Hilton Group PLC
20 May 2005
20 May 2005
Trading Update for the Four Months ended 30 April 2005
Group profit* for the first four months of the year was 4% down on last year's
record high, reflecting tough trading comparatives in Betting and Gaming.
Trading in the Hotel division continues to improve and the planned disposal of
£300m to £400m of hotel assets is ongoing. Net debt** at 30 April 2005 was
£748m (30 April 2004 £1,035m).
Betting and Gaming Division
Total gross win for Ladbrokes was in line with last year as the effect of
stronger turnover was offset by lower margins. Costs increased by 8.1%.
UK Retail gross win fell by 1% due mainly to weak horseracing margins,
particularly by reference to the prior year. The contribution from machines
grew strongly with 7,522 Fixed Odds Betting Terminals (FOBTs) and Amusement with
Prizes (AWPs) now deployed across the estate. Our betting shop refurbishment
and acquisition programme continues. A total of 33 shops have been acquired to
date and more are expected shortly.
Telephone betting gross win reduced by 8% despite a high contribution from high
rollers.
eGaming gross win increased by 23%.
Hotels Division
Trading conditions in the hotel division have remained positive with good
occupancy led revpar growth in all regions except the UK Provinces.
Importantly, Scandinavian revpar continues to be strong.
The refurbishment of the Hilton Sydney is finally complete and is due to open 15
July 2005.
Revpar increase/(decrease) - 2005 vs. 2004##
January February March/April### YTD
London 2.6% 6.3% 4.1% 4.3%
UK Provinces (2.5)% 0.6% 0.4% (0.3)%
Total UK 0.4% 3.7% 2.7% 2.4%
Europe & Africa 12.4% 11.6% 8.9% 10.3%
Middle East 30.3% 3.0% 20.3% 19.2%
Asia Pacific 15.9% 6.3% 11.6% 11.4%
Middle East & Asia Pacific 23.7% 4.6% 14.9% 14.8%
Americas 17.2% 10.7% 15.8% 14.7%
Total Hilton brand 12.9% 7.2% 8.8% 9.4%
Scandic brand 10.8% 9.7% 7.9% 8.9%
Total Hotels 12.8% 7.9% 8.9% 9.6%
## Like for like, constant exchange rates
### March/ April combined due to timing of Easter
Revpar increase/(decrease) - 2005 vs. 2004##
January to April
Owned & fixed lease 6.4%
Contingent lease 8.1%
Management contracts 14.4%
## Like for like, constant exchange rates
Outlook
The Hotel division is expected to benefit from continuing revpar improvement
during the remainder of the year. For Betting and Gaming, after a challenging
start to the year, an expectation of improving margins should lead to good
growth in the second half.
* Before taxation, exceptional items and excluding the impact of IAS 32 & 39.
** Excluding the impact of IAS 32 & 39.
Enquiries to:
David Michels, Group Chief Executive
Brian Wallace, Deputy Group Chief Executive and Finance Director
Alex Pagett, Group Corporate Affairs Director (mobile +44 (0)7974 229888)
James Mason, Head of Investor Relations (mobile +44 (0)7974 229462)
Telephone: +44 (0)20 7856 8109
A conference call for analysts and investors will take place at 8am (UK time)
today. To participate in the conference call dial +44 (0) 207 162 0125 and ask
for the Hilton Group Trading Update. A recording of the conference call will be
available until 31 May 2005 and can be accessed by dialling +44 (0) 207 031 4064
and quoting the pass code 661008.
HIGH RESOLUTION IMAGES ARE AVAILABLE TO DOWNLOAD FREE OF CHARGE ON
WWW.VISMEDIA.CO.UK. THIS INCLUDES PROFILE SHOTS OF THE GROUP BOARD.
FOR FURTHER INFORMATION ON HILTON GROUP, PLEASE VISIT OUR CORPORATE WEBSITE, AT:
WWW.HILTONGROUP.COM.
This information is provided by RNS
The company news service from the London Stock Exchange
|
