IHG reports mixed Q1 results as Middle East revenue plunges 50% in April
Intercontinental Hotels Group (IHG) has released its latest financial figures, showing mixed results across different regions. While global revenue per available room climbed by 4.4% in the first quarter, the Middle East saw a sharp decline in April—nearly halving compared to last year. The company, which operates brands like Holiday Inn and Crowne Plaza, reported a 26% drop in revenue per available room in the Middle East in March. This downward trend worsened in April, with a near 50% fall. Despite these losses, IHG’s overall performance remained strong due to high demand in the US, Europe, China, and East Asia.
Analysts had predicted a smaller global increase of 3.3% for the quarter. Instead, IHG outperformed expectations, leading to a 1.5% rise in its share price—up 2.2p to 148.05p. The group’s hotels span key Middle Eastern markets, including Israel, Saudi Arabia, Oman, Qatar, and the UAE. However, the region’s struggles have not overshadowed growth elsewhere.
IHG’s shares have gained value following the report, reflecting confidence in its broader market performance. The company’s ability to balance regional declines with strong demand in other areas has kept its overall revenue on an upward path. The next quarter will show whether this trend continues.
