By Elena Vardon
Whitbread, the owner of budget hotel chain Premier Inn, has reaffirmed its guidance for fiscal 2024 following a notable increase in total sales during the third quarter. This growth was primarily fueled by high occupancy rates and strong pricing strategies for its hotels across the United Kingdom.
In the 13-week period ending on November 30, Whitbread experienced an impressive 11% year-on-year growth in sales. Accommodation sales specifically saw a significant rise of 13%, driven by robust demand in both London and regional areas, as well as the expansion of its hotel portfolio in Germany. Additionally, food and beverage sales rose by 7%, contributing to the overall positive performance.
On a like-for-like basis, total sales for the quarter increased by 8%, showcasing sustained growth and customer loyalty.
While Whitbread did not provide specific guidance metrics for the year, analysts’ consensus estimates suggest a total group revenue of £2.99 billion ($3.81 billion) and a pre-tax profit of GBP557 million, reflecting a remarkable 14% year-on-year growth.
Chief Executive Dominic Paul expressed confidence in the company’s future prospects, emphasizing their clear commercial plan, focus on driving cost efficiencies, and positive current trading. Paul further highlighted the structural shift in the U.K. hotel supply, reinforcing his optimism for fiscal 2025.
