InterContinental share price: Half-year reported revenue little changed

on Jul 30, 2015
Updated: Oct 21, 2019
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InterContinental Hotels Group (LON:IHG) has this morning updated investors on its half-year performance, reporting revenue of $915 million, up one percent year-on-year.

**Highlights from IHG’s statement:**
Strong fee revenue growth in all regions
– Global comparable H1 RevPAR up 5.1%, with growth across all regions. Q2 comparable RevPAR growth of 4.4%.
– $11.2bn total gross revenue from hotels in IHG’s system (up 1% year-on-year; 7% CER).
– Underlying fee revenue up 9%, leveraging both RevPAR and room growth. Reported fee revenue up 4%, negatively impacted by foreign exchange translation.

Richard Solomons, Chief Executive of InterContinental Hotels Group PLC, said:
“We continued to make strong progress against our winning strategy in the first half, strengthening our brands, loyalty programme and owner proposition. We delivered our best first half for signings since 2008, underlying fee revenue growth of 9%, and underlying profit2 growth of 10%, giving us the confidence to increase the interim dividend by 10%.
Our preferred brands demonstrated their continued momentum as we signed the highest number of Holiday Inn rooms ever in the first half, including the two largest properties for the brand, and strengthened our leadership position in the fast growing boutique segment. Alongside this we continue to make great progress delivering against our technology objectives, introducing a number of new digital initiatives that have helped drive almost 50% growth in mobile revenue.
The completion of the sale of InterContinental Paris – Le Grand for €330m, and agreement to sell InterContinental Hong Kong for $938m, marks the successful finalisation of our major owned asset disposal programme, which has realised gross proceeds of $8bn.
Looking forward, based on current trading trends, we remain confident in the outlook for the rest of the year.”
As of 07:34 BST, Thursday, 30 July, InterContinental Hotels Group PLC share price is 2,623.00p.

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