Announcement
The following announcement was issued today to a Regulatory
Information Service approved by the Financial Conduct Authority in
the United Kingdom.
MANDARIN ORIENTAL INTERNATIONAL LIMITED
Interim Management Statement
23rd May 2024 - Mandarin Oriental
International Limited today issues its Interim Management Statement
for the first quarter of 2024.
In March 2024, the Group completed a
comprehensive review and refresh of its strategy to deliver its
objective of being a brand-led, guest-centric, global luxury
hospitality business which generates strong returns for hotel
owners and partners and creates value for shareholders. The
main pillars of the strategy are to:
·
continue to elevate Mandarin Oriental to a
distinct high-end luxury brand;
·
accelerate the expansion of the Management
Business globally; and
·
consistently innovate to deliver brand-defining
experiences to customers.
We are now moving forward to execute
against those pillars and objectives.
On the development front, earlier
this year, the Group completed the rebranding of Mandarin Oriental
Al Faisaliah, Riyadh, our debut hotel in Saudi Arabia, and opened
Mandarin Oriental Residences, Fifth Avenue in New York. The
Group expects to open three more new hotels during 2024: Mandarin
Oriental, Muscat, Mandarin Oriental Mayfair, London, and Mandarin
Oriental Qianmen, Beijing. In May, the Group announced a new
management contract for a luxury hotel in Rome, scheduled to open
in 2026. In April, the Group completed the sale of the hotel
property of Mandarin Oriental, Paris, while retaining a long-term
management contract.
Revenue per Available Room
('RevPAR') improved further as a result of strong performance
across all regions in the first quarter of 2024. Hotels in
Asia delivered notable growth compared to the same period last
year, driven by the recovery of Chinese mainland outbound tourism
and the return of international travellers to China. In
Europe, the Middle East and Africa, hotels maintained high levels
of average rates, bolstered by sustained leisure demand in the
region and the Group's attractive portfolio of hotels in appealing
destinations. In America, RevPAR increased over the same
quarter last year, primarily due to an increase in occupancy from
corporate business.
The Group recorded a small
underlying profit in the first quarter, in line with expectations.
The Management Business generated solid fee income from
hotels and the sale of branded residences. Owned Hotels in
Asia, particularly Singapore and Tokyo, recorded commendable
improvements in earnings compared to the first quarter of last
year, partially offset by lower contributions from Europe and
America.
Consolidated net debt slightly
increased from US$225 million at 31st December 2023 to US$254
million at 31st March 2024, mainly due to investment in One
Causeway Bay, the Group's mixed-use commercial redevelopment in
Hong Kong - and ahead of funds received in April from the hotel
property sale in Paris. The Group's liquidity position remains
robust, with US$320 million in available committed debt facilities
and US$154 million in cash reserves. Gearing was 6% of
adjusted shareholders' funds at 31st March 2024.
Mandarin Oriental International
Limited is incorporated in Bermuda and has a primary listing in the
standard segment of the London Stock Exchange, with secondary
listings in Bermuda and Singapore. Mandarin Oriental is a
member of the Jardine Matheson Group.
- end
-
For further information, please
contact:
Mandarin Oriental Hotel Group
International Limited
Max Fleming
Director of Corporate
Finance
(852) 2895 9171
Chris Orlikowski
Director of Global
Communications
(44) 791 7280 210
Brunswick Group Limited
William
Brocklehurst
(852) 5685 9881
This and other Group announcements
can be accessed online at 'www.mandarinoriental.com'.