Hotelier PPHE reported a jump in revenue and profits for the six months to 30 June, with its London hotels leading the way.
The company reported a 27 per cent revenue increase to £141.8m, while underlying earnings increased 22.9 per cent to £39.9m. Pre-tax pofits increased 10.3 per cent to £3.1m.
Revenue per available room (RevPAR), the hotel industry's measure of profitability, increased 14.6 per cent to £83.60.
This was partially due to a bump in occupancy, which was 72.2 per cent during the first half, compared to 70.5 per cent this time last year.
Why it's interesting
PPHE has eight London hotels, all Park Plazas, and is currently developing two sites in Hoxton and Battersea for its lifestyle-oriented art'otel brand. The company continues to invest in the UK tourism scene, having recently completed and launched Park Plaza London Waterloo and Park Plaza London Park Royal.
RevPAR for the company's Greater London hotel market increased by 9.7 per cent to £114.5 as a result of a 3.2 per cent increase in occupancy to 79.8 per cent, and an average room rate increase of 6.2 per cent to £143.6.
It is yet further evidence of London's booming tourism industry, with record-breaking numbers of tourists still flocking to the UK. Despite other cost pressures such as the new national living wage and lower consumer confidence looming over the travel and leisure industry, London hotels appear to be holding up.
What PPHE said
Boris Ivesha, president & chief cxecutive said: "We are pleased to report a strong first half year performance, with all our operating regions reporting strong growth.
"In addition, we benefited from our new openings in Nuremberg and London, all of which are now fully operational. During the period we continued to invest in the renovations of Park Plaza London Riverbank and Park Plaza Victoria Amsterdam and we are excited about their future prospects.
"Based on our results to date and current trading, the Board anticipates the full year results to be in line with its expectations."