Intercontinental Hotels Group Plc · LSE:IHG
Intercontinental Hotels — Shareholder Meeting (May 2019)
28 slides from Intercontinental Hotels's shareholder meeting presentation, May 3, 2019
Slide 1: Annual General Meeting
Annual General Meeting 3rd May 2019 3 May 2019 © 2019 All Rights Reserved Proprietary and confidential – further reproduction or distribution is prohibited
Slide 2: Patrick Cescau, Chairman
Patrick Cescau Chairman 3 May 2019 © 2019 All Rights Reserved Proprietary and confidential – further reproduction or distribution is prohibited
Slide 3: Placeholder – Chairman's video
Placeholder – Chairman’s video © 2017 IHG. All Allrights rightsreserved. reserved. 3
Slide 4: Patrick Cescau, Chairman
Patrick Cescau Chairman 3 May 2019 © 2019 All Rights Reserved Proprietary and confidential – further reproduction or distribution is prohibited
Slide 5: Keith Barr, Chief Executive Officer
Keith Barr Chief Executive Officer 3 May 2019 © 2019 All Rights Reserved Proprietary and confidential – further reproduction or distribution is prohibited
Slide 6: Q1 trading update - early progress in 2019
Q1 trading update - early progress in 2019 • 0.3% RevPAR growth Good Q1 • 5.4% net system size growth year-on-year, taking our system to 843k rooms performance • 12k rooms opened, up >50% on Q1 last year • 24k rooms signed – our strongest Q1 pace for 12 years • Luxury: expanding our portfolio throug
Slide 7: 2018 Highlights - strong financial performance
2018 Highlights - delivered a strong financial performance whilst executing against strategic initiatives • 2.5% RevPAR growth Solid financial • 6% underlying revenue growth delivery • 6% underlying operating profit growth • 10% ordinary dividend growth and $500m special dividend announcement Accele
Slide 8: 2018 Highlights - highest number of signings for a decade
2018 Highlights - highest number of signings for a decade Americas Greater China 4,161 hotels 391 hotels 208 hotels opened 77 hotels opened 416 hotels signed 142 hotels signed EMEAA 1,051 hotels 77 hotels opened 133 hotels signed Group: 5,603 hotels 362 hotels opened, 691 hotels signed 3 May 2019 ©
Slide 9: Placeholder – Keith's video
Placeholder – Keith’s video © 2017 IHG. All Allrights rightsreserved. reserved. 9
Slide 10: 2018 Highlights - highest number of signings for a decade
2018 Highlights - highest number of signings for a decade Americas Greater China 4,161 hotels 391 hotels 208 hotels opened 77 hotels opened 416 hotels signed 142 hotels signed EMEAA 1,051 hotels 77 hotels opened 133 hotels signed Group: 5,603 hotels 362 hotels opened, 691 hotels signed 3 May 2019 ©
Slide 11: We have a clearly defined strategy
We have a clearly defined strategy which will continue to drive superior shareholder returns Value creation: delivering industry-leading medium term net rooms growth Model Targeted portfolio 5. Optimise our 1. Build & preferred portfolio of leverage scale brands for ow ners & guests • Attractive mar
Slide 12: True Hospitality - responsible business
True Hospitality - putting responsible business at the heart of everything we do Our Culture Our Hotels Our Communities • Promoting responsible business • Safety & Security • IHG Academy attitudes and ethics • Developing colleagues • Charitable Partnerships • Top 10 company in Hampton Alexander revi
Slide 13: True Hospitality - responsible business
True Hospitality - putting responsible business at the heart of everything we do Climate Change & Energy Waste • Continued to reduce carbon • Commitment to eliminate single use footprint year on year plastic straws from estate • IHG Green Engage system helped • Trialling innovative waste hotels avoi
Slide 14: Update on strategic initiatives
Update on strategic initiatives – on track to deliver industry leading net system size growth 5. Optimise our preferred portfolio 1. Build & leverage scale of brands for owners & guests • New organisational structure embedded 5 1 • Strengthening established brands across the business • Enhancing por
Slide 15: Optimising our brand portfolio - established brands
Optimising our brand portfolio - our established brands continue to drive the growth of our business Mainstream Upscale Luxury Segment value1 = ~$115bn Segment value = ~$40bn Segment value = ~$60bn Growth potential = ~$65bn Growth potential = ~$20bn Growth potential = ~$35bn Established Brands IHG S
Slide 16: Mainstream brands - new room and public space designs
Mainstream brands - rolling out new room and public space designs Holiday Inn Express Medina, USA Holiday Inn London – Brentford Lock, UK • New hotel designs being rolled out across the Americas and • Global roll out of ‘Next Generation’ room design continuing at Europe pace, with >100 open & in the
Slide 17: Upscale brands - new room and public space designs
Upscale brands - rolling out new room and public space designs Crowne Plaza HY36 Midtown Manhattan, USA Hotel Indigo The Hague - Palace Noordeinde, Netherlands • $200m Accelerate programme driving uplifts in Guest Love • Opened our 100th Hotel Indigo in 2018 • Renovating hotels across the Americas,
Slide 18: Luxury brands - further expansion for InterContinental and Kimpton
Luxury brands - further expansion for InterContinental and Kimpton InterContinental Shanghai Wonderland, China Kimpton Fitzroy London, UK • Opened our 200th property in 2018 • Opened our first properties in the UK – the Kimpton Fitzroy London and Kimpton Charlotte Square Edinburgh • 204 open and 60
Slide 19: Optimising our brand portfolio - strategic approach to opportunities
Optimising our brand portfolio - we have taken a strategic approach to identify opportunities Mainstream1 Upscale Luxury ~$115bn global segment2 ~$40bn global segment ~$60bn global segment ~$65bn of growth to 2025 ~$20bn of growth to 2025 ~$35bn of growth to 2025 Launching new all suites upper-midsc
Slide 20: Mainstream - first avid hotel open
Mainstream - first avid hotel open and strong signings pace continues • >180 signings (17k rooms) since launch • First hotel open in Oklahoma City • >45 hotels under construction or in development • Launching in Germany with MDA and first signing© 2019 All Rights Reserved 3 May 2019 Proprietary and
Slide 21: Upscale - strong owner interest in voco
Upscale - strong owner interest in new upscale brand voco • 5 voco hotels open across the EMEAA region • A further 12 hotels signed to date • Expect to grow brand to >200 hotels in 10 years © 2019 All Rights Reserved 3 May 2019 Proprietary and confidential – further reproduction or distribution is p
Slide 22: Luxury - repositioning Regent Hotels & Resorts
Luxury - moved at pace to reposition Regent Hotels & Resorts • Unveiled updated brand positioning in October • Moved at pace, with 3 new signings since acquisition • On track to grow the portfolio to >40 hotels over the 3 May 2019 long term © 2019 All Rights Reserved Proprietary and confidential – f
Slide 23: Luxury - acquisition of Six Senses
Luxury - acquisition of Six Senses expands Luxury footprint • Six Senses is a leading luxury hotel operator with a globally renowned reputation for wellness and sustainability • Named ‘World’s Best Hotel Brand’ by Travel & Leisure in 2018 & 2017 • Potential to grow to >60 properties over the long te
Slide 24: Optimising our brand portfolio - balanced portfolio
Optimising our brand portfolio - balanced portfolio gives access to markets with high growth potential Mainstream Upscale Luxury Segment value = ~$115bn Segment value = ~$40bn Segment value = ~$60bn Growth potential = ~$65bn Growth potential = ~$20bn Growth potential = ~$35bn New brand launch 3 May
Slide 25: Conclusions
Conclusions We have delivered a strong performance in 2018 We are executing against our strategic initiatives We are supported by many positive industry trends Our strategy will deliver industry-leading net rooms growth over the medium term We remain committed to returning surplus funds to sharehold
Slide 26: Annual General Meeting
Annual General Meeting 3rd May 2019 3 May 2019 © 2019 All Rights Reserved Proprietary and confidential – further reproduction or distribution is prohibited
Slide 27: Resolutions
Resolutions 1. Report and Accounts 2018 2. Directors’ Remuneration Report 2018 3. Declaration of final dividend 4. Election and re-election of Directors 5. Reappointment of Auditor 6. Remuneration of Auditor 7. Political donations 8. Colleague Share Plan 9. Allotment of shares 10.Disapplication of p
Slide 28: Annual General Meeting
Annual General Meeting 3rd May 2019 3 May 2019 © 2019 All Rights Reserved Proprietary and confidential – further reproduction or distribution is prohibited
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