Whitbread has taken advantage of reduced property prices during the downturn to build 10,000-room development pipeline for its Premier Inn chain. In results for the year to 4 March today, the company said it was on course to open 29 new Premier Inns this year comprising over 2,500 rooms, an increase of 6%, and was targeting the creation of an extra 55,000 rooms, a 32% increase, in the UK by the end of 2014-15. The group also outlined plans to open an extra 250 Costa coffee houses this year, a 16% increase. It said it would target an 88% increase to 3,000 stores by 2014-15, maintaining market leadership in the UK and building five overseas businesses in China, India, Russia, the Middle East and Central Europe. In its financial results Whitbread revealed profit before tax of £239.1m, up 6.6%, on the back of a 7.5% growth in total revenue to £1.435bn. Year-end net debt reduced by £109.7m to £513.4m, versus £623.1m last year. Chief executive Alan Parker, said: “Whitbread has performed strongly in the most challenging hotel and restaurant trading conditions for a generation. “Underlying profits have been increased by virtue of outperforming our markets and improving operating efficiency. “We have achieved a significant reduction in net debt while, at the same time, increasing the number of new sites acquired for our future development.”
Whitbread has taken advantage of reduced property prices during the downturn to build 10,000-room development pipeline for its Premier Inn chain.
In results for the year to 4 March today, the company said it was on course to open 29 new Premier Inns this year comprising over 2,500 rooms, an increase of 6%, and was targeting the creation of an extra 55,000 rooms, a 32% increase, in the UK by the end of 2014-15.
The group also outlined plans to open an extra 250 Costa coffee houses this year, a 16% increase.
It said it would target an 88% increase to 3,000 stores by 2014-15, maintaining market leadership in the UK and building five overseas businesses in China, India, Russia, the Middle East and Central Europe.
In its financial results Whitbread revealed profit before tax of £239.1m, up 6.6%, on the back of a 7.5% growth in total revenue to £1.435bn.
Year-end net debt reduced by £109.7m to £513.4m, versus £623.1m last year.
Chief executive Alan Parker, said: “Whitbread has performed strongly in the most challenging hotel and restaurant trading conditions for a generation.
“Underlying profits have been increased by virtue of outperforming our markets and improving operating efficiency.
“We have achieved a significant reduction in net debt while, at the same time, increasing the number of new sites acquired for our future development.”
patrick.clift@estatesgazette.com
