Results from Intercontinental Hotels Group PLC (LSE:IHG) used to be viewed with trepidation but things are looking up.
The Holiday Inn and Crowne Plaza owner reported a steady recovery in US and Chinese domestic travel in the first half of 2021 and with airlines reporting improving European travel trends over the summer, the positive trends may have continued into the third quarter.
“Smaller hotel chains are likely to have suffered through lockdowns, potentially reducing supply, while cost savings and efficiencies mean future revenues have the potential to be higher-margin,” analysts at Hargreaves Lansdown said.
“Recovery in demand, new hotel openings and improved margins mean these have the potential to be blockbuster results. However, market expectations are correspondingly high, with second-half revenues expected to rise by 73.2% year-on-year to £873mln.”
UK retail sales including petrol for September should be 0.4% lower year-on-year. If petrol is excluded, sales are expected to run 1.6% lower than the year before.
Significant announcements expected
Finals: Virgin Wines UK PLC (AIM:VINO)
Trading announcements: Intercontinental Hotels Group PLC (LSE:IHG), London Stock Exchange Group PLC (LSE:LSEG), Record PLC (LSE:REC)
AGMs: Duke Royalty Ltd (AIM:DUKE) (AIM:DUKE), Fiske plc (AIM:FKE) (AIM:FKE), Superdry PLC (LSE:SDRY) (LSE:SDRY)
Economic data: GFK Consumer Confidence, Retail Sales