Whitbread, the owner of budget hotel chain Premier Inn, has reported steady sales in the UK alongside a surge in its German operations during the latest trading period.
The group’s total UK accommodation sales reached £532.7 million for the third quarter of 2024, aligning with last year’s figures but trailing the “midscale and economy” sector by a narrower gap than many of its competitors.
However, German sales stood out with a 23.1 per cent rise year-on-year to €69.3 million, setting Whitbread on course to achieve profitability in the market during its next financial year. The company also saw momentum continue in the six weeks to 9 January, with UK accommodation sales up 2 per cent and Germany up 37 per cent over the previous year.
Dominic Paul, chief executive of Whitbread, said the group was progressing well against its strategic priorities: “While forward visibility remains limited, the favourable supply backdrop, coupled with our brand strength and commercial initiatives, gives us confidence we can continue to outperform the market.”
Occupancy and rates
• London: Premier Inn recorded an occupancy rate of 83.1 per cent in Q3, down 3.2 percentage points year-on-year, with the average room rate slipping by 2.9 per cent to £112.47.
• UK regions: Occupancy dipped by 0.8 points to 83.9 per cent, and rates fell by 0.9 per cent to £74.43.
• Germany: Occupancy climbed 7.7 points to 73.5 per cent, alongside a 7 per cent increase in the average room rate to €96.89.
Paul noted that Germany’s strong quarterly performance is especially significant given the importance of this trading period, remarking that the results boost Whitbread’s ambitions “to become the country’s number one hotel brand.”