Singapore, 19 February 2008 - IHG (InterContinental Hotels Group), one of the world's largest hotel groups by number of rooms, has reported a record year in 2007, with strong global performance and excellent growth for all brands across all regions. Globally, the RevPAR (revenue per available room) growth was 7% and the total gross revenue from all IHG hotels was US$18 billion, up 14%. The Asia Pacific region performed exceptionally, yielding 27% year-on-year growth in continuing revenues from US$204 million to US$260 million, and RevPAR increase at 8.9%.
IHG Asia Pacific grew new signings at a record pace in 2007, adding nearly 100 new hotels to its regional pipeline, an average of one new hotel signed every four days. Seven in 10 signings were for hotels in Greater China, the region's fastest growing market. In total, IHG now has 218 hotels in operation and 157 hotels in the development pipeline across Asia Pacific. Globally, IHG signed 873 new hotels in 2007, accounting for 125,533 rooms. The Group's global pipeline now stands at 1,674 hotels (225,872 rooms).
China is the fastest growing region for IHG in Asia Pacific. Of all hotel deals signed by international hotel companies in China, 47% are with IHG. "This success in an increasingly competitive market like China is particularly impressive, and shows the power of IHG's brands, local-language call centres, websites and Priority Club Rewards loyalty programme. We have a total pipeline of 107 hotels in Greater China, and we are on track to open our 125th hotel there by the end of this year," said Peter Gowers, chief executive, IHG Asia Pacific.
IHG also announced today the signing of five new hotels in key cities across Greater China in 2007. These include Crowne Plaza Century City Chengdu, expected to be the largest Crowne Plaza hotel in the world with 1,500 rooms; the entry of InterContinental Hotels & Resorts into Guangzhou and Suzhou, the introduction of Crowne Plaza Hotels & Resorts in Hong Kong, and the launch of Holiday Inn in Nanjing. These deals are all with different owners and are part of the 70 hotels (25,590 rooms) signed in Greater China last year.
With the Olympics approaching, IHG is set to be the non-domestic hotel company with the largest inventory of rooms in Beijing. The company expects to have 15 hotels operational before the Games open in August. InterContinental Beijing Beichen, the nearest luxury hotel from the National Stadium, and InterContinental Qingdao, the only hotel within the Qingdao Olympic Sailing Centre, have been designated as official Olympic hotels.
Japan is another core market for IHG and the company maintains its leadership position as the largest non-domestic operator there, with 41 hotels (more than 12,000 rooms) across the country. Eight hotels were successfully co-branded as ANA InterContinental and ANA Crowne Plaza in 2007 following the launch of IHG ANA Hotels Group Japan. Additionally, two ANA InterContinental resorts in Okinawa will be co-branded by 2009.
Gowers added: "IHG continues to expand our brands across the region and further strengthen our leadership position in key markets such as China and Japan. We plan to make our brands the first choice for guests which in turn will generate solid returns for our owners. At IHG, we strategically put the right hotel brands in the right locations and as a result our guests and hotel owners have shown increasing preference for our brands. We are thrilled with our 2007 regional full-year results, and we are well-positioned to deliver continued growth across the region."
IHG Asia Pacific (Singapore)
+65 9829 0310
IHG Greater China
+86 1360 172 9464
Notes to Editors:
InterContinental Hotels Group PLC (IHG) of the United Kingdom [LON:IHG, NYSE:IHG (ADRs)] is one of the world’s largest hotel groups by number of rooms. IHG owns, manages, leases or franchises, through various subsidiaries, almost 4,000 hotels and more than 585,000 guest rooms in nearly 100 countries and territories around the world. IHG owns a portfolio of well recognised and respected hotel brands including InterContinental® Hotels & Resorts, Crowne Plaza® Hotels & Resorts, Holiday Inn® Hotels and Resorts, Holiday Inn Express®, Staybridge Suites®, Candlewood Suites® and Hotel Indigo®, and also manages the world’s largest hotel loyalty programme, Priority Club® Rewards with over 37 million members worldwide.
The company pioneered the travel industry’s first collaborative response to environmental issues as founder of the International Hotels and Environment Initiative (IHEI). The IHEI formed the foundations of the Tourism Partnership launched by the International Business Leaders Forum in 2004, of which IHG is still a member today. The environment and local communities remain at the heart of IHG’s global corporate responsibility focus.
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