• New CEO-elect Elie Maalouf will be an internal replacement
• 8,000 rooms across 45 hotels opened in the first quarter
• Benefitting from China reopening

Shares in InterContinental Hotels (IHG) were down over 2% to £53.96 as news emerged that chief executive Keith Barr is to step down from his role and retire after spending more than 30 years with the business. 

‘I'm excited for what lies ahead for InterContinental and having worked so closely together, to see Elie lead the business and build on all he has achieved in the Americas’, said Barr, who plans to spend more time with his family and return to the US.

The Elie referred to is Elie Maalouf, the current CEO of the company's Americas business segment. He will officially take the top job on 1 July.

The announcement came as the one of the world’s largest hotel businesses reported a 33% rise in its revenue per available room (RevPar) for the first quarter.

RECOVERING DEMAND FOR STAYS

The average daily rate rose 11% compared to 2022, with occupancy now ‘almost back up to pre-Covid levels,’ the statement read. 

‘We’ve seen a good start to the year, with continued strong trading in both the Americas and EMEAA (Europe, Middle East, Africa and Australasia), and an excellent rebound in demand in Greater China since the lifting of travel restrictions,’ said outgoing CEO Barr.

‘Leisure demand has remained buoyant, and there has been further return of business and group travel as expected.

‘The guest appeal of our brands has continued to support pricing, with rate up 10% versus 2019 and occupancy now almost back to pre-Covid levels.’

InterContinental Hotels, which operates brands such as InterContinental, Crowne Plaza and Holiday Inn,  acknowledged 2022 was a challenging year, but pointed to long-term resilience and ‘evolving the brand’ in 2023.

SHARE BUYBACK PROGRAMME CONTINUES

InterContinental said its share buyback programme is currently 32% complete with $240.5 million having been cumulatively spent to date, repurchasing 3,540,836 shares at an average price of £54.71 per share.

The programme started when the hotels business announced its full year results on 21 February 2023. It will end no later than 29 December this year.

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