Action Hotels PLC Trading update for the 6 months ended 30 June 15 (1706T)

TIDMAHCG

RNS Number : 1706T

Action Hotels PLC

16 July 2015

Action Hotels PLC

("Action Hotels" or the "Group")

Trading update for the six months ended 30 June 2015 - in line with expectations

Action Hotels, a leading owner, developer and asset manager of branded three and four star hotels in the Middle East and Australia, is pleased to update the market on its trading performance for the half year ended 30 June 2015, ahead of the announcement of its half year results on 8 September 2015.

Operational Performance

Action Hotels' delivered a strong operational performance across its eight operational hotels in the first half of the year. The Group's mature hotel portfolio maintained occupancy levels above 80%, despite Ramadan beginning in the first half of the year.

Operational adjusted gross operating profit (AGOP) increased by 11% to $11.0m (H114: $9.9m) and operational EBITDA was up 14% to $8.7m (H114: $7.6m) compared with last year. Total revenue for the period was up 11% to $21.6m (H114: $19.5m).

The Group saw exceptional operational performances during the first half of the year from its two properties in Kuwait; ibis Salmiya Kuwait achieved 88% occupancy and an AGOP of 66% (up 6% on H114) and ibis Sharq Kuwait achieved 90% occupancy with an AGOP of 62% (up 3% on H114).

In addition, Action Hotels' new hotel, ibis Seef Bahrain, performed well in its first six months of trading and made a positive contribution to Group EBITDA.

Outlook

On 1 July 2015, Action Hotels announced the acquisition of the business and assets of the 73 room ibis Budget hotel at Melbourne Airport, Australia. On completion of the transaction this will take the Group's operating hotels to nine and 1,561 rooms, an increase of over 50% operational rooms since the IPO in December 2013.

The development pipeline continues to progress and is on track to complete a further three hotels before the end of 2015.

The Group continues to make strong progress towards its strategic goals and is on track to meet management expectations for the full year ending 31 December 2015.

For more information contact:

 
 Action Hotels PLC               Tel: +44 (0) 20 
                                  7907 9663 
 Alain Debare, Chief Executive 
  Officer 
 Katie Shelton, Director of 
  Corporate Affairs 
 
 
 Investec Bank plc (NOMAD          Tel: +44 (0) 20 
  & Broker)                         7597 4000 
 Chris Treneman / David Anderson 
  / Josh Levy 
 
 
 Camarco (Press enquiries)        Tel: +44 (0) 20 
                                   3757 4980 
 Billy Clegg / Jennifer Renwick 
  / Tom Huddart

Notes to Editors

Action Hotels PLC

Action Hotels is a leading owner, developer and asset manager of branded three and four star hotels in the Middle East and Australia. Established in 2005, Action Hotels currently operates nine hotels with 1,561 rooms in aggregate across the Middle East and Australia, with further properties in development in both regions.

More information is available at http://www.actionhotels.com/

The mature portfolio consists of five hotels the Group considers have reached stable levels of occupancy and rate, usually three years from opening.

This information is provided by RNS

The company news service from the London Stock Exchange

END

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