Accor: First Half of 2021 Profitable, Recovery Varied

Accor during the second quarter continued to see sequential monthly key performance indicator improvements, but the recovery “remains heterogeneous,” according to the company’s first-half earnings report. Still, Accor reported a net profit of €67 million for the first half, compared with a loss of €1.51 billion during the same period in 2020.

First-half revenue per available room fell by 60.4 percent compared with the first half of 2019, and 58 percent comparing the second quarter of 2021 with 2019. “This decline masks very mixed situations by country,” according to Accor. “Certain regions experienced a remarkable improvement from the first quarter of the year, while others continued to be hard-hit by government restrictions linked to the Covid-19 health crisis.”

Second-quarter RevPAR improved from the previous quarter in each of Accor’s regions except South Europe. The Asia-Pacific region reported the lowest decline when compared with 2019 at 38.5 percent. Greater China’s Q2 RevPAR was down just 18 percent compared with 2019. U.S. RevPAR declined 62.6 percent during the quarter compared with 2019, but this represents an improvement of more than 10 percentage points from first-quarter results.

Companywide average occupancy for the first half was 33.5 percent, down 35.3 percentage points from 2019 levels. Average daily rate was €70, representing a 17.8 percent decline from the same period two years ago.

During the first half of 2021, Accor opened 121 hotels with about 15,000 rooms for a net system growth of 1.9 percent year over year. As of June 30, Accor had 762,072 rooms and a pipeline of about 211,000 rooms. As of July 26, 93 percent of the company’s hotels were open.

Donna M. Airoldi https://www.businesstravelnews.com/Procurement/Accor-First-Half-of-2021-Profitable-Recovery-Varied