Q1 Trading Update 2024

With thanks to our teams, global RevPAR in the first quarter of 2024 continued to grow, up +2.6%, reflecting the strength of our globally diverse footprint. There was an impressive performance in EMEAA which was up nearly +9%. The Americas, having already recovered very strongly, was broadly flat due to some adverse calendar timing, and Greater China grew by +2.5% and will continue to benefit from returning international inbound travel this year. Global occupancy moved up to 62% and average daily rate increased by a further +2% as pricing remained robust, reflecting the complete return of leisure, business, and group travel.?

We opened more than 6,200 rooms across 46 hotels in the quarter, and signed nearly 18,000 rooms across 129 properties to increase our pipeline +6.6% year-on-year. Compared to the same quarter last year, room openings rose +11% adjusting for Iberostar, and signings grew +7%. ‘Quicker to market’ conversions generated over 35% of openings and signings in the quarter, reflecting the attractiveness of our brands and enterprise platform. In April, we were delighted to announce an agreement with NOVUM Hospitality that will double IHG’s presence in Germany through even more conversions and strengthen our position in a priority market for domestic, inbound and outbound travel. The deal adds up to 119 hotels (17,700 rooms) or +1.9% to our global system over the coming years. This further validates the attraction to hotel owners of joining IHG’s enterprise, and boosts confidence for our net system growth outlook.?

In our separate announcement today, changes to our System Fund arrangements will improve economics for our owners and the continued growth in ancillary fee streams will deliver value through our growth algorithm, consistent with our strategic priorities. The combined power of our platform and efficiency of our operating model will continue to drive IHG forward. We are excited about the future and our ability to capitalise further on our strengths, scale and leading positions, and on the attractive, long-term demand drivers for our markets.?