Intercontinental Hotels Group PLC (LSE:IHG) reported an acceleration in revenue growth in the past quarter, as improvement in North America helped offset worsening declines in China.
The owner of the Holiday Inn, Crowne Plaza, and Kimpton hotel chains grew revenue per available room (RevPAR) by 3.0% in the first half of 2024, with 3.2% growth in the second quarter improving from a 2.6% reduction in the first.
The Americas grew by 3.3% in the second quarter after a 0.3% decline in the first, although US growth is lagging behind the rest of the continent. Europe, the Middle East, Africa, and Asia softened to 6.3% from 8.9%, while China reversed to a 7% decline after growth of 2.5% in the first quarter.
Total revenue was up 7% to $1.1 billion as the group opened roughly 126 new hotels, taking its global estate to 6,430.
Operating profit climbed 12% to $535 million, although reported pre-tax profit fell 17% to $472 million.
The interim dividend was hiked 10% to 53.2¢, and the previously declared $800 million share buyback programme for 2024 was said to be 47% completed as of 30 June.
Chief executive Elie Maalouf, a year into the job, said IHG was “making great progress” on new strategic priorities set out in February.