News for the Hospitality Executive
UK's Travelodge Reports 77% Occupancy in 2007
with 87% of All Bookings Made via Internet
results for the year ended 31 December 2007
17th Mar 2008 - Travelodge delivered significant revenue growth of 20% in 2007, while EBITDA for the company rose 30%, largely driven by a strong London market and improved cost controls. Rooms sold increased by 14% to a new record of 5.5 million and occupancy levels remained strong at 77% across the board.
Travelodge continued to deliver against its stated UK growth plan, opening 23 hotels across the UK in 2007 (2,500 rooms). The year also marked the Company's first significant move outside the UK, committing 1 billion Euros to open 100 Travelodge hotels in Spain by 2020.
- Revenues in 2007 increased 20% to £243.8 million (2006: £203.5 million)UK Expansion Programme
- Travelodge opened 23 hotels (2,500 rooms) including London City Road (392 rooms) and Heathrow Terminal 5 (297 rooms)Operational Highlights
- Occupancy in the UK was stable at 77% across the boardPositive outlook
- Current trading very strongGrant Hearn, Travelodge CEO, commented: "Travelodge's performance has been outstanding in 2007: delivering strong growth in sales and operating profit as our 'no frills' offer gathers real momentum. We are perfectly positioned to accelerate our stated growth plans in the UK and international markets and we are looking forward to hitting record customer numbers for 2008.
"In the last three years Travelodge has focused on taking share from three and four star hotels but also growing the overall hotel market. We are stealing share from BBs, mid market and upmarket hotels as their customers seek genuine value from the budget sector. We are also now attracting 500,000 more low income families than in 2005, including first time users from camping and caravanning markets.
"Over the last 12 months we have opened major hotels in the thriving markets of London and Edinburgh and can now look forward to realising the benefits of these openings in 2008."
* EBITDA number provided on a normalised basis
Travelodge Press Office
|Also See:||Travelodge Building New Lego Style Hotels with Modified Shipping Containers; Steel Modules Are Shipped from China with the Bathrooms, Plasterboard Walls and Electrical Points In Place / January 2008|
|Travelodge Offering up to £150,000 (US$ 305,000) to Any Individual that Finds a New Location or Existing Building in the UK that Results in a New Travelodge Hotel Opening / October 2007|