Pphe Hotel Group Limited · LSE:PPH
Pphe Hotel — FY2024 Earnings Presentation
45 slides from Pphe Hotel's earnings presentation, Mar 27, 2025
Slide 1: Unlocking Growth: 2024 Annual Results and Company Profile
Unlocking Growth 2024 Annual Results and Company Profile PARTNER BRANDS art’otel London Hoxton - reception
Slide 2: PPHE overview
PPHE overview art’otel London Hoxton 1 *T his presentation includes various Alternative Performance Measures (APMs), such as EPRA performance metrics and hospitality operational performance indicators. For definitions, further details, and reconciliations to measures defined under International Fina
Slide 3: Understanding PPHE Hotel Group
Understanding PPHE Hotel Group Who we are Our vision PPHE Hotel Group is an international FTSE 250 To deliver a best-in-class performance listed hospitality real estate group with a through building further scale and depth £2.2 billion portfolio of assets in Europe in in our real estate portfolio an
Slide 4: Why invest in PPHE
Why invest in PPHE Unique Capital Operating Platform Business model Structure Control Integrated developer, owner and operator Unique approach to capital structure All disciplines under one roof • Our business model provides • Raising capital (both third- • Scalable platform exposure and returns acr
Slide 5: Value creation and returns
Value creation and returns PPHE is focused on growing equity value for its shareholders We (re)develop, redesign and continuously improve assets, creating significant value along every part of the value BUY BUILD chain. Value created is released through capital Hospitality Real estate refinancing an
Slide 6: High quality assets in prime locations
High quality assets in prime locations Resilient EPRA NRV* based on external valuations 51 Number of assets in operation £2,213m Total Property value 3 £1,588m Freehold value £625m Long leasehold2 Capital cities Secondary cities Resorts and other 73.0% of property value Value Discount 6.3% of proper
Slide 7: Award-winning hospitality management platform
Award-winning hospitality management platform For any hotel – branded or unbranded – PPHE’s platform can be adapted to achieve financial returns for third party hotel owners, or PPHE equity partners through increasing top-line growth and profit maximisation. Our management platform provides control
Slide 8: Strategic & operational update
Strategic & operational update art’otel London Hoxton 2
Slide 9: Strategic and operational update
Strategic and operational update Record operational performance Significant strategic progress Future focus • Record revenue of £442.8m (2023: £414.6m) and • Fully opened premium lifestyle art’otel Zagreb • Finalise art’otel London Hoxton development and EBITDA* of £136.5m (2023: £128.2m) • Repositi
Slide 10: Future contribution from pipeline
Future contribution from pipeline Ramping up performance 2024/2025 openings Available for development c.3 years to reach stabilised trading EBITDA* upon stabilisation +£25m Book value of landsites +£49m Resort Nassfeld Grand Hotel art’otel Zagreb Radisson RED Radisson RED art’otel art’otel Rome Unde
Slide 11: Results & outlook
Results & outlook art’otel Zagreb 3
Slide 12: EBITDA margins recovering and occupancy rebuilding
EBITDA margins recovering * and occupancy rebuilding Financial KPIs Operating KPIs Total revenue £m Adjusted EPRA EPS* pence RevPAR* £ Average room rate* £ 2024 442.8 2024 125 2024 120.3 2024 161.5 2024 (like-for-like)* 428.3 2023 118 2024 (like-for-like)* 122.0 2024 (like-for-like)* 160.8 2023 414.
Slide 13: Contribution of new openings will turn positive
£40.0m £53.2m £20.0m Contribution of new openings will turn positive Per share £1.25 £0.0m EBITDA* Finance Maintenance capex* reserve Other + tax Adjusted reported costs (net) (4%* of total revenues) EPRA earnings* reported £70.0m £10.6m £60.0m £53.3m £50.1m £50.0m (£1.2m) (£0.8m) (£1.2m) £40.0m Per
Slide 14: Strong cash flow with significant expansion CAPEX
Strong cash flow with significant expansion CAPEX £300.0m £124.3m (£79.3m) £250.0m (£95.2m) £200.0m (£16.0m) maintenance capex* (£63.3m) expansion capex £150.4m £150.0m £42.6m (£25.0m) (4.6m) £113.2m £100.0m (£54.0m) interest, rent and unitholder payments (£41.2m) bank loan repayments £50.0m £0.0m R
Slide 15: Substantial expansion CAPEX fuelling growth
Substantial expansion CAPEX fuelling growth £250m 215.4 £200m Recent openings expected to achieve + £25m EBITDA* £150m 115.5 110.6 97.1 £100m 99.1 85.2 85.0 62.2 65.6 55.2 £50m 23.0 21.1 19.2 Maintenance CAPEX* 14.1 14.9 15.0 16.0 10.2 8.8 12.2 9.8 Expansion CAPEX £0m 6.6 2014 2014 2015 2015 2016 20
Slide 16: Valuation increased, capital discipline maintained
Valuation increased, capital discipline maintained Balance sheet EPRA NRV per share* £m Dec 24 Dec 23 £26.7 £1.0 £0.7 (£0.4) (£0.5) £27.5 Property valuation 2,213.1 2,175.2 Net debt* (750.0) (725.3) Other (inc working capital) 51.7 35.3 Minority (351.5) (348.8) Total NRV* 1,163.3 1,136.4 EPRA NRV pe
Slide 17: Strong balance sheet & conservative leverage
Strong balance sheet & conservative leverage Conservative LTV*, staggered maturities lower the Group’s interest rate and liquidity risk. All at market value Gross Debt Composition and Metrics Debt Maturity Schedule (£ in millions) Net Bank Debt Leverage (LTV)* Avg. Rate 3.8% 3.2% 2.3% 3.8% n/a 4.2%
Slide 18: Summary and Outlook
Summary and Outlook The Group has >2,500 rooms in operation on London’s South Bank 4
Slide 19: Summary and Outlook
Summary and Outlook • Record performance driven by strong • Forward booking momentum across leisure and growing corporate demand all regions for Q2 and the remainder • £300+ million development pipeline of the year is encouraging following a nearly completed following high profile quieter Q1, the Gr
Slide 20: Appendix
Appendix art’otel London Battersea Power Station 5
Slide 21: High quality assets in prime locations
High quality assets in prime locations Park Plaza London Westminster Bridge Park Plaza London Riverbank art’otel London Hoxton Park Plaza London Waterloo Park Plaza Victoria Amsterdam art’otel Amsterdam Netherlands UK Germany Radisson RED Berlin Kudamm art’otel Berlin Mitte Capital city Secondary ci
Slide 22: At a glance
At a glance We are an integrated hospitality real estate group with a £2.2 billion portfolio of primarily prime freehold and long‑leasehold assets in Europe. Value Hotels and Hotels and split by resorts by resorts by geography1 geography ownership type £1,328m United Kingdom 12 United Kingdom 45 Fre
Slide 23: Portfolio breakdown
Portfolio breakdown Portfolio Offering Brands Markets We are an integrated hospitality Hotels real estate group with a £2.2 billion portfolio of primarily prime freehold and long- Capital cities, Secondary cities, city centre city centre leasehold assets in Europe Portfolio value 51 Leisure & Outdoo
Slide 24: Extended strategic partnership with Radisson Hotel Group
Extended strategic partnership with Radisson Hotel Group Following our successful 20 year+ strategic partnership with Radisson Hotel Group, additional agreements were Exclusive and perpetual EMEA secured allowing for art’otel growth, fee-based income, brand Licence for Park Plaza remains intact dive
Slide 25: United Kingdom performance
United Kingdom performance Hotel operations Reported in GBP (£) Like-for-like1* GBP (£) Year ended Year ended Year ended Year ended UK 31 Dec 2024 31 Dec 2023 % change2 31 Dec 2024 31 Dec 2023 % change2 Total Revenue £248.6m £234.9m 5.8% £237.6m £234.9m 1.1% Room Revenue £192.2m £183.8m 4.6% £183.4m
Slide 26: The Netherlands performance
The Netherlands performance Financial performance Reported in GBP (£) Reported in local currency Euro1 (€) Year ended Year ended Year ended Year ended 31 Dec 31 Dec 31 Dec 31 Dec The Netherlands 2024 2023 % change2 2024 2023 % change2 Total Revenue £66.2m £63.3m 4.6% €78.4m €72.8m 7.7% Room Revenue
Slide 27: Croatia performance
Croatia performance Financial performance Reported in GBP (£) Reported in local currency Euro2(€) Year ended Year ended Year ended Year ended 31 Dec 31 Dec 31 Dec 31 Dec Croatia 2024 2023 % change4 2024 2023 % change4 Total revenue £84.1m £78.1m 7.6% €99.6m €89.9m 10.8% Room revenue3 £46.6m £42.6m 9
Slide 28: Germany performance
Germany performance Financial performance Reported in GBP (£) Reported in local currency Euro1 (€) Year ended Year ended Year ended Year ended 31 Dec 31 Dec 31 Dec 31 Dec Germany 2024 2023 % change2 2024 2023 % change2 Total Revenue £24.4m £22.8m 7.2% €28.9m €26.2m 10.4% Room Revenue £20.9m £19.5m 7
Slide 29: Other Markets performance
Other Markets performance Financial performance Reported in GBP (£) Year ended Year ended 31 Dec 31 Dec 2024 2023 % change1 Total Revenue £10.7m £7.9m 35.8% Room Revenue £8.3m £6.1m 36.7% EBITDA* £1.3m £(0.5)m n/a EBITDA margin* 11.8% (6.7)% 1,850 bps Occupancy 59.3% 44.4% 1,485 bps Average room rat
Slide 30: Management platform
Management platform Reported in GBP (£) Year ended 31 Dec 2024 Listed Development Management Arena Hospitality Company Projects Platform Group Total Management revenue – £0.1m £40.1m – £40.1m Central Services revenue – – – £15.8m £15.8m Revenues within the consolidated Group – – (£32.2)m (£14.9)m (£
Slide 31: Our ESG strategic progress
Our ESG strategic progress Strong local communities Sustainable properties le PROPERT ustainab IES Measuring contributions to local communities in donations, in-kind support and volunteering. S Environmental building certifications 2024: 2024: • art’otel London Hoxton obtained the BREEAM Excellent •
Slide 32: Board of Directors
Board of Directors Kenneth Bradley Boris Ivesha Greg Hegarty Daniel Kos Nigel Keen Stephanie Coxon Marcia Bakker Roni Hirsch Chairman1 President & Co-CEO & Co-CEO & Executive Chief Financial Officer & Non-Executive Director & Non-Executive Director Non-Executive Director Non-Executive Director C Exe
Slide 33: Leadership team
Leadership team PPHE Hotel Group Arena Hospitality Group Boris Ivesha Greg Hegarty Daniel Kos Inbar Zilberman Reuel (“Reli”) Slonim Devansh Bakshi President & Chief Co-Chief Chief Financial Officer Chief Corporate President of the Chief Financial Officer Executive Officer Executive Officer & Executi
Slide 34: art'otel London Hoxton (UK)
Our recent openings and pipeline art’otel London Hoxton (UK) Opened April 2024 April 2024 saw the phased soft opening of this iconic new landmark hotel, located in Hoxton. 2025 will see the launch of the 5,000sqm office space and the 25th floor restaurant. PPHE Hotel Group 34 2024 Annual Results
Slide 35: art'otel Rome Piazza Sallustio (Italy)
Our recent openings and pipeline art’otel Rome Piazza Sallustio (Italy) Opening March 2025 This completely repositioned property is set to join Rome’s buzzing luxury hotel market. PPHE Hotel Group 35 2024 Annual Results
Slide 36: art'otel Zagreb (Croatia)
Our recent openings and pipeline art’otel Zagreb (Croatia) Completed in May 2024 Marking the Group’s debut in the Croatian capital, art’otel Zagreb is a former office which we converted to a 110-room premium lifestyle hotel in the heart of the city. The hotel soft opened in October 2023 and was full
Slide 37: Radisson RED Belgrade (Serbia)
Our recent openings and pipeline Radisson RED Belgrade (Serbia) Opened February 2024 Our first Radisson RED branded property opened in the Serbian capital in February following an extensive repositioning programme. PPHE Hotel Group 37 2024 Annual Results
Slide 38: Radisson RED Berlin Kudamm (Germany)
Our recent openings and pipeline Radisson RED Berlin Kudamm (Germany) Completed in September 2024 Our first Radisson RED property in Germany soft opened in June following an extensive repositioning programme and was fully completed in September. PPHE Hotel Group 38 2024 Annual Results
Slide 39: Appendices: Group subsidiaries
Appendices Direct Subsidiaries included in the Group and indirect Direct holdings Country of and Name of company Principal activity incorporation % indirect holdings Euro Sea Hotels N.V. Holding company Netherlands 100 Country of Name of company Principal activity incorporation % Germany Real Estate
Slide 40: Appendices continued
Appendices continued Direct Direct and and indirect indirect Country of holdings Country of holdings Name of company Principal activity incorporation % Name of company Principal activity incorporation % Park Plaza Hotels Europe B.V. Management Netherlands 100 PPHE USA Holding B.V. Holding company Ne
Slide 41: Appendices continued
Appendices continued Direct and indirect Country of holdings Name of company Principal activity incorporation % Victoria Park Plaza Operator Limited Hotel operation United Kingdom 100 W29 Development LLC Holding company Delaware 100 W29 Owner LLC Holding company Delaware 100 Waterloo Hotel Holding B
Slide 42: Glossary
Glossary Arena Located in eight beachfront sites across Board Eli Papouchado (Non-Executive Chairman) Guernsey The Island of Guernsey. Campsites® the Southern coast of Istria, Croatia. They Yoav Papouchado (Alternate Director), Key Key Performance Indicator (KPI) is a operate under the Arena Hospita
Slide 43: Glossary continued
Glossary continued Radisson Created in early 2018, one of the largest Alternative Performance Measures EPRA Shareholders’ earnings from operational Hotel Group hotel companies in the world. Hotel brands In order to aid stakeholders and investors in analysing the Group’s earnings activities adjusted
Slide 44: Glossary: Like-for-like, LTV, RevPAR
Like-for-like Results achieved through operations that are comparable with the operations of the previous period. Current period’s reported results are adjusted to have an equivalent comparison with previous periods’ results, with similar seasonality and the same set of hotels. Loan-to-value Interes
Slide 45: Contact details
T: +31 (0)20 717 8600 E: info@pphe.com pphe.com PPHE Hotel Group HNK Amsterdam Sloterdijk, Radarweg 60, Floor 9, 1043 NT Amsterdam, The Netherlands