Intercontinental Hotels increases 2013 full year dividend by 9%

DividendMax Ltd.

Intercontinental Hotels increases 2013 full year dividend by 9%

 

Financial summary

2013

2012

 

% Change YoY

Actual

CER

Underlying

Revenue

$1,903m

$1,835m

4%

4%

4%

Fee revenue

$1,176m

$1,135m

4%

4%

-

Operating profit

$668m

$605m

10%

10%

8%

Adjusted basic EPS

158.3¢

139.0¢

14%

-

-

Basic EPS

140.9¢

187.1¢

(25)%

-

-

Total dividend per share

70.0¢

64.0¢

9%

-

-

Net debt

$1,153m

$1,074m

-

-

-

 

Richard Solomons, Chief Executive of InterContinental Hotels Group PLC, said:

 

"2013 marked IHG's tenth anniversary as a standalone company, and was another year of strong performance. We delivered good underlying growth in revenues and profits, further reduced the capital intensity of the business and continued to generate high returns.

Over the last 12 months we entered into agreements to dispose of three owned InterContinental hotels, with total gross proceeds of almost $830m. This includes InterContinental Mark Hopkins, San Francisco which we have announced today. At the same time we are continuing to invest behind our award-winning brands and technology platforms to meet changing consumer behaviours and sustain our industry-leading position.

We opened 237 hotels and signed a further 444 hotels into our pipeline, the highest number for five years, thereby reinforcing our already strong brand distribution platform and with it the promise of further high quality growth. 

Our decision to increase our ordinary dividend by 9% reflects our confidence in our proven strategy to deliver high quality growth. Our preferred portfolio of brands, brought to life by talented people and best in class delivery systems, will enable us to continue to drive out-performance in an industry which has compelling long term prospects. Looking into 2014, although economic conditions in some markets remain uncertain, forward bookings data is encouraging and we are confident that we will deliver another year of growth."

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