PPHE Hotel Group (PPH) investor relations material

Executive summary

• Revenue grew 4.7% year-over-year to £199.9M, driven by new and refurbished properties, despite volatile macroeconomic and geopolitical conditions.

• EBITDA fell 5.7% to £45.5M, impacted by ramp-up costs, inflationary pressures, and higher payroll.

• Occupancy increased, but average room rates softened as travel patterns normalized.

• Strategic progress included new hotel openings in Rome, London, Zagreb, Belgrade, and Berlin, and a major development site acquisition in London.

• Interim dividend of 17p per share approved, returning £7.1M to shareholders.

Financial highlights

• Total revenue up 4.7% to £199.9M; like-for-like revenue up 1.3%.

• RevPAR increased 1.4% to £109.3; occupancy rose 180bps to 72.4%.

• EBITDA margin dropped to 22.8% from 25.3%.

• Adjusted EPRA earnings per share at £1.19; EPRA NRV per share up 2% to £28.07.

• Net bank debt at £788M; loan-to-value at 34.5%; average debt maturity 3.4 years at 3.8% fixed rate.

Outlook and guidance

• FY25 EBITDA expected broadly in line with FY24, reflecting phased contributions from new assets and margin sensitivity to rates and costs.

• Recently opened assets projected to contribute at least £25M incremental EBITDA upon stabilization (by 2028–2029).

• Focus on cost control, tech-driven efficiencies, and pipeline execution.

• External headwinds anticipated from 2026, including VAT rise in the Netherlands and UK business rate pressures.

• Trading in city locations remains stable with modest improvement; Croatia’s summer season performed well.