Focus Hotels Management Ltd is in a strong position to support struggling hoteliers on the post-lockdown road to recovery after reporting a positive first quarter for 2022.
Despite the impact of Omicron, and the recent surge in Covid cases, Focus has met its budgeted EBITDA targets for the first quarter.
Occupancy levels are at 90% of those in 2019 – pre-pandemic – and in line with budgeted expectations.
Meanwhile the ADR was ahead of expectations and more than 12% ahead of 2019.
The hospitality industry was one of the sectors hardest hit by the impact of the pandemic, and lockdown restrictions, and there are many more challenges to come.
But Focus says a strong first quarter has put it in the perfect position to be able to help hoteliers on the road to recovery.
Chief Operating Officer Lynn Hood said: “The Q1 results are very important as we prepare to navigate into more challenging trading; with the end of the reduced VAT rate for the hospitality sector; the return of business rates; the headwind costs of energy, food prices and labour costs that we are all now facing.”
“We are in the position to be able to step in to help hoteliers struggling with what is set to be a very challenging time and have a range of flexible services that can help add value to both top line revenue as well as improving profitability.”
“ADR for Q1 certainly benefited from the VAT reduction, as well as the application of excellent revenue management.”
“Food and beverage, and other retail sales – including spa and leisure – were also in line with budget and 2019 levels, which is encouraging.”
“The challenges and time delays of international travel following the difficulties this Easter at airports, may further strengthen the staycation market. This sees Focus hotels concentrating efforts on exceptional customer service in addition to delivering a number of refurbishment projects across the group to help enhance the customer journey and retain market share.”
“We are proud of being considered as leading experts in a turnaround situation, having been formed out of the 2008 banking crisis, leading assets back from the brink to a healthy profit, delivering real tangible benefits to owners and shareholders, and assisting in repositioning assets for onward sale or enhanced future profitability”
ENDS April 2022
Issued on behalf of Focus Hotels by Empica. For further information contact Darren Bane or Martin Powell on (01275) 394400 or email firstname.lastname@example.org