Latest news with #AccorInvest
Business Wire
28-04-2025
- Business
- Business Wire
Essendi: A New Identity to Foster Responsible Leadership in European Hospitality
PARIS--(BUSINESS WIRE)-- AccorInvest is changing its name and becoming Essendi. This change completes the transformation initiated in 2020 to make Essendi the European leader in responsible hospitality. This new identity embodies the group's ambition: to actively contribute to a more sustainable and higher-performing hotel industry. Since 2020, Essendi has embarked on an ambitious transformation, aiming to consolidate its leadership in Europe, strengthen its overall performance and integrate ESG criteria at the heart of its strategy. The group has refocused its portfolio on the most profitable assets in Europe, in the economy and mid-range segments, while optimizing the value of its hotels through dynamic asset management. The value of its portfolio was assessed at €7.8 billion as of December 31, 2024. This strategy, combined with a hybrid economic model, combining operational and real estate performance, enabled Essendi to achieve record results in 2024: revenue of €4.0 billion (+3.1% like-for-like vs. 2023) and EBITDA of €656 million (+6.1% like-for-like vs. 2023). Essendi has also strengthened its financial structure by reducing its debt and diversifying its financing, notably through the success of two bond issues in 2024. Its ESG roadmap is ambitious: a 50% reduction in GHG emissions by 2030, carbon neutrality by 2050, 100% of hotels certified Green Key and 80% of the value of its real estate assets certified BREEAM in Use by 2026. Essendi is now adopting a strong identity, faithful to its history, and resolutely focused on the future. An ambition: to promote positive hospitality. A mission: to reveal the potential of each location, serving people and the community. Values inspired by the group's hotel DNA: Care: sincere attention to people. Dare: the audacity to innovate with creativity, commitment and responsibility. Empower: the trust given to teams to act and take initiatives for the benefit of the collective. Gilles Clavié, CEO of Essendi, comments: ' This change of identity completes our transformation and opens a new chapter in our history. The work accomplished by our teams in recent years has paid off: we have strengthened our leadership in Europe, optimized our portfolio, improved our profitability, and consolidated our financial structure. Beyond these performances, we are proud to position ourselves as a pioneer in sustainable hospitality. Essendi is today a solid, agile, and forward-looking group, ready to seize sustainable growth opportunities in the sector and champion the voice of positive hospitality.' ABOUT ESSENDI At Essendi, we do more than operate hotels: we create the dynamics that make them thrive. As a European leader in the economy and midscale segments, we invest and operate with a single ambition: to transform each asset into a sustainable, vibrant, and meaningful place. We combine asset management and operational excellence to unlock the unique potential of every hotel. Present in 24 countries with 20,000 employees, we operate 576 hotels under internationally renowned brands such as ibis, Novotel, and Mercure, etc. Wherever we are, we are committed to fostering positive hospitality, acting for the benefit of our business, our teams, and the world around us.
Yahoo
21-02-2025
- Business
- Yahoo
Accor SA (ACCYY) (Q4 2024) Earnings Call Highlights: Strong Revenue Growth and Strategic Focus
Revenue: EUR5.606 billion, up 11% year-over-year. Recurring EBITDA: EUR1.120 billion, up 12% year-over-year. RevPAR (Revenue per Available Room): Up 5.7% for the full year, with a 5.8% increase in Q4. Net Unit Growth: 3.5%, in line with 3% to 4% guidance. Pipeline Growth: Up 3.8% year-over-year. Recurring Free Cash Flow: EUR614 million, with a 55% cash conversion of EBITDA. Shareholder Return: EUR686 million, equating to a 7.5% yield. Net Profit: EUR610 million for 2024. Earnings Per Share (EPS): EUR2.33, up 5% year-over-year. Net Debt: Approximately EUR2.5 billion at the end of 2024. Luxury and Lifestyle RevPAR Growth: 10% in Q4. Americas RevPAR Growth: 12% in Q4, primarily driven by Brazil. Middle East, Africa, Turkey RevPAR Growth: High single-digit growth in Q4. Dividend Proposal: EUR1.26 per share, 7% higher than 2023. Warning! GuruFocus has detected 6 Warning Signs with EADSF. Release Date: February 20, 2025 For the complete transcript of the earnings call, please refer to the full earnings call transcript. Accor SA (ACCYY) reported a strong financial performance in 2024, with revenue reaching EUR 5.606 billion, up 11% from the previous year. Recurring EBITDA was close to the high end of guidance at EUR 1.120 billion, marking a 12% year-over-year increase. The company achieved a net unit growth of 3.5%, aligning with its guidance of 3% to 4%, and pipeline growth was slightly higher at 3.8%. Accor SA (ACCYY) returned EUR 686 million to shareholders in 2024, equating to a 7.5% yield based on the January 1 market cap. The company is optimistic about international travel recovery, expecting a 3% to 5% growth in 2025, with strong performance in the Middle East and improving conditions in Asia Pacific and China. Geopolitical fragmentation and economic contrasts pose challenges, with varying levels of happiness and economic conditions across regions. Eco-consciousness and climate control are not progressing in the right direction, necessitating more sensitivity to overtourism and climate policies. Occupancy rates are still about 2 points behind 2019 levels, indicating a need for further recovery in some regions. The company faces challenges in accurately assessing the purpose of trips, as business and leisure travel are increasingly combined. Accor SA (ACCYY) anticipates a drop in net unit growth for PME in 2025 due to the exit of some AccorInvest portfolio hotels. Q: Can you provide more details on the AccorInvest disposal process and any interest shown so far? A: Jean-Jacques Morin, Group Deputy CEO, explained that the disposal of AccorInvest is timely due to its strong performance and market recognition. There is significant interest in the unique portfolio, and while the negotiation will be complex, it is expected to attract considerable attention. Q: What are your expectations for 2025 in terms of RevPAR and net unit growth? A: Martine Gerow, CFO, stated that while 2025 won't have an event as large as the Olympics, there is a good pipeline of events. The company expects good momentum in 2025, although not at the same level as 2024. Net unit growth is expected to be higher in 2025 than in 2024. Q: How do you plan to handle the potential impact of climate change on your hotels? A: Sebastien Bazin, CEO, acknowledged the importance of assessing climate change risks. While there isn't a precise list of hotels that could be impacted, the company is aware of geographies with water shortages and fire hazards and has decided to slow down development in those areas. Q: Can you elaborate on the luxury and lifestyle segment's performance and future strategy? A: Martine Gerow, CFO, noted that the luxury and lifestyle segment saw a 12% growth in EBITDA, driven by strong M&F revenue growth. The company is focused on cleaning the existing portfolio and reviving brand standards, with a faster growth expected in the latter part of the 2023-2027 plan. Q: What are the key priorities for Accor over the next three years? A: Sebastien Bazin, CEO, outlined five priorities: operational excellence, faster growth in selected geographies, completing the AccorInvest sale, expanding Ennismore, and grooming talent within the company. These initiatives aim to strengthen Accor's position and ensure sustainable growth. For the complete transcript of the earnings call, please refer to the full earnings call transcript. This article first appeared on GuruFocus.
