Group RevPAR for 2015 increased by 0.6% to £71.98 (2014: £71.55). In constant currency, RevPAR decreased by 1.3%. For the fourth quarter of 2015, RevPAR in constant currency fell by 4.1%.
The main contributor to the reduction of 1.3% in RevPAR was the performance of the Group's Asian hotels, where RevPAR fell by 9.0% across Singapore and Rest of Asia combined. London and New York also saw RevPAR declines during 2015, due mainly to the impact of refurbishments at Millennium Bailey's Hotel London and ONE UN New York respectively.
Revenue for 2015 increased by 2.5% to £847m (2014: £826m) reflecting contributions from hotel acquisitions and the opening of Millennium Mitsui Garden Hotel Tokyo in December 2014, together with favourable foreign exchange movements.
As previously announced, the Group has recognised a net charge of £43m against pre-tax profits in 2015. This net charge includes £76m of impairment losses relating primarily to four of the Group's properties located in New York, Rest of Europe and Rest of Asia; offset by net revaluation gains of £33m on its investment properties.
Profit before tax for the year fell by 42.0% to £109m (2014: £188m). Excluding revaluation gains and impairment losses, pre-tax profit decreased by 5.6% to £152m (2014: £161m).
In the first 31 days of trading in 2016 Group RevPAR decreased by 5.9%, with Europe down by 10.1%, the US down by 10.9% and Asia down by 3.6%. RevPAR for Australasia increased by 20.7%.
The Board recommend a final ordinary dividend of 4.34p per share, giving a total ordinary dividend for the year of 6.42p per share. (down 52.8%)
Dividends
The Board recommends a final ordinary dividend of 4.34p per share (2014: 11.51p) taking into account the Group's current cash position and future capital expenditure requirements. Together with the interim ordinary dividend of 2.08p per share (2014: 2.08p), the total ordinary dividend for 2015 is 6.42p per share (2014: 13.59p) representing a cover of approximately 3 times which is in line with the Group's dividend policy.
Subject to approval by shareholders at the Annual General Meeting to be held on 5 May 2016, the final dividend will be paid on 13 May 2016 to shareholders on the register on 18 March 2016.
