PARIS, October 26 /PRNewswire-FirstCall/ -- - Third Quarter 2005
sales: up 7,9% - Nine-Month: up 7,2% (in Euros million) 2004 2005 %
change % change IFRS IFRS (reported) (like-for-like)(x) Hotels
Upscale and Midscale 2,064 2,117 +2.6% +2.9% Economy 937 1 027
+9.5% +4.2% Economy US 719 728 +1.3% +4.7% Services 378 442 +17.1%
+13.0% Other businesses 1,155 1,315 +13.9% +6.4% Total Group 5,253
5,629 +7.2% +4.9% (x) Based on constant scope of consolidation and
exchange rates Nine-Month revenues Accor's consolidated revenues
rose by 7.2% to Euros 5,629 million in the nine months that ended
September 30, 2005. At constant scope of consolidation and exchange
rates, the increase was 4.9%. Expansion accounted for 4.4% of
revenue growth for the period, led by the Economy Hotel segment
(whose contribution to revenues was +5.2%) and Upscale and Midscale
Hotels (+2.7%). Asset disposals had a negative 2.4% impact on
growth. As part of the strategy of selling non-performing Hotel
assets, 31 hotels were sold, reducing segment revenues by Euros 71
million for the period. The appreciation of mainly Brazilian real
against the euro resulted in a positive 0.3% currency effect for
the period. Third quarter In the third quarter alone, revenues
totalled Euros 1,986 million up 7.9% on a reported basis. Revenues
in the third quarter rose by 4.6% like-for-like in line with the
first half's 5.0% rise. Like-for-like third-quarter revenues were
up 3.9% for Hotels, compared with 3.4% in the first half, and 13.9%
for Services, versus a 12.6% rise in the first six months. Upscale
and Midscale Hotels Upscale and Midscale Hotel revenues rose a
like-for-like 3.5% in the third quarter, slightly faster than the
first half's 2.5% increase. The 2.9% increase in segment revenues
for the first nine months was led by sharp growth in the United
States, Asia and South America. In the United Kingdom, revenues
were up 4.7% for the 9 month period, despite the impact of
terrorist attacks on third-quarter tourist traffic in London. In
France, the strategic marketing focus on business travelers drove
an average 4.0% increase in room rates for the nine-month period.
Growth remained moderate in Germany and the Benelux countries.
Economy Hotels (outside the United States) The Economy Hotel
segment continued to make solid gains, with like-for-like revenues
rising 4.0% in the third quarter alone and 4.2% for the nine-month
period. In France, the rate increase strategy led to a 4.0% rise in
like-for-like revenues for the first nine months. Elsewhere in
Europe, revenues increased by 3.2% like-for-like. As in the Upscale
and Midscale segment, the United Kingdom experienced a temporary
decline in tourist traffic to London during the summer. Economy
Hotels in the US Like-for-like revenues in the US Economy Hotel
segment rose by 4.6% in the third quarter alone and 4.7% over the
first nine months. Implementation of the Red Roof Inn renovation
program continued, with 86 hotels renovated as of September 30 and
19 currently in renovation. Hurricane Katrina had no impact on
revenues for the period. Services Revenues from the Services
business rose by 13.9% like-for-like and 22.8% on a reported basis
in the third quarter. For the full nine months, they were up a
strong 13.0% like-for-like and 17.1% as reported, led particularly
by favorable changes in legislation in Belgium (up 20.8%
like-for-like), the United Kingdom (up 19.5%) and Venezuela (up
56.4%). Thanks to the appreciation of the Brazilian real against
the euro, the currency effect had a positive 2.8% impact on
nine-month revenue growth. Travel agencies Travel agency revenues
increased 2.9% like-for-like in the third quarter alone, lower than
the first half's 8.7% rise. The decline reflected a stabilisation
in the positive impact of synergies from recent acquisitions, as
well as comparison base less favorable than in first half 2005. For
the full nine-month period, travel agency revenues were up 6.5%
like-for-like. Casinos Nine-month revenues for the Casinos business
rose 2.0% like-for-like, but were up a reported 47.1% due to the
creation of Groupe Lucien Barriere in December 2004. The 5.3%
increase in like-for-like revenues during the third quarter
resulted mainly from non-recurring sales on traditional games.
Excluding these items, revenue growth is trending upwards at 1 to
2%. Other businesses Like-for-like revenues from the restaurant
business were up 6.6% for the first nine months of the year.
Revenues generated by onboard train services increased 8.1%
like-for-like. Conclusion Business in the third quarter confirmed
first-half trends. The rise in nine-month revenues was sustained in
Economy Hotels outside the US (up 4.2%), US Economy Hotels (up
4.7%), Upscale and Midscale Hotels in the United States, Latin
America, Asia and the United Kingdom (up 6.7%), Services (up 13.0%)
and other businesses (up 6.4%). Together, these segments account
for 75% of the Accor business portfolio. The increase in revenues
in the Upscale and Midscale Hotel segment was more moderate in
Continental Europe, where the marketing strategy in France is
producing results. With third quarter revenues in line with
forecast, Accor is maintaining its full-year target of Euros
590-610 million in profit before tax (an increase of 15 to 20%) and
around Euros 300 million in net income (up 30%) as released at
first half results. With 168,000 people in 140 countries, Accor is
the European leader and one of the world's largest groups in
travel, tourism and corporate services, with two major
international activities: - hotels: over 4,000 hotels (more than
466,000 rooms) in 92 countries, casinos, travel agencies, and
restaurants; - services to corporate clients and public
institutions: 19 million people in 34 countries use a broad range
of services (food vouchers, people care and services, incentive,
loyalty programs) engineered and managed by Accor. Contacts Eliane
Rouyer Director Anthony Pallier Investor Relations Investor
Relations Tel : +33(1)45-38-86-26 Tel : +33(1)45-38-86-33 All
information is on http://www.accor.com/ Quarter 1 Quarter 2
Revenues Revenues Revenues Revenues Revenues Revenues 2004 2004
IFRS 2005 IFRS 2004 2004 IFRS 2005 IFRS HOTELS Upscale and Midscale
646,225 630,510 631,473 758,274 734,784 758,144 Economy 276,826
275,834 294,400 324,781 323,960 361,011 Economy US 202,220 202,220
200,753 246,658 246,658 246,767 Total HOTELS 1,125,272 1,108,564
1,126,626 1,329,714 1,305,402 1,365,923 SERVICES 121,152 123,395
139,716 127,680 130,287 150,374 Other Businesses Travel Agencies
92,357 92,728 113,469 111,314 111,822 125,421 Casinos 53,341 53,289
76,070 53,200 53,148 75,597 Restaurants 109,504 111,624 118,125
113,061 115,108 133,275 On-board train services 58,669 58,669
59,638 65,049 65,049 68,842 Other 37,650 37,920 42,102 44,549
44,832 47,859 Total other businesses 351,521 354,230 409,404
387,173 389,958 450,993 Total 1,597,945 1,586,189 1,675,746
1,844,566 1,825,647 1,967,290 September-end (YTD) Revenues Revenues
Revenues 2004 2004 IFRS 2005 IFRS HOTELS Upscale and Midscale
2,116,826 2,064,305 2,117,314 Economy 940,231 937,545 1,026,551
Economy US 718,605 718,605 727,639 Total HOTELS 3,775,662 3,720,455
3,871,504 SERVICES 370,170 377,842 442,520 Other Businesses Travel
Agencies 328,965 330,287 358,993 Casinos 161,592 161,435 237,499
Restaurants 326,110 332,790 369,204 On-board train services 193,798
193,798 200,638 Other 135,918 136,762 148,890 Total other
businesses 1,146,383 1,155,071 1,315,224 Total 5,292,215 5,253,369
5,629,247 Quarter 1 Quarter 2 Half Year Quarter 3 Change Change
Change Change Change Change Change Change Report. L/L % Report. L/L
% Report. L/L % Report. L/L % IFRS % (x) IFRS % (x) IFRS % (x) IFRS
% (x) HOTELS Upscale and Midscale 0.2% 0.5% 3.2% 4.2% 1.8% 2.5%
4.1% 3.5% Economy 6.7% 3.5% 11.4% 4.9% 9.3% 4.3% 9.9% 4.0% Economy
US -0.7% 4.5% 0.0% 5.0% -0.3% 4.8% 3.9% 4.6% Total HOTELS 1.6% 2.0%
4.6% 4.5% 3.3% 3.4% 5.5% 3.9% SERVICES 13.2% 11.8% 15.4% 13.4%
14.4% 12.6% 22.8% 13.9% Other Businesses Travel Agencies 22.4% 7.7%
12.2% 9.6% 16.8% 8.7% -4.5% 2.9% Casinos 42.7% 3.9% 42.2% -3.2%
42.5% 0.3% 56.1% 5.3% Restaurants 5.8% 4.1% 15.8% 13.9% 10.9% 9.1%
11.1% 1.4% On-board train services 1.7% 6.2% 5.8% 10.8% 3.8% 8.6%
3.0% 7.1% Other 11.0% 15.5% 6.8% 3.7% 8.7% 9.1% 9.1% 6.9% Total
other businesses 15.6% 6.6% 15.7% 8.6% 15.6% 7.6% 10.7% 4.1% Total
5.6% 3.8% 7.8% 6.0% 6.8% 5.0% 7.9% 4.6% (x) L/L Like for Like
September-end (YTD) Change Change Report. L/L % IFRS % (x) HOTELS
Upscale and Midscale 2.6% 2.9% Economy 9.5% 4.2% Economy US 1.3%
4.7% Total HOTELS 4.1% 3.6% SERVICES 17.1% 13.0% Other Businesses
Travel Agencies 8.7% 6.5% Casinos 47.1% 2.0% Restaurants 10.9% 6.6%
On-board train services 3.5% 8.1% Other 8.9% 8.2% Total other
businesses 13.9% 6.4% Total 7.2% 4.9% (x) L/L Like for Like Revpar
by segment HOTELS : RevPAR by segment at September-end 2005 (YTD)
Occupancy Rate Average room rate (reported) (reported) (in %) (var
in pts) (var in %) Upscale and Midscale Europe 63.6% -0.7 93 2.5%
Economy Europe 73.7% -0.4 49 3.8% Economy US (in USD) 67.0% +1.0 44
3.9% RevPAR subsidiaries subsidiaries subsidiaries subsidiaries
reported reported like-for-like & managed basis basis basis(1)
reported basis Upscale and Midscale Europe 59 1.4% 2.2% 0.7%
Economy Europe 36 3.2% 3.5% 3.4% Economy US (in USD) 30 5.5% 5.3%
5.5% (1) at comparable scope Revpar by country UPSCALE AND MIDSCALE
HOTELS Number Occupancy Rate Average room rate of RevPAR by country
at rooms (reported) (reported) September-end 2005 (YTD) (in local
currency) (in %) (var in pts) (var in %) France 30,967 62.0% -1.1
100 3.9% Germany 13,554 61.1% +0.3 72 0.1% Netherlands 3,698 66.4%
+1.4 100 1.6% Belgium 2,230 66.8% -3.3 96 3.5% Spain 1,993 62.8%
-1.0 96 -4.6% Italy 3,080 60.8% +2.6 113 -1.8% UK (in GBP) 5,112
73.0% -2.2 76 6.6% USA (in $) 3,449 74.5% +2.2 171 13.0% UPSCALE
AND MIDSCALE HOTELS RevPAR by country at September-end 2005 (YTD)
(in local currency) RevPAR subsidiaries subsidiaries subsidiaries
subsidiaries reported reported like-for-like & managed basis
basis basis(1) reported basis France 62 2.1% 2.4% 2.8% Germany 44
0.6% 0.2% 4.5% Netherlands 67 3.8% 3.8% 4.1% Belgium 64 -1.3% -1.3%
0.3% Spain 60 -6.1% 2.9% -10.0% Italy 69 2.5% 4.6% 2.5% UK (in GBP)
55 3.5% 5.8% 4.1% USA (in $) 127 16.4% 16.4% 16.2% ECONOMY HOTELS
Number Occupancy Rate Average room rate of RevPAR by country at
rooms (reported) (reported) September-end 2005 (YTD) (in local
currency) (in %) (var in pts) (var in %) France 44,536 75.1% -0.7
42 4.4% Germany 15,054 71.5% +0.6 51 0.8% Netherlands 2,215 74.4%
-1.0 69 1.9% Belgium 2,474 75.4% +1.3 60 0.1% Spain 3,315 74.1%
-2.3 49 6.7% Italy 1,189 58.8% +5.6 72 -11.1% UK (in GBP) 6,103
75.0% -0.8 48 5.2% USA (in $) 109,252 67.0% +1.0 44 3.9% ECONOMY
HOTELS RevPAR by country at September-end 2005 (YTD) (in local
currency) RevPAR subsidiaries subsidiaries subsidiaries
subsidiaries reported reported like-for-like & managed basis
basis basis(1) reported basis France 32 3.4% 3.5% 3.4% Germany 36
1.7% 1.7% 2.1% Netherlands 52 0.5% 3.5% 0.5% Belgium 45 1.9% 1.9%
1.9% Spain 36 3.5% 8.8% 3.5% Italy 42 -1.8% 1.6% -1.8% UK (in GBP)
36 4.1% 5.0% 3.6% USA (in $) 30 5.5% 5.3% 5.5% (1) at comparable
scope DATASOURCE: Accor CONTACT: Contacts, Eliane Rouyer, Investor
Relations; Tel : +33(1)45-38-86-26; Anthony Pallier, Investor
Relations, Tel : +33(1)45-38-86-33
Copyright