Whitbread reports H1 revenue growth driven by Premier Inn

Whitbread, the parent company of Premier Inn, reported its first-half results, showing a 2% increase in group revenue to £1.572 billion and a 1% rise in EBITDAR to £608 million. Adjusted profit before tax reached £287 million, down from £316 million the previous year, due to transition costs from the company’s ‘Accelerating Growth Plan’, cost inflation, and investments in Germany.

In the United Kingdom, accommodation sales grew by 3%, supported by an 81% occupancy rate and a 2% increase in average room rates. The company noted that its revenue per available room (RevPAR) outperformed the wider midscale and economy market for the fifth consecutive quarter. While UK food-and-beverage sales declined due to the planned closure and disposal of certain branded restaurants, the company reported £39 million in efficiencies related to its transformation plan.

Operations in Germany saw significant growth, with accommodation sales rising 19% in local currency, aided by approximately 1,800 new room openings. Whitbread remains on track to deliver a second consecutive year of profitability in the German market. The board declared an unchanged interim dividend of 36.4 pence per share.