- International hospitality real estate company PPHE Hotel Group saw half-year revenue and earnings increase on the back of 'solid' operating performance from its UK hotel portfolio and said it still expected full-year performance to be in line with expectations.

On a like-for-like basis, total revenue increased by 6.3% to £155.2m while earnings (Ebitda) climbed 5.7% to £43.1m for the six months to 30 June 2019.

The company said performance was boosted by good growth in occupancy and average room rate and as London and the Netherlands continued to trade well, even as Croatia experienced competitive market conditions.

Trading since 30 June 2019 had been in line with expectations, the company said, noting that the second half was usually stronger in all of its markets.

Following a recent independent valuation of the portfolio, the company said its total group assets now amounted to £1.7bn which translated to an EPRA NAV of £25.52 per share as at 30 June 2019, reflecting a 3.9% increase since 31 December 2018.

'We remain committed to delivering future growth. Our current pipeline is strong, and the group expects to spend approximately £300 million on exciting developments such as art'otel london hoxton. We also remain open to asset acquisitions to broaden our portfolio and deliver our target returns on investment,' said president and CEO Boris Ivesha.

The company said it would pay an interim ordinary dividend of 17p per share, up 6.3% from last year and in line with the company's progressive dividend policy.

At 8:40am: [LON:PPH] PPHE Hotel Group share price was -35p at 1705p

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