Premier Inn’s 9.2% 2010 RevPAR gain boosts Whitbread

LEAGRAVE, ENGLAND Whitbread PLC expects strong year-end numbers, driven by a stronger-than-expected 2010 from budget hotel brand Premier Inn.

The hotel chain has seen sales grow 9.6% on a like-for-like basis year to date, while occupancy rates are expected to be 77%, up from 70.2% last year. Premier Inn’s RevPAR has improved 9.2% this year to £43.70.

“The positive momentum in our business gives us confidence that despite an uncertain outlook for consumer spending, the out-turn for the full year will be in line with market expectations for strong profit growth,” says Whitbread CEO Andy Harrison.

Whitbread remains on target to meet its goal of 55,000 Premier Inn guestrooms in the UK by 2014. The company has opened 26 new hotels this year, bringing the Premier Inn portfolio to 590 properties. However, Harrison says the company is proceeding “more cautiously” with expansion plans beyond the UK.