year than other regions, with both rate and occupancy growth impacted by market dynamics in the region. However, trading improved as the year progressed.
Market conditions in Germany saw a continued rebuilding in guest numbers. While this took longer than anticipated, revenue grew significantly year-on-year as a result of an increase in occupancy and average rate. This was supported by the various fairs and events which were hosted in Cologne, Nuremburg and Berlin throughout the period.
Despite the improved revenue performance, the bottom line was impacted by inflation related to rising costs in utilities, food, and service contracts, as well as the ending of government grants for payroll and operating costs.
Total revenue (in local currency) was up 26.0% at ?26.2 million (2022: ?20.8 million). Occupancy continued to recover to 62.3% (2022: 53.0%) and average room rate grew by 7.1% to ?138.4 (2022: ?129.3). As a result, RevPAR increased by 25.9% to ?86.2 (2022: ?68.5).
However, EBITDA was ?6.3 million (2022: ?7.5 million), impacted by inflationary increases in the cost of goods and services and higher labour costs. In 2022, EBITDA benefited from non-recurring government grants of ?2.9 million.
proyectos de gestión de activos
In Berlin, Park Plaza Berlin Kudamm was closed in November 2023 for a six-month refurbishment programme, which includes a complete refurbishment of all public areas and guest rooms. The hotel is expected to reopen as Radisson RED Berlin Kudamm in Q2 2024.
El mercado hotelero alemán *
The German market experienced a 18.5% increase in RevPAR to ?74.2, resulting from a 11.5% improvement in occupancy to 64.8% and a 6.2% increase in average room rate to ?114.5.
In Berlin, RevPAR increased by 16.4% to ?85.8 and occupancy increased by 8.3% to 71.3%. Average room rate increased 7.5% to ?120.3.
* Source STR European Hotel Review, December 2023.
Otros mercados
Italy, Hungary, Serbia and Austria
This includes recently acquired properties in Italy, Serbia and Austria and a hotel operated in Budapest, Hungary. The Group's properties in Austria and Budapest were open throughout the year. However, the properties in Belgrade (Serbia) and Rome (Italy) were closed all year due to ongoing investment programmes to reposition these properties.
Rendimiento financiero
| |||
Reported in Pound Sterling (£) | |||
Año terminado 31 Dec 2023 | Año terminado 31 Dec 2022 | % cambio | |
Los ingresos totales | 7.9m | 6.3m | 23.9% |
EBITDA | £ (0.5) millones | £ (0.6) millones | n / a |
anual | £ (0.5) millones | £ (0.6) millones | n / a |
Ocupación | 44.4% | 34.3% | 1,010 bps |
Tarifa media de la habitación | £129.8 | £97.2 | 33.5% |
RevPAR | £57.7 | £33.4 | 72.7% |
Ingresos por habitación | 6.1m | 4.6m | 32.3% |
Nassfeld, Austria
The Arena FRANZ Ferdinand hotel in Nassfeld performed well in its first year as a year-round operation (144 rooms). This followed recent investments to refurbish the hotel and upgrade the amenities, such as air-conditioning throughout the property and the addition of wellness areas, including an indoor and outdoor swimming pool. Following completion of the investment, we started to reposition the hotel to capture both the summer and winter seasons. The hotel was open for almost nine months of the year, with average rates increasing substantially year-on-year.
Roma, Italia
The multi million investment in the repositioning of the former Londra & Cargill Hotel is nearing completion. The property, which is in a prime location in the city of Rome, was closed in July 2022 for major refurbishment works, including reconfiguration of the hotel layout and its interior design. The hotel is on track to reopen during H1 2024 as the upper upscale 99-room lifestyle art'otel Rome Piazza Sallustio.
Belgrado, Serbia
The former Arena 88 Rooms Hotel in Belgrade city centre was closed in March 2023 to undergo a £2.6 million refurbishment programme. This was completed early 2024 with the hotel reopening in February 2024 as Radisson RED Belgrade, the Group's first Radisson RED branded property and the second hotel to be operated and marketed by the Group under its extended partnership with Radisson. The hotel has 88 rooms and includes a gym, an all-day restaurant, flexible event spaces, including game areas and a co-working area, and a rooftop bar with views of the historic city centre.
Budapest, Hungría
In March 2023, the property in Budapest was rebranded Park Plaza Budapest (formerly art'otel Budapest). This followed an investment programme in 2022 to redesign and upgrade the public areas. The hotel continued to see an improvement in performance during the year.
GESTIÓN Y SERVICIOS CENTRALES
nuestro rendimiento
Revenues in this segment are primarily related to management, sales, marketing and franchise fees, and other charges for central services. This includes properties operated by the Group's hospitality management platform, such as art'otel London Battersea Power Station.
These are predominantly charged within the Group and therefore eliminated upon consolidation.
For the year ended 31 December 2023, the segment showed a significant improvement due to the recovery.
Management, Group central services and licence, sales and marketing fees are calculated as a percentage of revenues and profit, and therefore are affected by underlying hotel performance.
Reported in Pound Sterling (£) Year ended 31 Dec 2023 | |||||
Empresa cotizada | Proyectos de desarrollo | Plataforma de gestión | Grupo de hospitalidad Arena | Total | |
Management revenue | - | - | 34.2m | - | 34.2m |
Central Services revenue | - | - | - | £ 14.1 m | 14.1m |
Ingresos dentro del Grupo consolidado | - | - | £ (27.7) millones | £ (12.9) millones | £ (40.6) millones |
Ingresos externos y reportados | - | - | 6.5m | 1.2m | 7.7m |
anual | £ (2.2) millones | £ (1.0) millones | 12.1m | £ (1.9) millones | 7.0m |
Reported in Pound Sterling (£) Year ended 31 Dec 2022 | |||||
Empresa cotizada | Proyectos de desarrollo | Plataforma de gestión | Grupo de hospitalidad Arena | Total | |
Management revenue | - | - | 24.9m | - | 24.9m |
Central Services revenue | - | - | - | 12.6m | 12.6m |
Ingresos dentro del Grupo consolidado | - | - | £ (20.7) millones | £ (11.7) millones | £ (32.4) millones |
Ingresos externos y reportados | - | - | 4.2m | 0.9m | 5.1m |
anual | £ (3.9) millones | £ (0.4) millones | 5.5m | £ (1.2) millones | £ 0.0 m |
Estado de Situación Financiera Consolidado
para el año terminado el 31 de diciembre de 2023
| |||
2023 000 £ | 2022 000 £ | ||
Activos | |||
Activos no corrientes: | |||
Activos intangibles | 10,665 | 12,805 | |
Propiedad, planta y equipo. | 1,412,830 | 1,335,184 | |
Activos por derecho de uso | 229,215 | 225,443 | |
Inversión en empresas conjuntas | 5,438 | 4,961 | |
Otros activos no corrientes | 39,646 | 47,245 | |
Depósitos y efectivo restringidos | 10,385 | 9,272 | |
Activo por impuesto sobre la renta diferido | 13,833 | 12,909 | |
1,722,012 | 1,647,819 | ||
Activos corrientes: | |||
Depósitos y efectivo restringidos | 6,909 | 9,229 | |
Los inventarios | 3,288 | 3,181 | |
Cuentas por cobrar comerciales | 17,880 | 18,533 | |
Otras cuentas por cobrar y pagos anticipados | 23,260 | 17,866 | |
Efectivo y equivalentes de efectivo | 150,416 | 163,589 | |
201,753 | 212,398 | ||
los activos totales | 1,923,765 | 1,860,217 | |
Patrimonio y pasivos | |||
Equidad: | |||
Capital emitido | - | - | |
Compartir premium | 133,469 | 133,177 | |
Acciones del Tesoro | (6,873) | (5,472) | |
Reserva de conversión de moneda extranjera | 13,903 | 20,039 | |
Reserva de cobertura | 7,801 | 10,950 | |
Ganancias acumuladas | 166,281 | 156,364 | |
Atribuible a los accionistas de la controladora | 314,581 | 315,058 | |
Participaciones no controladoras | 216,592 | 188,187 | |
Equidad total | 531,173 | 503,245 | |
Pasivos no corrientes: | |||
Préstamos | 845,199 | 817,631 | |
Disposición para canon de concesión en tierra | 5,233 | 5,331 | |
Pasivo financiero con respecto a las Participaciones de Renta vendidas a inversores privados | 114,287 | 121,084 | |
Otros pasivos financieros | 280,200 | 265,494 | |
Impuesto sobre la renta diferido | 5,878 | 5,922 | |
1,250,797 | 1,215,462 | ||
Pasivos corrientes: | |||
Comercio a pagar | 14,809 | 13,565 | |
Otras cuentas por pagar y devengos | 79,149 | 80,844 | |
Préstamos | 47,837 | 47,101 | |
141,795 | 141,510 | ||
Pasivos totales | 1,392,592 | 1,356,972 | |
Total patrimonio y pasivos | 1,923,765 | 1,860,217 |
The accompanying notes are an integral part of the consolidated financial statements. Date of approval of the financial statements 28 February 2024. Signed on behalf of the Board by Boris Ivesha and Daniel Kos.
boris ivesha Presidente y Director Ejecutivo | daniel kos Director financiero y director ejecutivo |
CUENTA DE RESULTADOS CONSOLIDADA
Por el año terminado el 31 de diciembre de 2023
Al 31 de diciembre |
| ||
2023 000 £ |
2022 000 £ | ||
Ingresos | 414,598 | 330,091 | |
Los gastos de explotación | (284,090) | (233,087) | |
EBITDA | 130,508 | 97,004 | |
Gastos de alquiler | (2,332) | (2,421) | |
anual | 128,176 | 94,583 | |
depreciación y amortización | (45,068) | (40,006) | |
EBIT | 83,108 | 54,577 | |
Gastos financieros | (36,145) | (37,257) | |
Ingresos financieros | 4,758 | 1,516 | |
Otros gastos | (13,046) | (6,791) | |
Otros ingresos | 4,416 | 9,992 | |
Gastos netos por pasivo financiero con respecto a las Participaciones de ingresos vendidas a inversores privados | (14,156) | (10,783) | |
Participación en los resultados de los negocios conjuntos | (113) | 202 | |
Beneficio antes de impuestos | 28,822 | 11,456 | |
Beneficio (gasto) de impuesto sobre la renta | (1,677) | 3,356 | |
Ganancias del año | 27,145 | 14,812 | |
Beneficio atribuible a: | |||
Accionistas de la matriz | 22,415 | 10,159 | |
Participaciones no controladoras | 4,730 | 4,653 | |
27,145 | 14,812 | ||
Basic and diluted profit per share (in Pound Sterling) | 0.53 | 0.24 |
Las notas adjuntas son parte integral de los estados financieros consolidados.
Declaración consolidada de ingreso comprensivo
para el año terminado el 31 de diciembre de 2023
Al 31 de diciembre
| |||
2023 000 £ |
2022 000 £ | ||
Ganancias del año | 27,145 | 14,812 | |
Other comprehensive income (loss) to be recycled through profit and loss in subsequent periods:1 | |||
Beneficio (pérdida) de coberturas de flujo de efectivo | (5,007) | 21,133 | |
Ajustes de conversión de moneda extranjera de operaciones en el extranjero | (8,463) | 22,000 | |
Otra utilidad (pérdida) integral | (13,470) | 43,133 | |
Total de ingresos integrales | 13,675 | 57,945 | |
Total utilidad (pérdida) integral atribuible a: |
| ||
Accionistas de la matriz | 13,812 | 37,732 | |
Participaciones no controladoras | (137) | 20,213 | |
13,675 | 57,945 |
1 There is no other comprehensive income that will not be reclassified to the profit and loss in subsequent periods.
Las notas adjuntas son parte integral de los estados financieros consolidados.
Estado de cambios en el patrimonio neto consolidado
para el año terminado el 31 de diciembre de 2023
en £'000 | Capital emitido1 | Compartir premium | Acciones del Tesoro | Reserva de conversión de moneda extranjera | Reserva de cobertura | Acumulado ganancias | Atribuible a los accionistas de la controladora | Participaciones no controladoras | Equidad total |
Saldo al 1 de enero de 2023 | - | 133,177 | (5,472) | 20,039 | 10,950 | 156,364 | 315,058 | 188,187 | 503,245 |
Ganancias del año | - | - | - | - | - | 22,415 | 22,415 | 4,730 | 27,145 |
Otra utilidad (pérdida) integral del año | - | - | - | (6,027) | (2,576) | - | (8,603) | (4,867) | (13,470) |
Total utilidad (pérdida) integral | - | - | - | (6,027) | (2,576) | 22,415 | 13,812 | (137) | 13,675 |
Pagos basados en acciones | - | 442 | - | - | - | 93 | 535 | 87 | 622 |
Recompra de acciones | - | - | (1,621) | - | - | - | (1,621) | - | (1,621) |
Distribución de dividendos2 | - | - | - | - | - | (11,897) | (11,897) | - | (11,897) |
Distribución de dividendos por una filial | - | - | - | - | - | - | - | (1,436) | (1,436) |
Ejercicio de opciones | - | (150) | 220 | - | - | - | 70 | - | 70 |
Transacciones con participaciones no controladoras | - | - | - | (109) | (573) | (694) | (1,376) | 29,891 | 28,515 |
Saldo al 31 de diciembre de 2023 | - | 133,469 | (6,873) | 13,903 | 7,801 | 166,281 | 314,581 | 216,592 | 531,173 |
Saldo al 1 de enero de 2022 | - | 131,229 | (3,482) | 3,806 | (434) | 147,350 | 278,469 | 168,742 | 447,211 |
Ganancias del año | - | - | - | - | - | 10,159 | 10,159 | 4,653 | 14,812 |
Otro resultado integral del año | - | - | - | 16,191 | 11,382 | - | 27,573 | 15,560 | 43,133 |
Total de ingresos integrales | - | - | 16,191 | 11,382 | 10,159 | 37,732 | 20,213 | 57,945 | |
Pagos basados en acciones | - | 2,056 | - | - | - | - | 2,056 | 81 | 2,137 |
Recompra de acciones | - | - | (2,098) | - | - | - | (2,098) | - | (2,098) |
Distribución de dividendos2 | - | - | - | - | - | (1,278) | (1,278) | - | (1,278) |
Ejercicio de opciones | (108) | 108 | - | - | - | - | - | - | |
Transacciones con participaciones no controladoras | - | - | - | 42 | 2 | 133 | 177 | (849) | (672) |
Saldo al 31 de diciembre de 2022 | - | 133,177 | (5,472) | 20,039 | 10,950 | 156,364 | 315,058 | 188,187 | 503,245 |
1 Sin valor nominal.
2 The dividend distribution comprises a final dividend for the year ended 31 December 2022 of 12.0 pence per share (31 December 2021: nil pence per share) and an interim dividend of 16.0 pence per share paid in 2023 (2022: 3.0 pence per share).
Las notas adjuntas son parte integral de los estados financieros consolidados.
Estado consolidado de flujos de efectivo
para el año terminado el 31 de diciembre de 2023
Al 31 de diciembre | |||
2023 000 £ | 2022 000 £ | ||
Flujos de efectivo por actividades operacionales: | |||
Ganancias del año | 27,145 | 14,812 | |
Adjustment to reconcile profit to cash provided by operating activities: | |||
Gastos financieros y gastos por pasivo financiero con respecto a las Unidades de Ingreso vendidas a inversores privados | 50,301 | 48,040 | |
Ingresos financieros | (4,758) | (1,516) | |
Gasto por impuesto a las ganancias (beneficio) | 1,677 | (3,356) | |
Pérdida por recompra de Unidades de Ingreso vendidas a inversores privados | 3,266 | 1,499 | |
Re-measurement of lease liability | 3,852 | 3,704 | |
Revalorización de unidades de Park Plaza County Hall London | (1,600) | (300) | |
Capital loss on sale of fixed assets, net | 29 | 47 | |
Participación en los resultados de los negocios conjuntos | 113 | (202) | |
Revalorización de los derechos de apreciación de acciones | (2,816) | 119 | |
Derivados de movimiento del valor razonable a través de resultados | 4,553 | (9,692) | |
depreciación y amortización | 45,068 | 40,006 | |
Pagos basados en acciones | 622 | 2,137 | |
100,307 | 80,486 | ||
Cambios en los activos y pasivos operativos: | |||
Incremento de inventarios | (152) | (1,228) | |
Aumento de cuentas por cobrar comerciales y otras | (1,803) | (16,118) | |
Aumento de cuentas por pagar comerciales y otras | 1,795 | 20,772 | |
(160) | 3,426 | ||
Efectivo pagado y recibido durante el período por: | |||
Pago interesado | (50,104) | (43,520) | |
Interés recibido | 3,721 | 1,728 | |
Impuestos pagados | (2,558) | (311) | |
Impuestos recibidos | - | 87 | |
(48,941) | (42,016) | ||
Efectivo neto provisto por las actividades operativas | 78,351 | 56,708 | |
Flujos de efectivo de las actividades de inversión: | |||
Inversiones en propiedades, planta y equipo | (115,090) | (90,870) | |
Inversiones en activos intangibles | (779) | (386) | |
Préstamo a empresa conjunta | (888) | (403) | |
Decrease (increase) in restricted cash | 960 | (4,695) | |
Efectivo neto utilizado en actividades de inversión | (115,797) | (96,354) | |
Flujos de efectivo de actividades de financiación: | |||
Producto de préstamos y empréstitos | 65,265 | 106,879 | |
Recompra de Unidades de Renta vendidas previamente a inversores privados | (5,609) | (4,887) | |
Límite de la tasa de interés | (4,080) | - | |
Pago de dividendos | (11,897) | (1,278) | |
Dividend payment by a subsidiary to non-controlling shareholders | (1,436) | - | |
Reembolso de préstamos y empréstitos | (31,717) | (31,087) | |
Reembolso de arrendamientos | (4,095) | (4,890) | |
Ingresos netos de transacciones con participación no controladora | 21,471 | (672) | |
Compra de acciones propias | (1,621) | (2,098) | |
Ejercicio de opciones liquidadas en efectivo | 70 | - | |
Efectivo neto provisto por actividades de financiamiento | 26,351 | 61,967 | |
Aumento (disminución) de efectivo y equivalentes de efectivo | (11,095) | 22,321 | |
Diferencias netas de cambio | (2,078) | 4,466 | |
Efectivo y equivalentes de efectivo al inicio del año | 163,589 | 136,802 | |
Efectivo y equivalentes de efectivo al final del año | 150,416 | 163,589 | |
Partidas no monetarias: | |||
Lease additions and lease re-measurement | 11,166 | 14,499 | |
Cuentas por pagar por inversiones en propiedad, planta y equipo | 13,934 | 5,786 | |
Cuentas por cobrar con respecto a transacciones con intereses no controladores | 7,044 | - |
Las notas adjuntas son parte integral de los estados financieros consolidados.
NOTAS A LOS ESTADOS FINANCIEROS CONSOLIDADOS
Por el año terminado el 31 de diciembre de 2023
Nota 1: General
a. The consolidated financial statements of PPHE Hotel Group Limited (the 'Company') and its subsidiaries (together the 'Group') for the year ended 31 December 2023 were authorised for issuance in accordance with a resolution of the Directors on 28 February 2024.
La Compañía se incorporó en Guernsey el 14 de junio de 2007 y cotiza en el segmento de Cotización Premium de la Lista Oficial de la Autoridad de Cotización del Reino Unido (UKLA) y las acciones se negocian en el Mercado Principal para valores cotizados en la Bolsa de Valores de Londres.
b. Description of the Group business:
El Grupo es un grupo inmobiliario hotelero internacional, que posee, es copropietario y desarrolla hoteles, resorts y campings, opera el Park Plaza® marca en EMEA y posee y opera el art'otel® marca.
The Group has interests in hotels in the United Kingdom, the Netherlands, Germany, Hungary, Serbia, Italy and Austria and hotels, self-catering apartment complexes and campsites in Croatia.
c. Assessment of going concern and liquidity:
As part of their ongoing responsibilities, the Directors have recently undertaken a thorough review of the Group's cash flow forecast and potential liquidity risks. Detailed budgets and cash flow projections, which take into account the current trading environment and the industry-wide cost pressures, have been prepared for 2024 and 2025, and show that the Group's hotel operations are expected to be cash generative during this period. Furthermore, under those cash flow projections it is expected that the Group will comply with its loan covenants. Having reviewed those cash flow projections, the Directors have determined that the Company is likely to continue in business for at least 12 months from the date of approval of the consolidated financial statements.
Nota 2: Utilidad por acción
Lo siguiente refleja los datos de ingresos y acciones utilizados en los cálculos de ganancias por acción básicas:
Al 31 de diciembre | ||
2023 000 £ | 2022 000 £ | |
Beneficio atribuible a los accionistas de la controladora | 22,415 | 10,159 |
Número promedio ponderado de acciones ordinarias en circulación (en miles) | 42,365 | 42,523 |
Potentially dilutive instruments 173,054 in 2023 had an immaterial effect on the basic earnings per share (2022: 399,294).
Nota 3: Segmentos
For management purposes, the Group's activities are divided into Owned Hotel Operations and Management and Central Services Activities (for further details see Note 12(c)(i) of the 2023 Annual Report). Owned Hotel Operations are further divided into five reportable segments: the Netherlands, Germany, Croatia and the United Kingdom. Other includes individual hotels in Hungary, Serbia, Italy and Austria. The operating results of each of the aforementioned segments are monitored separately for the purpose of resource allocations and performance assessment. Segment performance is evaluated based on EBITDA, which is measured on the same basis as for financial reporting purposes in the consolidated income statement.
Año terminado el 31 de diciembre de 2023 |
| |||||||||
Países Bajos £'000 | Alemania £'000 | Reino Unido £'000 | Croatia £'000 | Otro1 000 £ | Gerencia y Servicios Centrales £'000 | Ajustes2 000 £ | Consolidado £'000 | |||
Ingresos | ||||||||||
Tercero | 63,302 | 22,759 | 234,912 | 78,123 | 7,859 | 7,643 | - | 414,598 | ||
Intersegmento | - | - | 400 | 257 | - | 40,626 | (41,283) | - | ||
Los ingresos totales | 63,302 | 22,759 | 235,312 | 78,380 | 7,859 | 48,269 | (41,283) | 414,598 | ||
EBITDA del segmento | 19,580 | 5,466 | 76,276 | 20,409 | (528) | 6,973 | - | 128,176 | ||
Depreciación, amortización | (45,068) | |||||||||
Gastos financieros | (36,145) | |||||||||
Ingresos financieros | 4,758 | |||||||||
Gastos netos por responsabilidad con respecto a las Unidades de Ingreso vendidas a inversores privados | (14,156) | |||||||||
Otros ingresos (gastos), neto | (8,630) | |||||||||
Participación en resultado de negocios conjuntos | (113) | |||||||||
Beneficio antes de impuestos | 28,822 | |||||||||
1 Includes art'otel Budapest in Hungary, 88 Rooms Hotel in Belgrade, Serbia, Londra & Cargill Hotel in Rome, Italy, and FRANZ Ferdinand Mountain Resort in Nassfeld, Austria.
2 Consist of inter-company eliminations.
Países Bajos £'000 | Alemania £'000 | Reino Unido £'000 | Croatia £'000 | Otro1 000 £ | Ajustes2 000 £ | Consolidado 000 £ | |
La información geográfica | |||||||
Activos no corrientes1 | 190,420 | 72,311 | 1,007,301 | 249,910 | 86,306 | 46,462 | 1,652,710 |
1 Non-current assets for this purpose consist of property, plant and equipment, right-of-use assets and intangible assets.
2 This includes the non-current assets of Management and Central Services.
Año terminado el 31 de diciembre de 2022 | ||||||||
Países Bajos £'000 | Alemania £'000 | Reino Unido £'000 | Croatia £'000 | Otro1 000 £ | Gerencia y Servicios Centrales £'000 | Ajustes2 000 £ | Consolidado £'000 | |
Ingresos | ||||||||
Tercero | 41,573 | 17,724 | 190,105 | 69,237 | 6,344 | 5,108 | - | 330,091 |
Intersegmento | - | 16 | 302 | 168 | - | 32,365 | (32,851) | - |
Los ingresos totales | 41,573 | 17,740 | 190,407 | 69,405 | 6,344 | 37,473 | (32,851) | 330,091 |
EBITDA del segmento | 11,163 | 6,368 | 56,218 | 21,426 | (629) | 37 | 94,583 | |
Depreciación, amortización y deterioro | (40,006) | |||||||
Gastos financieros | (37,257) | |||||||
Ingresos financieros | 1,516 | |||||||
Gastos netos por responsabilidad con respecto a las Unidades de Ingreso vendidas a inversores privados | (10,783) | |||||||
Otros ingresos (gastos), neto | 3,201 | |||||||
Participación en resultado de negocios conjuntos | 202 | |||||||
Beneficio antes de impuestos | 11,456 |
1 Includes art'otel Budapest in Hungary, 88 Rooms Hotel in Belgrade, Serbia, Londra & Cargill Hotel in Rome, Italy, and FRANZ ferdinand Mountain Resort in Nassfeld, Austria.
2 Consist of inter-company eliminations.
Países Bajos £'000 | Alemania £'000 | Reino Unido £'000 | Croatia £'000 | Otro | Ajustes2 000 £ | Consolidado £'000 | |
La información geográfica | |||||||
Non-current assets1 | 194,833 | 72,537 | 949,931 | 241,312 | 59,307 | 55,512 | 1,573,432 |
1 Non-current assets for this purpose consist of property, plant and equipment, right-of-use assets and intangible assets.
2 This includes the non-current assets of Management and Central Services.
Nota 4: Partes relacionadas
a. Balances with related parties
Al 31 de diciembre | ||
2023 000 £ | 2022 000 £ | |
Préstamos a empresas conjuntas | 6,515 | 5,573 |
Cuentas por cobrar a corto plazo | 65 | 100 |
Pagadero a GC Project Management Limited | (75) | (185) |
Pagadero a Gear Construction UK Limited | (12,445) | (6,218) |
b. Transactions with related parties
Al 31 de diciembre | ||
2023 000 £ | 2022 000 £ | |
Costo de las transacciones con GC Project Management Limited | (670) | (300) |
Coste de las transacciones con Gear Construction UK Limited | (55,069) | (47,872) |
Ingresos por alquiler de subarriendo de espacio de oficina | 56 | 67 |
Management fee revenue from jointly controlled entities | 872 | 822 |
Ingresos por intereses de entidades controladas de forma conjunta | 354 | 118 |
c. Significant other transactions with related parties
(I) Construction of the art'otel London Hoxton - Following the approval by the independent shareholders, on 7 April 2020 the Group entered into a building contract with Gear Construction UK Limited ('Gear') for the design and construction of the art'otel London Hoxton hotel on a 'turn-key' basis (the 'building contract'). Under the building contract Gear assumes the responsibility for the design and construction of the main works for the design and build of art'otel London Hoxton for a lump sum of £160 million (exclusive of VAT) (the 'Contract Sum'). Of this amount, circa.£24.6 million is based on provisional sums, primarily in respect of FF&E and fit out of the hotel which are detailed and set out as provisional sums in the building contract. This might cause the total amount payable to Gear UK under the building agreement to be greater or less than the Contract Sum. On top of the Contract Sum, the Group novated certain existing contracts relating to the project to Gear at cost subject to a cap of £6 million (exclusive of VAT). Gear is required to complete the works to be executed under the building contract by 2024.
Gear makes monthly applications for payments in line with the building contract and following construction industry contractual norms. The applications will be valued by AECOM acting as the Employer's agent and providing cost management services, who is appointed by the Employer but has a duty to act fairly in accordance with the terms of the contract. The Employer's agent will also be responsible for assessing any applications by Gear for extensions of time, variations or additional scope of work or additional loss and/or expense under the building agreement.
Gear's obligations and liabilities under the building contract are supported by a corporate guarantee from Red Sea Hotels Limited, an associate of Euro Plaza Holdings B.V. and therefore a related party of the Company, in the amount of 10% of the Contract Sum (the 'corporate guarantee'). The corporate guarantee expires on the later of: (i) the expiry of the two-year defects rectification period which follows practical completion of the works; and (ii) the issue of the latent defect insurer's approval or final technical audit report.
(Ii) Sub-lease of office space - A member of the Group has agreed to sub-lease a small area of office space to members or affiliates of the Red Sea Group at its County Hall corporate office in London. The rent payable by the Red Sea Group to PPHE Hotel Group is based on the cost at which the landlord is leasing such space to PPHE Hotel Group.
(iii) Pre-Construction and Maintenance Contract - The Group frequently uses GC Project Management Limited (GC) to undertake preliminary assessment services, including appraisal work, and provide initial estimates of the construction costs. Further, GC provides ad-hoc maintenance work when required to the Group's various sites. Accordingly, the Group has entered into an agreement with GC for the provision of pre-construction and maintenance services by GC to the Group for a fixed annual retainer of £60,000.
(iv) Transactions in the ordinary course of business, in connection with the use of hotel facilities (such as overnight room stays and food and beverages) are being charged at market prices. These transactions occur occasionally.
(V) Acuerdo de gestión de proyectos de Londra & Cargill - The Group entered into a series of agreements with GC Project Management Limited for the provision of project management services and site supervision services to the Group in respect of the redevelopment of Hotel Londra & Cargill in Rome, Italy, commencing in 2022 and completing in 2024 for a fee capped at £920,000 to be paid in monthly instalments for the duration of the project.
Resumen de la retribución de los Consejeros Ejecutivos y No Ejecutivos del ejercicio cerrado a 31 de diciembre de 2023:
Salario base y honorarios £'000 | Depósito | Aportes a pensión £'000 | Otros beneficios £'000 | Total | |
Presidente y Directores Ejecutivos | 1,726 | 473 | 67 | 19 | 2,285 |
Directores no ejecutivos | 283 | - | - | - | 283 |
2,009 | 473 | 67 | 19 | 2,568 |
1 Figures Include the annual remuneration of Greg Hegarty, Deputy CEO & COO, who joined the Board following the 2023 Annual General Meeting which was held in May 2023.
Resumen de la retribución de los Consejeros Ejecutivos y No Ejecutivos del ejercicio cerrado a 31 de diciembre de 2022:
Salario base y honorarios £'000 | Depósito | Aportes a pensión £'000 | Otros beneficios £'000 | Total | |
Presidente y Directores Ejecutivos | 1,148 | 531 | 64 | 13 | 1,756 |
Directores no ejecutivos | 284 | - | - | - | 284 |
1,432 | 531 | 64 | 13 | 2,040 |
Participación de los directores en el plan de incentivos de acciones para empleados
A 31 de diciembre de 2023, los Consejeros Ejecutivos tenían opciones sobre acciones para comprar 121,308 2022 acciones ordinarias (70,000: 50,000 14.30). 2022 opciones eran totalmente ejercitables con un precio de ejercicio de £25,000 (27,308: 2022) y 23,000 opciones eran totalmente ejercitables con un precio de ejercicio de £XNUMX (XNUMX: XNUMX). No se concedieron opciones sobre acciones a los Consejeros no ejecutivos del Consejo.
PRINCIPALES RIESGOS E INCERTIDUMBRES
Our Risk Environment
With risk informed leadership we continue to perform and grow against a backdrop of geo-political and macro-economic uncertainty. The actions taken in recent years to reinforce our financial and operational resilience positions have enabled the Group to succeed during challenging times and seize new opportunities as our risk environment changes.
Our Executive Leadership continues to monitor and respond to the impact of major global risk drivers such as ongoing geo-political tension and conflicts which can influence economic conditions, supply chains, customer behaviours and social cohesion.
We also recognise areas of emerging risk and opportunity such as the growing influence of Artificial Intelligence ("AI"). While our Executive Leadership Team embraces new technologies to improve the efficiency of our hotel management platform and the overall guest experience, the associated risks of using AI in business have been reviewed and actions taken to raise awareness of these risks across the Group.
There is greater urgency in the international response to the climate crisis, to drive radical decarbonisation of the global economy. We evaluate both the physical and transitional climate related risks as part of our current risk profile and assess the impact these threats could have on our existing principal risks as they become more probable and with a greater impact. A summary of climate related risk can be seen in our TCFD Summary (page 81 of our Annual Report).
As well as monitoring these climate related threats, we see significant opportunity in improving our environmental and social impact through the delivery of our ESG strategy (see pages 66-79 of our Annual Report).
The hospitality sector has seen several high-profile cyber-attacks in 2023. We partner with expert organisations to ensure we are well placed to prevent and detect malicious activity. We also continue to invest in enhancing our resilience through building our incident response and recovery capability.
In 2024 we enter an exciting period of operational growth with several new openings across the Group. This will intensify the persistent challenge of attracting and retaining team members which we will continue to tackle through proactive employee engagement and wellbeing initiatives as well as programmes to drive a diverse and inclusive culture.
Beyond these openings we are securing new capital to support the pursuit of our ambitious long-term growth plans. We are prepared for managing the risks that are inherent to any plans for accelerated growth.
Principal risks - at a glance
We define our principal risks as those which could have the greatest impact on our business and represent the most significant threats to the achievement of our objectives in the year ahead. To be considered a principal risk the potential downside or residual impact must be assessed as 'Major' or above, equating to a negative financial impact or falling asset values greater than 5% of annual EBITDA (under normal operating conditions).
Principales riesgos para 2024 | Evaluación de riesgos inherentes | Evaluación de riesgos residuales | Trend from previous year | Responsabilidad de supervisión | |
1 | Clima económico adverso | Alta | Alta | Sin alterar | CFO |
2 | Retrasos significativos en proyectos de desarrollo o aumentos de costos imprevistos | Alta | Alta | Sin alterar | CCLO and Co-CEO |
3 | Difficulty in attracting, engaging and retaining a suitably skilled workforce | Alta | Medio | Disminución | Co-CEO |
4 | Disrupción tecnológica: fallo prolongado de la tecnología central | Alta | Medio | Sin alterar | CFO |
5 | Riesgo de financiación y liquidez | Alta | Medio | Sin alterar | CFO |
6 | Amenaza cibernética: incidentes de seguridad cibernética no detectados/sin restricciones | Muy Alta | Medio | Disminución | CFO |
7 | Data privacy - risk of data breach | Muy Alta | Medio | Sin alterar | CCOL |
8 | Interrupción operativa | Alta | Medio | Sin alterar | Co-CEO |
9 | Percepción negativa de los grupos de interés sobre el Grupo en materia Ambiental, Social y de Gobernanza (ESG) | Alta | Medio | Sin alterar | CCOL |
10 | Market dynamics - significant decline in market demand | Alta | Medio | Disminución | EVP Commercial Affairs |
11 | Serious threat to guest, team member or third party health, safety and security | Alta | Medio | Sin alterar | Co-CEO |
During 2023 the residual risk assessment for the threat of Fraud was reduced as the Group's internal control environment continued to mature. The residual risk no longer meets our definition of a principal risk for disclosure and the risk has been removed from the list above. The inherent assessment is still considered to be high, and the risk and associated controls continue to be monitored closely.
Our Risk-Reward Strategy
Our Risk-Reward Strategy, which articulates our risk appetite across various business activities, is aligned to our strategic objectives. It has been reviewed by the Board and remains unchanged. Risk appetite is cascaded throughout the Group through our policies and procedures.
Risk Appetite Levels | Definición | Actividades de negocio | Key sources of value and strategic enablers |
Active | Lo haremos actively seek to take calculated risks in this area in pursuit of our strategic objectives, as long as the associated benefits significantly outweigh the risk impact and the risk remains within our tolerances. We will apply appropriate safeguards when pursuing these opportunities. | · Acquisitions and development opportunities · Diversificación de cartera de inmuebles | Diverse prime property portfolio |
Neutro | Lo haremos take on a limited increased exposure to risk in pursuit of our strategic objectives if the associated benefits outweigh the risk impact and the risk remains within our tolerances. We will apply appropriate safeguards when pursuing these opportunities. | · Development projects (Construction) · Working with third parties · Oportunidades · Technological change / development · Commercial and promotional activity
| Financial strength and non-dilutive capital approach Red internacional Multi-brand approach |
aguacero | We will act to proteger the business from increased risk exposure in these areas. | · Impacto medioambiental · Responsible and ethical sourcing · Derechos humanos · Continuidad operativa · Privacidad de datos · Cumplimiento · Financial and tax reporting · Control financiero | Meaningful ESG impact for the benefit of all stakeholders Our people and culture In-house hospitality management platform |
Our Risk Governance and Risk Management Process
GOBERNANCIA | |||
Executive Leadership - Risk Forum · Agree the Risk Policy and Framework and formulate a risk-reward strategy (risk appetite) for proposal to the Board. · Challenge the robustness and completeness of the full-year and half-year updates to the Group's risk registers, including key actions. · Report PPHE Principal Risks for Board approval and inclusion in the Annual Report. · Ensure effective monitoring of emerging risk and progress against key risk actions. | Comité de Auditoría · Keep under review the effectiveness of the Group's procedures for the identification, assessment and reporting of risks, assisting the Board in monitoring the Group's risk management systems. · Oversee internal and external assurance requirements. Comité ASG · Keep under review specific ESG and Climate-related risk assessment. | Miembros de la Mesa Directiva · Ultimately responsible for risk management including approval of the Group risk profile; the Group Risk Policy & Framework; the Risk and Reward Strategy; and the statement on risk management in the Annual Report.
| |
NUESTRO PROCESO | |||
ENTERPRISE RISK ASSESSMENT | |||
CURRENT RISKS Existing threats to the achievement of our business objectives Regular risk updates from functional management to identify, assess and respond to current risks. Key steps include: · Assessment of the severity of each risk using the Group risk assessment criteria. Consideration is given to the effectiveness of the current controls / mitigating activity. · Establishing clear actions with nominated accountability where further mitigation is required to contain or reduce risks to a more acceptable level. · Regular risk reporting to Executive Leadership to support informed decision-making and prioritisation of resources. · Reporting the Enterprise risk profile to the Audit Committee quarterly.
| RIESGOS EMERGENTES Future threats that cannot be accurately assessed at the current time but could have a material impact on the business in the future through either heightening existing risks or becoming new stand-alone risks. Horizon scanning for emerging risk is considered at each functional risk workshop and each Executive Level Risk Forum with a view to improving our response plans and exploit potential opportunities. Emerging risk trends are reported alongside the current enterprise risk assessment to the Audit Committee quarterly. When identifying emerging risk, we consider several drivers of change including: · Shifts in market dynamics · Social, geo-political, macro-economic and environmental factors · Tendencias tecnológicas · Legal and regulatory developments | ||
FUNCTIONAL AND SUBSIDIARY RISK ASSESSMENTS Management identifying, assessing and managing the risks and controls across all business functions. | |||
Riesgo emergente
Our executive leadership consider emerging threats and risk drivers that could have a material impact on the business in the future, with a view to improving our response plans and exploit potential opportunities. The near-term threats may already influence our principal risk assessments and the prioritisation of our risk actions.
Riesgos principales
The tables below detail our principal risks for the year ahead. The reported risks are those we consider could have the greatest impact on our business and represent the most significant threats to the achievement of our objectives. This is not an exhaustive list of all risks identified and monitored through our risk management process, which includes the consolidation of underlying functional and subsidiary risk registers into a single view of risk reported to the Board. Our risk level is decided through an assessment of the likelihood of the risk and its impact should it materialise. Our assessments are weighted towards impact to encourage prioritisation of high impact risks.
Bloques estratégicos | Sources of value | |
1 Core, upper upscale, city centre hotels | 4 Diverse prime property portfolio | 7 International network |
2 Leisure and outdoor hospitality | 5 Multi-brand approach | 8 Our people and culture |
3 Hospitality management platform | 6 In-house hospitality management platform | 9 Financial strength and non-dilutive capital approach |
MARKET AND MACROECONOMIC ENVIRONMENT | Risk Appetite: Neutral | |
Descripción del riesgo principal | Riesgo residual | Outlook and Risk Response for 2024 |
Clima económico adverso Economic stress fuelled by the volatile geo-political environment could mean a continuation of steep inflation and unstable interest rates impacting growth and profit margins. Related strategic blocks: 1, 2, 3 Related sources of value: 7, 8, 9 | Alta
| Acting to protect our margins in the face of steep inflation remained a key focus throughout 2023. While inflation and interest rates are expected to stabilise, we still consider an adverse economic climate to be a significant risk to monitor and manage in the year ahead as several of the emerging threats we have identified could influence the scale and impact of this risk area. In addition to our long established controls, 2024 will see: · Close monitoring of economic and market forces. · Budgetary control and frequent forecasting across all regions and property type. · A drive to develop process automation for labour intensive processes, freeing resource to focus on delivering greater value to the business. · Projects to drive efficiency of operational teams. · Continued focus on control of food and beverage costs. · Energy consumption reduction initiatives. |
Market dynamics - significant decline in market demand Uncertainty in future market demand could arise due to volatile macro-economic or geo-political conditions, or significant incidents which impact global travel. Related strategic blocks: 1, 2, 3 Related sources of value: 4, 5 | Medio
| Our overall residual assessment of this risk has reduced as confidence grows due to positive booking momentum, increased occupancies and average daily rates being maintained. Demand for Meetings and Events also looks stronger over the medium and longer term. There will remain some uncertainty as market strength is linked to changes in the economic climate and geo-political environment. We are proactive in driving demand to our properties and responding to market movements. Our key mitigating actions include: · Fully leveraging the revenue management technologies introduced during 2023. · Focussed promotional initiatives to drive demand in advance and tactical campaigns for 'need' periods. · Leveraging our partnerships and promotional opportunities with third party distribution partners and booking channels. · Continuing our close collaboration with Radisson Hotel Group and leveraging their reach for promotional campaigns. · Leveraging the Radisson Rewards programme which consists of 11+ million members. · Increasing our focus on digital marketing and online advertising. · Delivering our planned activities across key source markets and market segments, including tradeshows, hosted events and sales missions. |
FINANCIACIÓN E INVERSIÓN | Risk Appetite: Neutral | |
Descripción del riesgo principal | Riesgo residual | Outlook and Risk Response for 2024 |
Riesgo de financiación y liquidez The impact of failing to proactively manage funding and liquidity risk could include a breach of debt covenants, cash restrictions, loss of stakeholder confidence and less favourable terms when refinancing in the future. Related strategic blocks: 1, 2 Related sources of value: 7, 9 | Medio
| Against the backdrop of interest rate movements and general economic pressures, our funding and liquidity risk continues to be managed to an acceptable level due to the Group's strong trading performance, steady property valuations and fixed rates on most of our loans. We will continue to contain this risk with our established treasury monitoring and reporting controls which include: · Board approved treasury policy. · Monthly forward covenant testing. · Monthly treasury monitoring and reporting to the Board. · Enlace proactivo y regular con nuestros prestamistas. As highlighted in our emerging risk summary, the value of our property portfolio could be impacted over time by sustainable building regulations, unless there is sufficient investment in upgrading our assets to meet the requirements. Long-term capital expenditure plans have been developed to mitigate this threat. |
PROYECTOS DE DESARROLLO | Risk Appetite: Neutral | |
Descripción del riesgo principal | Riesgo residual | Outlook and Risk Response for 2024 |
Retrasos significativos en proyectos de desarrollo o aumentos de costos imprevistos Various factors, such as supply chain disruption, labour market pressures and steep increases in cost of materials can influence the delivery of major construction projects resulting in additional cost or delays in new openings. Related strategic blocks: 1, 2 Related sources of value: 4, 7 | Alta
| The delivery of major projects remains a high risk area and is subject to focused oversight from senior leadership and our in-house Technical Services team, with key controls including: · Regular project meetings with our contractors to identify and tackle any approaching issues which could impact the overall cost, targeted delivery schedule or the expected quality standards. · Independent monitoring of projects by appointed third party experts. Throughout 2024 we would expect this risk to reduce as major long-term developments are delivered and new openings become operational. |
TECNOLOGÍA Y SEGURIDAD DE LA INFORMACIÓN | Risk Appetite: Averse | |
Descripción del riesgo principal | Riesgo residual | Outlook and Risk Response for 2024 |
Cyber threat - undetected / The Group could be subject to a serious cyber-attack resulting in significant disruption to operations and financial loss from falling revenues, cost of recovery, reputation loss and significant fines in the event of a related data breach. Related strategic blocks: 1, 2, 3 Related sources of value: 6 | Medio
| Although we expect the inherent risk of cyber-attack to remain very high, our residual risk assessment has been reduced this year to reflect the implementation of new and enhanced security controls and the continued investment into protecting the business from this significant threat. Newly established controls in place for the year ahead and further planned progress includes: · Compliance to the official Payment Card Industry Data Security Standard (PCI DSS). · AI powered network monitoring & detecting and autonomously responding to threats. · Continuous vulnerability scanning and remediation. · Enhanced back-up and recovery solution, including ransomware recovery. · Focused team member awareness campaigns and training programmes. · Increased targeted phishing training. · Enhanced filtering of malicious phishing sites. · Increase in external penetration testing. · Targeted risk analysis/profiling and security incident tabletop exercises. |
Data privacy - risk of data breach The Group could experience a serious data privacy breach which could result in investigation, significant fines in accordance with the GDPR and subsequent reputational damage. Related strategic blocks: 1, 2, 3 Related sources of value: 6, 8 | Medio
| We remain focused on mitigating the high inherent regulatory risk associated with the processing of personal data, which is essential to the successful operations of our business. Activity planned for 2024 includes: · Implementation of a new governance, risk and compliance tool for data privacy and information security. · An internal awareness campaign and updated training programmes, as part of onboarding the new tool. · Review and update of documented data protection and privacy procedures. · Update of data inventory. · Monitoring databases containing Personally Identifiable Information, with data owners. · Renewing and updating data privacy risk assessments and other documentation required under GDPR. |
Interrupción tecnológica Una falla prolongada en nuestra infraestructura tecnológica central podría representar una amenaza significativa para la continuación de nuestras operaciones comerciales, particularmente donde las fallas afectan los sistemas de reserva y administración del hotel. Related strategic blocks: 1, 2, 3 Related sources of value: 6 | Medio
| The availability and performance of our core technology is key to the success of our business operations, and we have continued with investment into strengthening our networks, implementing our DR solution, and improving connectivity. In 2024 we will continue to improve our resilience through: · Continued projects to enhance network resilience and security. · Network monitoring and enhanced vulnerability scanning. · Enhanced back-up and recovery solution. · Targeted testing of back-up and recovery plans. |
SEGURIDAD Y CONTINUIDAD | Risk Appetite: Averse | |
Descripción del riesgo principal | Riesgo residual | Outlook and Risk Response for 2024 |
Interrupción operativa Major global events such as pandemic, war or environmental disasters could result in widespread disruption, impacting our guests, our supply chain, and our hotel operations. We could also experience more localised disruption to our operations from incidents at our hotels or in the immediate vicinity, for example floods, extreme weather, social unrest, or terrorism. Related strategic blocks: 1, 2, 3 Related sources of value: 6, 7, 8 | Medio
| Our strength and resilience have been key to the continued success of our business in recent years. In 2024 we will continue to prepare for significant disruptive incidents through: · Regularly training team members in our established crisis plans and procedures. · Review of our approach to Business Continuity Management to ensure we have prepared proportionate responses to the most significant threats which could impact the continuity of our critical services and operations. · Working closely with key suppliers to identify and mitigate any potential issues which could impact the continuity of their service. |
Serious Health, Safety and Security Incidents El Grupo podría experimentar incidentes significativos en materia de salud y seguridad, seguridad alimentaria o seguridad física. Si no se toman medidas razonables para prevenir tales incidentes, o si no se responde adecuadamente, podría afectar nuestra reputación, interrumpir nuestras operaciones y resultar en una pérdida significativa de la confianza de los huéspedes, los miembros del equipo y las partes interesadas. Related strategic blocks: 1, 2, 3 Related sources of value: 6, 8 | Medio
| In the year ahead we will continue to drive our high standards to provide a safe stay for our guests and a safe working environment for our team members. Our established controls include: · Evaluaciones periódicas de riesgos. · Procedimientos de seguridad y protección contra incendios. · Health & Safety audit programmes. · Programa de auditorías de seguridad alimentaria propias y de proveedores. · Programas de formación de los miembros del equipo. · Mental health and wellbeing training. · Centralised incident reporting. · Recopilación proactiva de inteligencia y asesoramiento sobre posibles riesgos de seguridad a través del enlace regular con la policía local y los servicios de seguridad. We will also monitor the ongoing consultation in respect of Martyn's Law but are confident that our existing procedures will meet the new requirements proposed as part of the UK's Terrorism (Protection of Premises) Bill. |
PERSONAS | Risk Appetite: Averse | |
Descripción del riesgo principal | Riesgo residual | Outlook and Risk Response for 2024 |
Difficulty in attracting, engaging and retaining a suitably skilled workforce Difficulties in maintaining an engaged and suitably skilled workforce could impact our service standards, drive up operating costs, disrupt operations and impact the overall delivery of our key strategic objectives. Related strategic blocks: 1, 2, 3 Related sources of value: 6, 8 | Medio
| While the successful management of this risk remains fundamental to our success, our overall residual risk assessment has reduced to Medium. Throughout 2023 we have not experienced any staffing issues that would restrict operations. Some improvement has also been noted in retention rates. 2024 presents new resourcing challenges with the opening of new hotels and we will continue to manage this risk proactively with new initiatives including: · Creation of a new Employee Experience team to develop deeper understanding of employee needs and sentiment and tasked with group initiatives on developing retention, wellbeing, and engagement. · Employer value proposition development to attract candidates and drive retention. · Investment in new HR technology landscape, improving people analytics. · Creation of expanded Learning & Development team with focus on technical skills and management development. · Internal communication strategy and use of related technologies for further employee voice enablement. · Full employment policy review. · Talent management and succession planning to promote intra-company mobility options. · Regular talent reviews and learning need analysis. · Physical health and well-being initiatives and investment. |
AMBIENTAL, SOCIAL Y GOBIERNO | Risk Appetite: Averse | |
Descripción del riesgo principal | Riesgo residual | Outlook and Risk Response for 2024 |
Negative stakeholder perception of the Group with regard to Environmental, Social and Governance matters With ESG being a key concern for our stakeholders, a perception that the Group does not apply best practice corporate governance principles or does not act responsibly to protect the environment and the communities we operate in, could impact our performance by damaging our appeal to customers, investors, and other business partners. It could also affect our ability to retain and attract talent. A failure to comply with the upcoming regulatory changes to governance and ESG reporting could further heighten this area of risk. Related strategic blocks: 1, 2, 3 Related sources of value: 8 | Medio
| We have made considerable progress in formalising and communicating our ESG strategic approach and priorities. Our report on pages 66-79 details our ESG strategic objectives which are focused on the priorities of our stakeholders. Activity in 2024 will include: · Work on a series of tasks aimed at delivering against our ESG targets, which are designed to further the achievement of our published strategic objectives. · The ESG Manager monitoring the adoption of the ESG targets with the assigned owners and providing regular progress reports to the ESG Committee. · New ESG reporting requirements being integrated into the compliance reporting undertaken by the Head of Compliance, seeking third party support where necessary at the request of the ESG Committee. |
DECLARACIÓN DE RESPONSABILIDAD DE LOS DIRECTORES
Cada uno de los directores nombrados en las páginas 98 y 99 del Informe y Cuentas Anuales 2023 al momento de la publicación, confirma a su leal saber y entender que:
(i) The consolidated financial statements, which have been prepared in accordance with International Financial Reporting Standards (IFRS) as adopted by the European Union, give a true and fair view of the assets, liabilities, financial position and profit and loss of the Company and the undertakings included in the consolidation taken as a whole.
(ii) The Strategic Report includes a fair review of the development and performance of the business and the position of the Company and the undertakings included in the consolidation taken as a whole, together with a description of the principal risks and uncertainties that they face, and provides information necessary for shareholders to assess the Company's performance business model and strategies.
(iii) The Directors consider that the Annual Report and Accounts, taken as a whole, are fair, balanced and understandable and provide the information necessary for shareholders to assess the Company's position and performance, business model and strategy.
Firmado en nombre de la Junta por
boris ivesha
Presidente y Director Ejecutivo
daniel kos
Director financiero y director ejecutivo
28 de febrero de 2024
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