Accor Hotels: “2005 Results in Line with Objectives”

Sharing its 2005 financial results, Accor has stated that consolidated revenue rose by 7.9 percent to €7,622 million. At constant scope of consolidation and exchange rates, the increase was 4.7 percent.

Profit before tax and non recurring items rose by 17.6 percent to €603 million. The increase reflected the gradual improvement in margins thanks to a more favorable hotel cycle, and efficient management of holding costs. Net profit, Group share rose by 42.9 percent to €333 million in 2005, stated the company.

At the Annual Meeting on May 10, 2006, Accor shareholders will be asked to approve an ordinary dividend of €1.15 per share, payable on May 17.

Accor stated: “Anticipating changes in global demand, Accor plans to open more than 200,000 new rooms by 2010, mainly in Economy and Budget hotels (50 percent). The openings will be in mature countries (33 percent) and in emerging markets (67 percent).

Overall, 70 percent of the openings will involve low capital-intensive solutions (management or franchise contracts), while 30 percent will be either owned or leased properties.”

“Our 2005 results are in line with our objectives,” said chief executive officer Gilles Pélisson. “Moreover, with a much stronger financial position, we can envision an ambitious development program particularly in emerging countries to become the global leader in the economy and mid-scale segments.”