11
Results and Evolution 2013
A moderate rise in the Company’s ratios was observed in 2013. It increased gradually over the year
reaching, in comparable terms, an average occupancy rate of 66.8%, an average price of
€
76.6
and a
resulting RevPar of
€
51.2.
This positive trend continued during the first quarter of 2014. Also, there
was amarked shift inRevPar trends. This indicator decreased 1.5% in the first quarter and 0.3% in the
second quarter, but regained its strength in the third and fourth quarters, increasing 1.8% and 2.7%,
respectively. As a result, the Group’s consolidated RevPaR registered an overall growth of 1.07% over
the year as a whole.
In 2013 satisfactory occupancy trends, which grew 3.4%, more than compensated the total drop in
average room rates, leading to the growth in RevPar.
Total recurring revenue (
€
1,280
M in 2013) declined only slightly (-2.2%), as opposed to the previous
year, mainly as a result of the deconsolidation of non-core hotels (over 1,500 rooms in the year as a
whole) and changes in the regime under which other hotels were operated, causing the deconsolidation
of their results.
The ability to generate continued earnings was reflected in the initiatives undertaken to cut lease
expenses, which decreased significantly in 2013 (-4.8% at comparable hotels), and to contain
operating expenses, despite the growth in business volumes and the effect of inflation absorption.
The adjustments made throughout the year contributed notably to the reduction in costs sustained
in the fourth quarter, as evidenced by the significant growth of the comparable EBITDA in the hotel
business.
The initiatives undertaken helped make up for a large part of the decrease in sales and increased
recurring EBITDA. This metric gradually improved quarter after quarter, recording a 2.9% growth
over the year as a whole, reaching
€
121.6
M.
Furthermore, the Group’s consolidated net results improved by
+
86.4%,
compared to those of the
previous year, and accumulated losses from the previous FY decreased by
€
252.3
M. This decrease
resulted from the net gains generated by non-recurring activities and the fact that no extraordinary
provision of resources was needed for asset impairment. In this sense, and excluding non-recurring
activities, the Company reduced its losses by
€
22.8
M, as opposed to 2012.
Simultaneously, the strengthening of the financial structure started during the second quarter of
2013,
as did debt reduction, owing to HNA Group’s equity injection (
€
234
M) and the sale of NH
Grand Hotel Krasnapolsky (
€
142
M) in June. This hotel remains within the Group’s portfolio under
a management contract.
Results fromthehotel
activity LFL (like for like)
in 2013
Revenue
-0.3%
Operating
expenses
0.2%
Leases and
ownership
rates
-4.8%
EBITDA
7.5%
-4.8%
3.5%
-1.5%
-3.7%
3.4%
-0.3% -0.2%
1.9% 1.8%
-0.4%
3.2%
2.7%
1
Q
2
Q
3
Q
4
Q
Average rate
Occupancy
RevPar
Evolutionof thehotel activity LFL
(
like for like) ratios in 2013
NHHOTEL GROUP
-
Results and Evolution 2013
