Accor global first half revenues decline 8.1% like-for-like
Accor announced that consolidated revenues for the first half of 2009 totaled €3,410 million, down 8.1% like-for-like over the first half of 2008. In a severely deteriorated economic environment: prepaid Services revenue grew 5.7% like-for-like, hotels revenue continued to decline, contracting 11.4% like-for-like .
Thailand hotel business remains depressed with occupancies dropping 16.1% like-for-like.
July 28, 2009: Accor announced that consolidated revenues for the first half of 2009 totaled €3,410 million, down 8.1% like-for-like over the first half of 2008. In a severely deteriorated economic environment:
• Prepaid Services revenue grew 5.7% like-for-like
• Hotels revenue continued to decline, contracting 11.4% like-for-like
Accor’s hotel business in Thailand remains depressed and continues to be affected by the slow down of tourist arrivals – a result of the slowing of global economies and its effects on tourism and the demonstrations that damaged tourist confidence earlier in the year.
Occupancies of Accor hotels in Thailand dropped 16.1% like-for-like during the first half of 2009.
Speaking on the first half trading performance, Oswald Pichler – Vice President, Accor Thailand, Cambodia and Laos said “The hotel business in Thailand continues to be affected by the much publicized demonstrations and slowing of global tourism. Whilst the domestic issues have settled, it will be a slow recovery back to the trading conditions of 2008. Accor is working with tourism partners and operators and exploring unique sales activities, which are resulting in incremental revenues for its hotel network, however there remains a distinct lull in long haul business.”
Today Accor operates 41 hotels throughout Thailand and is by far the largest international operator in the country. This hotel network covers the spectrum of accommodation from the economy sector with Accor’s All Seasons and Ibis hotel brands, through to luxury accommodation with Sofitel Luxury Hotels. Accor has announced the development of 9 hotels to open in Thailand and remains committed to these developments.
Oswald Pichler commented on Accor in Thailand “Accor has maintained a consistent presence in Thailand since opening the regional office in Bangkok in 1988. During this time we have seen numerous highs and lows of tourism and remain confident in a return of arrivals in the midterm. The relationships that Accor has built with key representatives of the Thailand travel industry are helping to shield the owners of the hotels that Accor manages, from the full effects of the downturn which has resulted in declines of in arrivals to the country by 22%.”
Pichler went on to say “Tourists to Thailand today are enjoying exceptional value right throughout the country, and air travel to the country has never been more affordable. These factors are stimulating regional traffic to the many leisure destinations in Thailand. It is going to take decisive action by government authorities and tourism associations to coordinate the industry, in stimulating the much needed longer stay (long haul) business. In the mean time, we call on all stakeholders to work cohesively in placing Thailand as a destination back on the itinerary for prospective leisure travelers.”