Commenting on the results, Alain Debare, Chief Executive Officer, Action Hotels PLC LON:AHCG said: “2015 has been another successful year of delivering growth to our shareholders. We opened new hotels and added more projects to the pipeline whilst overseeing strong performances from our existing profitable operating hotels. Our focus continues to be the delivery of our pipeline of hotels on time and on budget. We expect to deliver a further three hotels this year, taking the total for 2016 to five new hotels in one year.”
Action Hotels PLC, a leading owner, developer and asset manager of three and four-star hotels in the Middle East and Australia, is pleased to announce its audited full year financial results for the year ended 31 December 2015.
All currency amounts are in US million $ unless otherwise stated.
2015 Key highlights
— Completion of 10(th) and largest hotel and the addition of new hotels taking total room count at year end to 1,928, a 30% increase from last year (2014: 1,488 rooms) and an increase of 92% since IPO
— Year-on-year growth in all key financial performance indicators – Revenue, EBITDA, Net profit and Net Asset Value
— $2.8m reported net profit – ahead of management expectations and an increase of 47% on last year (2014: $1.9m)
-- Increase in Net Asset Value per share of 5% to USD 1.40/GBP 0.95 (2014: USD 1.32/GBP 0.87)
— Final dividend increase of 1.8% to GBP 1.47 pence per share, bringing the total dividend for the year to GBP 2.21 pence per share (2014: GBP 2.17 pence per share), a yield (as at 18 April 2016) of 4.3%
2015 Financial highlights
-- Total reported revenue increased by 16% to $43.5m (2014: $37.6m) -- Adjusted EBITDA(1) increased by 42% to $16m (2014: $11.3m) -- Operating profit increased to $8.7m (2014: $6.1m) -- Increase in reported Net Asset Value (NAV) of $10m to $196m (2014: $186m) -- Adjusted NAV(2) increased 6% to $206.3m (2014: $194.8m)
2015 Operational highlights
-- Solid occupancy on mature hotels on a like-for-like basis increased to 79.3% (2014: 78%) -- Average EBITDA breakeven occupancy across the portfolio remained low at 30% (2015: 35%)
— Opening of two new hotels, ibis Seef Bahrain and Premier Inn Sharjah, as well as the acquisition of ibis Budget Melbourne Airport and completion of ibis Styles Brisbane Elizabeth Street, increasing operational rooms by 30% to 1,928
— Committed and fully funded pipeline of a further six hotels plus three plots of investment land, taking total room count to a minimum of 2,650 by 2018
— First year of trading at ibis Seef Bahrain, which was EBITDA positive early after opening and continues to perform well
2016 current trading
-- Positive start to the year with revenue up by 14% over the same period last year
— Strong performances from our operating hotels and new rooms contributing to the revenue growth
-- Average occupancy at our mature hotels of 77%
— Strong performance in our Kuwait hotels with ibis Salmiya and ibis Sharq trading at an average occupancy of 89.5%
— New hotels also performing well, with Premier Inn Sharjah, which opened in August 2015, already delivering an average occupancy for Q1 of 79% whilst the 304 room ibis in Bahrain is achieving occupancy of 60.6% for the first quarter
-- ibis Styles Brisbane reported a positive GOP for its first month of operation
