Whitbread (WTB) H2 2025 (Q&A) earnings summary

Executive summary

• Accommodation sales in the UK were flat year-over-year despite softer market demand, outperforming the mid-scale and economy segment, while Germany delivered strong trading with double-digit RevPAR growth and a significant reduction in loss before tax.

• Group statutory revenue was £2,922m, down 1% year-over-year; UK revenue £2,691m (down 3%), Germany revenue £231m (up 21%).

• Delivered £75 million in efficiency savings, reducing the UK cost base by 1% despite inflation, and operating costs reduced by 1% at group level and 2% in the UK.

• The five-year plan targets £300 million incremental profit and over £2 billion in shareholder returns by FY2030, with £442m distributed via buy-backs and dividends in FY25.

• Germany is set for profitability in FY26, with a breakthrough year and continued network expansion.

Financial highlights

• Accommodation sales in the UK were flat year-over-year at £2.0bn, outperforming the market, with high occupancy (83.1%) and RevPAR premium maintained.

• Food and beverage revenue declined as expected due to the Accelerating Growth Plan, unlocking 3,500 extension rooms.

• Adjusted profit before tax was £483m, down 14% year-over-year; statutory profit before tax £368m, down 19%.

• Germany revenue up 21% to £231m; adjusted EBITDAR up 58% to £66m; adjusted loss before tax reduced to £11m from £36m.

• £75 million in efficiency savings delivered, ahead of guidance.

Outlook and guidance

• Forward-booked revenue position is ahead of last year, with strong summer bookings.

• FY26 guidance: UK to add c.500 new rooms and 500–700 AGP extension rooms; Germany c.400 new rooms.

• Germany expected to deliver adjusted PBT of £5m–£10m in FY26.

• Announced an additional £250 million share buyback to be completed in the next 12 months.

• Plan is fully funded through operating cash flow and recycling at least £1 billion of mature property assets.