The first quarter of 2024 once again demonstrates the strength of hotel demand in all Accor Group regions and segments.

Operating performance indicators (RevPAR and portfolio growth) are all trending positively, and the Group has continued to manage its balance sheet in line with its commitments.

Sébastien Bazin, Chairman and CEO of Accor, said:

"In this first quarter, marked by the Group's return in CAC 40, Accor once again delivered a solid performance, increasing revenue in all regions, notably in the Middle East and Asia-Pacific. Our network growth also accelerated, reflecting the attractiveness of our brands and the trust of our owners. By continuing to combine high standards with operational flexibility, quality of execution and financial discipline, we are confident in our ability to pursue a growth path that is in line with the objectives we have set for ourselves."

In the first quarter of 2024, Accor opened 53 hotels corresponding to over more than 8,000 rooms, representing a net unit growth of 3.1% over the last 12 months. At the end of March 2024, the Group had a hotel network of 825,313 rooms (5,613 hotels) and a pipeline of 224,000 rooms (1,297 hotels).

First-quarter 2024 RevPAR

The Premium, Midscale & Economy (PM&E) division posted an 8% increase in RevPAR compared with the first quarter of 2023, still more driven by rates than by occupancy rates.

The Europe North Africa (ENA) region reported a 5% increase in RevPAR compared with the first quarter of 2023.

In France, which represents 44% of the region’s room revenue, the Paris region and the provinces posted comparable RevPAR growth. RevPAR growth in March was particularly strong, benefiting from a higher number of events than in March 2023, and the absence of a major strike compared to the same period last year.

The United Kingdom, 13% of the region’s room revenue, posted RevPAR growth comparable to France, with an even balance between London and the provinces.

In Germany, 13% of the region’s room revenue, RevPAR growth was stronger than in France and the UK. This change reflects a steady improvement, and benefits from a more favorable base effect, as the activity recovery in the country was delayed as compared to the rest of Europe.

The Middle East, Africa and Asia-Pacific region reported a 12% increase in RevPAR compared with the first quarter of 2023.

The Middle East Africa region, 26% of room revenue in the region, continued to post solid RevPAR growth, driven by rates and benefiting in particular, in Saudi Arabia, from the Ramadan calendar, most of which was held in the first quarter of 2024.

South-East Asia, 30% of room revenue in the region, also reported strong RevPAR growth, driven in particular by Singapore and Thailand.

The Pacific, 27% of room revenue in the region, continued the trend observed in the fourth quarter of 2023, with RevPAR growth driven primarily by higher occupancy rates.

In China, 18% of hotel room revenue in the region, business continued to recover, albeit at a measured pace.

The Americas region, which mainly reflects the performance of Brazil (65% of room revenue for the region), posted a 4% increase in RevPAR compared with the first quarter of 2023. The activity, which had exceeded the occupancy recorded prior to Covid, posted a slight decline in demand. Nevertheless, this slight decline in occupancy was more than offset by higher average rates.

The Luxury & Lifestyle (L&L) division reported a 7% increase in RevPAR compared with the first quarter of 2023, mainly driven by higher occupancy.

The Luxury segment, 77% of the division's room revenue, posted a 6% increase in RevPAR compared with the first quarter of 2023. Being more exposed to North America than the other segments, Luxury RevPAR growth is slightly more modest, reflecting a more mature market.

The Lifestyle segment reported solid RevPAR growth of 10% compared with the first quarter of 2023. This was driven by improved occupancy at resorts in Turkey, Egypt and the United Arab Emirates.

Group revenue

For the first quarter of 2024, the Group reported revenue of €1,236 million, up 8% on a like-for-like basis (LFL) compared with the first quarter 2023. This increase breaks down into a 6% growth for the Premium, Midscale and Economy division and a 12% growth for the Luxury & Lifestyle division.

Scope effects, mainly linked to the acquisition of Potel & Chabot (in October 2023) in the Luxury & Lifestyle division (Hotel Assets and Other segment), positively contributed for €38 million.

Currency effects had a negative impact of €37 million, mainly due to the Australian dollar (-5%) and the Turkish lira (-40%).