Millenium and Copthorn maintains its 2014 full year dividend

DividendMax Ltd.

Millenium and Copthorn maintains its 2014 full year dividend

Profit before tax excluding Glyndebourne increased by 17.3% to £183m (2013: £156m) at reported rates. This included net revaluation gains of £27m (2013: £19m) and no impairment losses for the year (2013: £21m).

Group RevPAR increased by 2.8% to £71.55 (2013: £69.58) and by 6.9% in constant currency (2013: £66.95). Average room rate in constant currency increased by 4.2% and occupancy rose by 1.9 percentage points.

The United States was the strongest performing region with RevPAR growth exceeding 13.0% in constant currency. Excluding the impact of the 2014 acquired Novotel Times Square New York and the closure of Millennium Hotel St Louis, US RevPAR increased 4.9%. RevPAR increased in all operating segments, except Singapore.

Total revenue of £826m is £238m lower than 2013 (£1,064m), principally due to recognition of Glyndebourne revenue in 2013.

Total revenue excluding Glyndebourne was £820m - an increase of 3.8% compared to 2013 (£790m). Hotel revenue increased by 2.6% to £750m (2013: £731m), driven mainly by acquisitions and positive results from recently refurbished hotels.

Hotel operating margins increased to 36.0% (2013: 35.0%) reflecting good cost control and the impact of acquisitions.

The Board recommends a final ordinary dividend of 11.51p per share, giving a total ordinary dividend for the year of 13.59p per share. There is no special dividend. In 2013 a special dividend of 9.15p pence per share was paid which reflected the profit from the Glyndebourne sale.

Commenting today Mr Kwek Leng Beng, Chairman said:

"The Group continues to build strong foundations for further growth through a carefully executed asset management strategy. Results from this in 2014 included the completion of the guest room refurbishment at the Grand Hyatt Taipei, the acquisition of new properties in London, New York and Rome, as well as the opening of a newly constructed hotel in Tokyo's Ginza district. Our results in 2013 were boosted significantly by the recognition of revenue and profit on the Glyndebourne development. Our hotel trading results were positive, despite revenue and profit being adversely affected by the strength of the pound sterling, especially during the earlier part of the financial year. On behalf of the Board, I would like to thank the Group CEO, Wong Hong Ren, who will be leaving this role at the end of February and to welcome his successor, Aloysius Lee."

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