UPDATE: InterContinental Hotels H1 Underlying Operating Profit Surges 6%
InterContinental Hotels Group (NYSE: IHG) reported a 6% rise in its first-half underlying operating profit.
InterContinental's underlying operating profit for the period surged to $301 million, from $284 million, in the year-ago period.
Its operating profit declined 8% to $310 million from $338 million. However, analysts were expecting a profit of $305 million.
Its revenue fell 3% to $908 million from $936 million, while underlying revenue climbed 4% to $788 million from $757 million.
Global revenue per available room (RevPAR) rose 5.8%. Comparable RevPAR rose 6.7% in the Americas, while comparable RevPAR surged 4.9% in Europe. Comparable RevPAR climbed 3.7% in the AMEA, while comparable RevPAR rose 4.3% in Greater China.
InterContinental's fee revenue surged 7% to $600 million from $562 million, while underlying fee revenue gained 6% to $597 million.
The company also lifted its interim dividend by 9% to 25.0 cents.
Richard Solomons, Chief Executive of InterContinental Hotels Group PLC said, "We have achieved a strong first half performance, with our preferred brands continuing to drive good momentum through the second quarter.”
InterContinental shares rose 0.91% to close at $40.02 yesterday.
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