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Whitbread PLC on Thursday reported a jump in quarterly revenue amid strong demand from both leisure and business travellers in the UK. The Bedfordshire, England hotel company, which owns hotel chain Premier Inn, said revenue in the first three months of the year ending March 31, 2024 rose 19% annually. This was attributed to solid trading momentum in both the UK and Germany. UK sales grew by 16%, with Whitbread noting strong consumer demand and the opening of 248 new rooms across its facilities in the UK and Ireland. It hailed ‘strong demand from both business and leisure guests across the regions and London’. Meanwhile, in Germany, sales more than doubled as a recovery in market demand continued during the period. Looking ahead, Whitbread said trading momentum has continued into the second quarter, and it expects to open a total of 1,500 to 2,000 new rooms by the end of the financial year. The company remain confident in the full year outlook and said forward booked revenue in the UK is ‘well ahead of last year’. Whitbread also said it has extended its existing £775 million revolving credit facility with Santander, Barclays, NatWest and Bank of China until May 2028. The facility was originally signed in June last year, and has two one-year extension options. The multi-currency facility has variable interest rates, with a sterling portion linked to Sonia and the euro denominated borrowings linked to Euribor. Chief Executive Officer Dominic Paul said: ‘Our business is in great shape and trading well. Given the lack of branded supply growth and permanent decline in the independent sector, I am confident that our business model will continue to deliver as we strengthen Premier Inn’s position in the UK, unlock our potential in Germany and maximise long-term returns for our shareholders.’ Whitbread’s interim results will be announced on October 18. Shares in Whitbread were down 1.3% at 3,346.60 pence each in London on Thursday morning. Copyright 2023 Alliance News Ltd. All Rights Reserved.
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