Announcement
The
following announcement was issued today to a Regulatory Information
Service approved by the Financial Conduct Authority in the United
Kingdom.
MANDARIN ORIENTAL INTERNATIONAL LIMITED
Interim Management Statement
14 November 2024 - Mandarin Oriental
International Limited today issues its Interim Management Statement
for the third quarter of 2024.
Laurent Kleitman, Group Chief Executive,
said:
"One year after my joining
Mandarin Oriental, I am pleased to see increasing positive momentum
across our business. Our vision to elevate the brand and strategy
to accelerate growth are in place and have been communicated to all
our 15,000 colleagues globally. We are building new capabilities,
new governance and a new culture to drive Exceptional growth and
are focused now on executing and delivering results. We will
measure ourselves in the long term in terms of accelerated growth
from our development pipeline, differentiated innovation and
service, and improved financial performance. The strength of our
Brand will remain the bedrock of future success of our
business."
In the third quarter, Revenue per
Available Room ('RevPAR') increased year on year across all
regions. In Asia, both rates and occupancy were fuelled by strong
intra-regional demand, with Tokyo and South East Asia performing
well. In Europe, the Middle East and Africa, almost all hotels were
able to deliver solid improvements in RevPAR supported by both rate
and occupancy. In America, with rates flat, our hotels delivered
RevPAR growth through increases in occupancy.
With higher RevPARs in the period,
the Management Business generated stronger hotel management fee
income and improved profitability, excluding Residences branding
fees. Owned Hotels, particularly Singapore, Munich, and Madrid,
recorded solid improvements in earnings from last year, partially
offset by the absence of earnings from Paris as a result of the
disposal of that hotel. Overall, the Group's underlying profit in
the quarter was slightly below the prior year due to lower branding
fees.
On the development front, in
September, the Group opened its second property in Beijing -
Mandarin Oriental Qianmen,
Beijing, a one-of-a-kind hutong experience already
delivering some of the highest rates in China. This year, the Group
has made excellent progress in accelerating the growth of its
portfolio with four new hotel and residences management contracts:
a luxurious hideaway with private branded residences on Bali's
southern coast, a unique hotel meticulously restoring the
19th-century charm in the heart of Rome, a resort with branded
residences on Mexico's Riviera Maya on the Yucatan Peninsula
marking the Group's debut in the market, and a standalone
residences project in Abu Dhabi.
Consolidated net debt significantly
decreased from US$225 million as at 31 December 2023 to US$26
million as at 30 September 2024, mainly due to the receipt of sale
proceeds from Paris hotel and retail properties, partially offset
by investment in One Causeway Bay - the Group's mixed-use
commercial redevelopment in Hong Kong. The Group's liquidity
position remains robust, with over US$700 million in available
committed debt facilities and cash reserves. Gearing was 1% of
adjusted shareholders' funds, reduced from 5% at the end of last
year.
Mandarin Oriental Hotel Group is the
award-winning owner and operator of some of the world's most
luxurious hotels, resorts and residences. Having grown from its
Asian roots into a global brand, the Group now operates 41 hotels,
12 residences and 26 exclusive
homes in 26 countries and territories, with each property
reflecting the Group's oriental heritage, local culture and unique
design. Mandarin Oriental has a strong pipeline of hotels and
residences under development.
Mandarin Oriental International
Limited is incorporated in Bermuda and has a primary listing in the
equity shares (transition) category of the London Stock Exchange,
with secondary listings in Bermuda and Singapore. The
activities of the Group's hotels are managed from Hong Kong.
Mandarin Oriental is a member of the Jardine Matheson
Group.
- end
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For further information, please
contact:
Max Fleming (Director of Corporate
Finance)
(852) 2895 9171
Chris Orlikowski (Director of Global
Communications)
(44) 791 7280 210
William Brocklehurst (Brunswick Group
Limited)
(852) 5685 9881
This and other Group announcements
can be accessed online at 'www.mandarinoriental.com'.