LONDON (Alliance News) - Peel Hotels PLC Thursday reported higher pretax profit and revenue for the first half of its financial year, driven by an increase in both occupancy and revenue per room.
The UK hotel operator posted pretax profit of GBP555,419 for the 28 weeks to August 17, up from GBP202,136 the prior year, buoyed by a 4% increase in revenue to GBP8.6 million, up from GBP8.3 million in the first half of the year before.
It said revenue per available room increased 8.3%, with occupancy up 8.8% and the average room rate down 0.5%.
"There is no reason to expect this trend not to continue, and therefore shareholders can expect, after several years of disappointing results, a relative improvement in the fortunes of their company," said Chairman Robert Peel in a statement.
The group spent GBP284,021 in capital expenditure during the first-half, on room and hotel refurbishments.
"We continue to improve the fabric of our product and plan to spend over GBP500,000 in the current financial year on capital expenditures," said Peel.
Peel Hotels shares were trading 3.1% higher mid-morning Thursday at 84.00 pence.
By Rowena Harris-Doughty; rowenaharrisdoughty@alliancenews.com; @rharrisdoughty
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