Year-end Trading Update
Q4 and full-year 2025 results in line with market expectations; room revenue growth of 4.2% with solid Q4 momentum.
vs expectations: in line
- Group room revenue 2025 £330.4m (prior £317.2m)
- RevPAR 2025 £123.4 (prior £120.3)
- Q4 room revenue growth 4.9%
- Q4 RevPAR growth 5.0%
- Like-for-like room revenue growth 2025 2.4%
- Occupancy 2025 75.1% (prior 74.5%)
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PPHE Hotel Group, the international hospitality real estate group which develops, owns and operates hotels and resorts, is pleased to announce a trading update in advance of the Group's results for the year ended 31 December 2025 ("2025"), which are due to be announced on 26 February 2026.
Commenting on the trading update, Greg Hegarty, Co-Chief Executive Officer, PPHE Hotel Group said:
"2025 was another year of financial and strategic progress for PPHE Hotel Group, achieved against a volatile macroeconomic and geopolitical environment. We are encouraged by our solid delivery in the final quarter of the year, with full year results expected to be in line with market expectations.
We completed our largest-ever investment programme, marked by the opening of art'otel Rome Piazza Sallustio, and we continued to establish the market positions of our recently opened and repositioned properties, including that of the art'otel London Hoxton, to maximise the long-term financial potential of these properties. Our long-term pipeline was strengthened with the acquisition of a mixed-use development site near the City of London."
Highlights & updates
| · | The Group's 2025 total revenue and EBITDA are expected to be in line with market expectations 1 . |
| · | In Q4 2025, good trading momentum delivered Group room revenue growth of 4.9% and RevPAR growth of 5.0%, which was the result of a 7.8% increase in average room rate and foreign currency exchange rate tailwinds compared with Q4 2024. Like-for-like 2 Group room revenue in Q4 grew by 4.6% and RevPAR increased by 3.6%. |
| · | For 2025, reported Group room revenue is expected to be £330.4 million, an increase of 4.2% (2024: £317.2 million). Like-for-like 2 Group room revenue increased by 2.4%. |
| · | Reported RevPAR in 2025 improved by 2.6% to £123.4 (2024: £120.3), supported by a 1.7% increase in average room rate to £164.3, and a marginal increase in occupancy to 75.1% (2024: 74.5%). Like-for-like 2 RevPAR increased by 2.4%, average room rate increased by 0.7%, whilst occupancy increased by 130 bps. |
| · | The Group's UK hotels delivered a solid performance, with room revenue and RevPAR growth driven by occupancy growth and stable average room rate delivery. In the Netherlands and Germany, overall trading in the year was subdued, with pressures on both occupancy and average room rate. In Croatia, the Group's hotels, self-catering apartments and campsites all performed well during the peak summer months, with strong average room rate growth, alongside stable year-on-year occupancy. |
| · | The Strategic Review process announced by the Company on 21 November 2025 remains ongoing. The Company will update the market in due course. |
1As at 27 January 2026, PPHE compiled analyst consensus forecast for 2025 showed a Reported total revenue range of £458.4 million to £469.0 million and a Reported EBITDA range of £133.2 million to £137.8 million.
2 The like-for-like figures exclude the 2025 results from the newly opened art'otel Rome Piazza Sallustio, the results of the first three months of 2025 from art'otel London Hoxton and the last four months of 2024 of the recently terminated leasehold of Park Plaza Wallstreet Berlin Mitte.
Rule 28 of the Takeover Code
Directors' confirmation
The directors have considered the profit estimate contained herein and confirm that it remains valid as at the date of this statement, have been properly compiled and the basis of the accounting used is consistent with the Group's existing accounting policies.
Basis of preparation
The profit estimate is based on the Group's current internal unaudited consolidated accounts for the year ended 31 December 2025. The profit estimate is not based on any assumptions. The basis of the accounting policies used in the profit estimate is consistent with the existing accounting policies of the Group, which use 'Alternative Performance Measures' and International Financial Reporting Standards measures as approved by the International Accounting Standards Board and adopted by the European Union.
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