Third quarter same store revenue per available room (“RevPAR”) up 13% over prior-year quarter on a constant currency basis, exceeding guidance range of 5% to 9%
Belmond Ltd. Reports Third Quarter 2015 Results
Third quarter same store revenue per available room (“RevPAR”) up 13% over prior-year quarter on a constant currency basis, exceeding guidance range of 5% to 9%
- Third quarter total revenue up $13.7 million or 8% over prior-year quarter on a constant currency basis
- Third quarter total adjusted EBITDA up $8.1 million or 19% over prior-year quarter on a constant currency basis
- Appointed seasoned hospitality executive and board member Roeland Vos president and chief executive officer in September 2015
- Announced the appointment of Philippe Cassis to executive vice president, chief operating officer in August 2015
- Announced the appointment of Lord Livingston to the Company's board of directors in October 2015
Belmond Ltd. (NYSE:BEL) (the “Company”), owners, part-owners or managers of 46 luxury hotel, restaurant, tourist train and river cruise properties operating in 23 countries, today announced its results for the third quarter ended September 30, 2015.
Total revenue for the third quarter of 2015 was $173.7 million, down $14.1 million or 8% from $187.8 million for the third quarter of 2014 largely due to year-over-year currency depreciation. In constant currency, total revenue for the third quarter of 2015 increased $13.7 million or 8% over the third quarter of 2014.
Total hotels revenue for the third quarter was $145.5 million, a decrease of $13.2 million or 8% from $158.7 million for the third quarter of 2014 largely due to year-over-year currency depreciation. In constant currency, total hotels revenue for the third quarter of 2015 increased $13.1 million or 10% over the prior-year quarter primarily due to revenue growth of $11.8 million or 15% at the Company's European hotels.
Same store RevPAR for owned hotels for the third quarter of 2015 increased 13% over the prior-year quarter on a constant currency basis as a result of a 7% increase in average daily rate ("ADR") and a 3 percentage point increase in occupancy.
Total adjusted EBITDA for the third quarter of 2015 was $51.9 million, a $1.6 million or 3% decrease from total adjusted EBITDA of $53.5 million for the third quarter of 2014 largely due to year-over-year currency depreciation. In constant currency, total adjusted EBITDA for the third quarter of 2015 increased $8.1 million or 19% primarily as a result of year-over-year adjusted EBITDA growth of $7.2 million or 21% at the Company's European hotels and $1.6 million or 26% for the Company's PeruRail joint venture.
Adjusted net earnings from continuing operations for the third quarter of 2015 were $14.6 million ($0.14 per common share), a $2.4 million or 14% decrease from $17.0 million ($0.16 per common share) for the third quarter of 2014.
Roeland Vos, president and chief executive officer, remarked: “I am honored by my recent appointment as Belmond's CEO and am excited by the opportunities I see for this Company. I firmly believe we have a solid strategy and that we have the foundation in place to accelerate the pace of growth on that strategy. At the same time, we will remain steadfastly focused on our near-term performance. Our 2015 results reflect that continued focus and illustrate the benefit of this year's revenue-generation efforts, including U.S. sales and marketing efforts to drive incremental outbound demand to Europe. In the second quarter, we saw a meaningful year-over-year increase in constant currency results largely driven by the performance of our European hotels, and that momentum continued into the second half of the year. For the third quarter, on a constant currency basis, same store RevPAR for our European hotels increased 19% largely as a result of an 8 percentage point increase in occupancy. This growth from our European hotels helped drive overall growth for the third quarter, with total same store RevPAR up 13% and adjusted EBITDA up 19%, both in constant currency and as compared to the third quarter of 2014.
"Looking at the remainder of 2015, we expect that the strong constant currency performance we experienced for the first nine months of the year will continue through the fourth quarter. As a result of exceeding our third quarter guidance, coupled with stronger growth expectations for our fourth quarter of 2015, we have again increased our full year 2015 guidance. Our same store, constant currency RevPAR guidance for the full year is now for growth of between 8% and 12%."
