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IHG profits rise as it disposes of San Francisco hotel

InterContinental Hotels Group has announced pre-tax profits of $600 million for 2013, a 9.7% improvement on the previous year.


The hotel giant also announced the sale of its San Francisco Mark Hopkins property for $120 million, adding to the prior agreements in the past 12 months to dispose of the InterContinental Park Lane and Intercontinental New York Barclay hotels.


Group revenue rose to $1.9 billion for 2013, up from $1.835 billion in 2012, and global RevPAR grew by 3.8% with rates up 1.8% and occupancy up 1.3%.


Richard Solomons, chief executive, said: “2013 marked IHG’s tenth anniversary as a standalone company, and was another year of strong performance.  We delivered good underlying growth in revenues and profits, further reduced the capital intensity of the business and continued to generate high returns.”


He added: “Looking into 2014, although economic conditions in some markets remain uncertain, forward bookings data is encouraging and we are confident that we will deliver another year of growth.”

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