Elegant Hotels Group plc (LON:EHG), the owner and operator of seven upscale freehold hotels and a beachfront restaurant on the island of Barbados, today announced its unaudited results for the six months ended 31 March 2019.
Commenting on the results, Sunil Chatrani, CEO of Elegant Hotels, said:
“Elegant Hotels continues to perform well in the context of a competitive market and against a backdrop of ongoing uncertainty in its core visitor market of the UK. We are particularly pleased with the contribution during the period of our most recently acquired property, Treasure Beach, and are constantly assessing a range of opportunities for further expansion, whilst ensuring our balance sheet remains robust.
We continue to execute our strategy in a measured and consistent manner, and we have good visibility of bookings for the remainder of the financial year. As a result, we remain comfortable with the FY19 outlook versus market expectations and confident in the Group’s longer-term prospects.”
Unaudited highlights
· Revenue* up 3% to $43.7m (H1 2018: $42.5m) primarily driven by encouraging performance at Treasure Beach, the Group’s most recently acquired property
· ADR* (average daily rates) down 1% to $532 (H1 2018: $539)
· Occupancy increased to 68% (H1 2018: 67%)
· RevPAR* (revenue per available room) up 1% at $364 (H1 2018: $362)
· Adjusted EBITDA** up 7% to $16.4m (H1 2018: $15.4m)
· Adjusted profit before tax up 5% to $12.0m (H1 2018: $11.4m)
· Adjusted EPS (cents per share) up 27% to 13.3c (H1 2018: 10.5c)
· Implied Net Asset Value (NAV) of 203 cents per share (156 pence per share†)
· Interim dividend declared at 1.33 pence per share (H1 2018: 1.33 pence per share)
· Commitment received on debt refinancing to extend loans and facilities to 2024 on similar commercial terms
· Capital expenditure projects included a refurbished restaurant at Turtle Beach
Please note that due to rounding, numbers presented throughout this document may not add up precisely to the totals provided. Percentage changes are calculated on unrounded figures.
- From 1 October 2018, the Group recognises service charge within revenue as a result of the implementation of IFRS 15. In addition, the Group has changed its classification of revenue, impacting the calculation of ADR and RevPAR. Prior period amounts have been restated in line with this change. Please see the Reporting changes section and note 3 to the Interim financial statements for more detail.
** The Group uses adjusted EBITDA as a measure of performance as it better represents underlying performance. Adjusted EBITDA is earnings before interest, tax, depreciation, amortisation and one-off items that are outside the ordinary course of business. Adjusted profit and adjusted EPS reflect the adjusted EBITDA figure.
† based on an exchange rate of £1 : $1.30
