Positive Results; Hotel Portfolio Grows to 54 at End of 2005
March 2006 - The Swiss hotel chain Mövenpick Hotels & Resorts
(MH&R) achieved good results in fiscal 2005. With overall sales of
CHF 619.6 million (prior year: CHF 538.3 million), including consolidated
sales of CHF 191.8 million (prior year CHF 178.7 million), MH&R was
able to more than double its EBIT (Earnings Before Interest and Taxes)
result to CHF 6.1 million, up from CHF 2.9 million in 2004. The group’s
secure and debt-free financial situation, which is exceptional within the
hotel sector, provides the foundation for the continued growth of the international
The group’s EBITDA (Earnings Before Interest, Taxes, Depreciation and Amortization) result also improved by CHF 2.4 million to CHF 14.6 million or 19.7 % relative to the prior year. The internationally recognized performance metric RevPAR (Revenue per Available Room) increased group-wide by 8.7 % to CHF 75.1 (prior year: CHF 69.1).
The fact that Mövenpick Hotels & Resorts is on the right path is clearly demonstrated not only by the group’s positive financial results, but also by the positive feedback received from customer surveys, the numerous international awards and the excellent relationship with hotel proprietors that the group has enjoyed for many years. Expansion is proceeding on schedule: the number of hotels as at the end of 2005 was 54 (with 12,842 rooms), representing an increase of 8.7 % relative to the prior year. The portfolio of Mövenpick Hotels & Resorts has thus almost doubled since 1999. As a consequence of this ongoing growth, the group was able to create no less than 1,270 new positions in 2005 and now boasts a total workforce of 10,450.
During the year under review, a total of five new operations were added to the portfolio with hotel acquisitions in Dar es Salaam/Tanzania (251 rooms) and Mauritius (181 rooms), the opening of new hotels in Jeddah/Saudi Arabia (140 rooms) and Sana’a/Yemen (300 rooms), as well as the maiden voyage of the Mövenpick Royal Lotus cruise ship on the Nile/Egypt. In addition, the hotels in Aswan, El Gouna, Cairo Media-City, Luxor (all in Egypt), Kuwait, the Dead Sea/Jordan, Münster/Germany and Zürich-Airport/Switzerland were comprehensively renovated or extended in order to fulfill the heightened quality requirements of the guests.
In 2005, a total of 13 contracts were signed for new projects in the core markets of Europe, the Middle East and Africa – which represents a new record in the history of Mövenpick Hotels & Resorts. As a result of these agreements, an additional 4,400 rooms will complement the group’s existing 12,842 rooms in the near future, an increase of 35 %. The group aims to double its portfolio to 100 hotels by 2010.
"The positive operating results are the consequence of a professional performance on all levels and create a basis upon which we can forge ahead with our expansion strategy in a targeted and steady manner", commented Jean Gabriel Pérès, President & CEO of Mövenpick Hotels & Resorts. "Our high quality standards, excellent culinary services and carefully selected managers are prompting an increasing number of hotel proprietors to entrust the management of their business to Mövenpick Hotels & Resorts. Alongside Europe, the Middle East and Africa, we are now focusing on the Asian region. Indeed, we have taken our first step toward India with the recent signing of a management agreement for a new hotel in Bangalore."
Mövenpick Hotels & Resorts currently enjoys international representation with 75 hotels existing and under construction. MH&R manages two hotel types, the business and conference hotels and the holiday resorts. The business hotels are located near cities or airports and cater for the needs of business travellers. Holiday resorts are located in ideal leisure destinations. The Hotel Group is currently represented in the following 20 countries: Germany, Switzerland, France, Italy, the Netherlands, the Czech Republic, Turkey, Jordan, Egypt, Qatar, Morocco, Tunisia, Saudi Arabia, Kuwait, Bahrain, the United Arab Emirates, Lebanon, Yemen, Tanzania and on Mauritius.
|Also See:||The International Company for Touristic Investments Ltd. Opens the 338 room Mövenpick Hotel Sana’a in Yemen / February 2006|
|Hajar Real Estate Company K.S.C.C. Selects Movenpick to Operate 410 room Hotel at the Abraj Al Bait Towers, Makkah, Saudi Arabia / March 2006|