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AccorHotels upbeat on 2017 profit target after Q3 sales

Published 20/10/2017, 03:00 am
© Reuters.  AccorHotels upbeat on 2017 profit target after Q3 sales
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PARIS, Oct 19 (Reuters) - AccorHotels ACCP.PA , Europe's biggest hotel group, on Thursday gave a rosier outlook, saying its 2017 operating profit would come at the upper end of a range of 460 million to 480 mllion euros forecast in July.

The French company, which runs high-end chains such as Raffles and Sofitel as well as budget brands such as Ibis, said third-quarter sales reached 504 million euros ($596.89 million), up 6.4 percent on a like-for like basis.

Robust demand in most markets, including France and Germany, outpaced continued weakness in South America, where revenue fell 15.3 percent across the region.

The situation in Brazil, which is emerging from recession, remained difficult though Accor said business there appeared to have reached the low point of the cycle, with the region's occupancy rate rising for the first time in three years.

AccorHotels said it expected trends seen since the start of the year to continue in most markets until the end of the year.($1 = 0.8444 euros)

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