Our business and achievements for the year
I have seen the strong momentum across the business, and have been struck by the energy that our people bring to work each day. ”
One of our key highlights of the year was welcoming Kimpton Hotels & Restaurants into the IHG family and seeing the business enjoy the best year in its history. ”
Chief Executive Officer
We operate in nearly 100 countries globally.
Group revenue 2015
Total operating profit before exceptional items and tax in 2015
Number of rooms
Underpinned by the IHG® parent brand and strengthened by IHG® Rewards Club, our powerful loyalty brand, our portfolio of 12 distinct hotel brands has been designed to inspire guests all over the world.
Technology continues to have a multifaceted and substantial impact on our industry. Mobile, for example, is expected to deliver more than half of all online travel bookings in the US in 2016.
Connected devices per person in 2015
1.7 and in 2020 (predicted) 4.3
(Source: Strategy Analytics)
Continually evolving consumer needs
The demographic profile of our guests continues to evolve. For example, diversification of family travel needs as a result of an ageing population and changes to the traditional family unit.
Trips per year by millenials by 2020 (predicted)
a 47% increase from 2013
A more dynamic competitive environment
Hotels compete with each other and with travel intermediaries and companies offering alternative lodging solutions. Our proactive approach to building preferred brands, targeted at guest occasion segments, is enabling us to enhance our competitive position.
Number of respondents planning to make at least one multigenerational holiday in the upcoming year
(Source: 2014 US AAA survey)
We predominantly franchise our brands to, and manage hotels on behalf of, third-party hotel owners; our focus is therefore on building preferred brands and strong revenue delivery systems.
4,219 Franchised hotels
806 Managed hotels
7 Owned and leased hotels
|Employees||Brand ownership, marketing and distribution|
|Franchised||Third party||Low||Third party||IHG|
|Managed||Third party||Low||IHG and third party|
|Owned and leased||IHG||High||IHG|
Revenue per available room (RevPAR) growth +4.4%
Total underlying operating profit growth $67m +11.5%
Fee revenue +8%
Full-year dividend 85¢/58p (+10%)
We are focused on delivering high-quality growth, which for us means delivering consistent, sustained growth in cash flows and profits over the long term.
Through our Winning Model, we focus on value-creation through building preferred brands, leveraging scale and delivering revenue through the lowest-cost, direct channels. Our Targeted Portfolio, together with Disciplined Execution and a commitment to doing business responsibly, will drive superior returns for our shareholders.
We measure our performance with a set of carefully selected key performance indicators (KPIs), which monitor our success in achieving our strategy and delivering high-quality growth.
Whilst doing business responsibly