- Hostel owner Safestay said it boosted its annual operating earnings by 11%, owing to higher bed rates and occupancy levels.

Adjusted earnings before interest, tax, depreciation and amortisation for the year through December were seen rising to £3.8k, up from £3.4m on-year, the company said in a trading update.

Revenue jumped by a quarter to £18.3m, with like-for-like revenue up 7%.

The company achieved a 5% rise in its average bed rate to £21.30 and an occupancy level of 77.3%, up from 75.6%.

Looking to the current year, Safestay its performance in January and forward bookings for the first quarter were 'very encouraging'.

'Trading in 2019 was good, all key indicators were strongly positive, in particular the organic growth performance, and critically we have yet to really benefit from the recent acquisitions agreed towards the end of the year,' chairman Larry Lipman.

'Safestay is therefore well placed to grow substantially in 2020 and take advantage of the increasing popularity of the modern hostel sector.'

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