StockMarketWire.com - Accommodation group PPHE Hotel has reported a 60.2% fall in revenue and an EBITDA loss for the first half of the year due to reduced demand and property closures in the second quarter, but said that 84% of its property portfolio has re-opened.

Reported total revenue declined by 60.2% to £61.9m in the six months to 30 June 2020, while occupancy fell to 34.7% compared with 76.8% in the first half of 2019.

The company announced that the average room rate was 7.9% lower at £112 and that, as a result, it recorded an EBITDA loss of £3.3m in the first half of the year, down 107.3%.

PPHE Hotel said that its first-half performance reflected a 'dramatic downturn in activity' in the second quarter, as property closures and reduced capacity led to second quarter total revenue decreasing 88.8%.

In the first half of 2020, it made a normalised pre-tax loss of £44.6m, compared to a pre-tax profit of £5.5m a year earlier, and a reported pre-tax loss of £40.7m, compared to a profit of £4.3m in the first half of 2019.

The group confirmed that 84% of its property portfolio is now open and said it had seen a 'sharp rebound' in performance particularly at weekends in its flagship properties in London and Amsterdam, outperforming the market.

President and chief executive Boris Ivesha said: 'The first half of the year has brought unprecedented challenges unlike anything the hospitality industry has seen before.

'In the face of these difficulties, the group has shown its ability to adapt to the new environment, supported by the high quality of our portfolio, our flexible owner operator model and broad customer appeal.'




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