It will be hard until business guests return, warns Intercontinental
InterContinental Hotels, the world's biggest hotelier, warned trading will stay tough until business travellers return in greater numbers, putting pressure on its shares after 2009 profit fell 34 per cent. Annual profit from the group, which operates the InterContinental, Crowne Plaza and Holiday Inn brands, beat forecasts and showed improving trends, but the cautious outlook saw the shares dip.
Chief executive Andrew Cosslett warned that hotel room rates remain under pressure and expects trading will stay difficult until he sees a big return in global business travellers.
"We see a challenging six months, then hopefully we will see some improvement," Mr Cosslett said.
He added the group had seen occupancy levels stabilise, move higher in January and expects a turning point in the second half from the worst downturn the hotel industry has ever seen.