Intercontinental Hotels Group Plc · LSE:IHG
Intercontinental Hotels — Investor Presentation (December 2024)
163 slides from Intercontinental Hotels's investor presentation, December 2024
Slide 1: Full Investor Pack November - December 2024
Full Investor Pack November - December 2024
Slide 2: Contacts
Contacts Stuart Ford Joe Simpson Caroline Dawson SVP, Head of Investor Relations Director, Investor Relations Investor Relations Manager stuart.ford@ihg.com joe.simpson@ihg.com Email: caroline.dawson@ihg.com +44 (0) 7823 828 739 +44 (0) 7976 862 072 Mobile: +44 (0) 7721 565 264 Front cover Our newes
Slide 3: Contents
Contents Part A Pages A1-A2 2024 Q3 and YTD Trading Update (22 October 2024) Part B Pages B1-B9 Intro to IHG for investors Part C Pages C1-C66 Update on Strategic Priorities and 2023 Full Year Results extracts (20 February 2024) Part D Pages D1-D82 2024 Half Year Results (6 August 2024)
Slide 4: 2024 Q3 and YTD Trading Update
2024 Q3 and YTD Trading Update 22 October 2024 A1
Slide 5: 2024 Q3 and YTD Trading Update
2024 Q3 and YTD Trading Update Continued growth in RevPAR and development activity; further validation of the attraction of joining IHG’s enterprise, and the power and efficiency of our model • Q3 Group RevPAR +1.5%, with Americas +1.7%, EMEAA +4.9% and Greater China -10.3% Trading • Q3 YTD Group Re
Slide 6: Intro to IHG for Investors
IHG HOTELS & RESORTS Intro to IHG for Investors BI
Slide 7: IHG's strong business model: sustainable competitive advantage
Intro to IHG IHG’s strong business model: sustainable competitive advantage A leading global hospitality company with 6,500+ open hotels in more than 100 countries and a further 2,200+ in the pipeline representing +34% rooms growth Well-invested High-value geographic Asset-light, Robust pipeline por
Slide 8: Underpinned by clear purpose, ambition and strategic priorities
Intro to IHG Underpinned by clear purpose, ambition and strategic priorities OUR PURPOSE OUR AMBITION WHAT WE DO WHY WE DO IT Provide True To be the hotel company of choice Hospitality for Good for guests and owners OUR STRATEGIC PRIORITIES HOW WE MAKE IT HAPPEN RELENTLESS BRANDS LEADING CARE FOR FO
Slide 9: Asset light, mainly franchised, and geographically diverse
Intro to IHG Asset light, mainly franchised, and geographically diverse System size and pipeline Strong competitive position in an industry where System size (rooms): Luxury branded players are gaining 2% <1% 11% 188k 523k market share 27% 71% 19% 54% Upscale/ Upper Midscale/ With a larger share Ups
Slide 10: Our asset light business model
Intro to IHG Our asset light business model Franchised Managed Exclusive Partners Owned, Leased & Managed Lease 71% 27% 2% <1% Fee revenue: Fee revenue: Fee revenue: We record the entire revenue and profit of the hotel in our financial Royalty Fee: Base Management Fee: We receive marketing, statemen
Slide 11: Brand portfolio expansion since 2015
Intro to IHG Brand portfolio expansion since 2015 Nine brands added to our industry-leading portfolio through a combination of organic launches, acquisitions and commercial partnerships Legend New Brand LUXURY & LIFESTYLE PREMIUM ESSENTIALS SUITES EXCLUSIVE PARTNERS B6
Slide 12: Strong portfolio of 19 preferred brands across chain scales
Intro to IHG Strong portfolio of 19 preferred brands across chain scales Having added nine brands to our portfolio since 2015 LUXURY & PREMIUM ESSENTIALS SUITES EXCLUSIVE LIFESTYLE PARTNERS SYSTEM SYSTEM SYSTEM SYSTEM SYSTEM 14% 15% 60% 8% 2% PIPELINE PIPELINE PIPELINE PIPELINE PIPELINE 21% 19% 47%
Slide 13: Our growth algorithm
Intro to IHG Our growth algorithm Strong track record, recovery and potential for future growth compounding and sustainable shareholder value creation IHG's strong track record IHG's strong recovery IHG's strong potential through to 2019 2023 vs 2019 looking ahead RevPAR +3.9% p.a. +11% ahead HSD %
Slide 14: Capital allocation: routinely returning surplus capital to shareholders
Intro to IHG Continuing our capital allocation approach to routinely return surplus capital to shareholders: $500m 2022, $750m 2023, $800m 2024 #1: Invest in the business #2: Sustainably grow the #3: Return surplus funds to drive growth ordinary dividend to shareholders Objective of maintaining an i
Slide 15: 2024 Update on Strategic Priorities
2024 Update on Strategic Priorities 20 February 2024 C1
Slide 16: Attractions of our industry
Our industry Attractions of our industry – The industry benefits from enduring structural growth drivers of Leading global hotel companies – Growing populations and rising middle classes continue their long-term trend of – Driving business and commerce taking market share – Inherent desire to travel
Slide 17: Industry growth forecasts
Our industry Industry growth forecasts Estimated growth in hotel room nights consumed (decade through to 2033) Global US China RoW +4.0% +2.7% +4.2% +4.3% CAGR CAGR CAGR CAGR Estimated growth in Travel & Tourism spending1 (decade through to 2033) Global US China RoW +8.0% +5.1% +13.4% +7.5% CAGR CAG
Slide 18: Our strong track record
IHG’s track record Our strong track record Decade through to 2019 RevPAR Net unit growth Fee margin expansion Adjusted EPS +3.9% p.a. +3.2% p.a. +130bps p.a. +11.4% CAGR Total capital returned Cash conversion1 Ordinary dividends2 Recent share buybacks to shareholders3 5-6% of shares bought >100% +11
Slide 19: Our outlook: compounding growth and sustainable shareholder value creation
IHG’s growth algorithm Our outlook: compounding growth and sustainable shareholder value creation Growth algorithm fundamentals RevPAR growth HSD % CAGR +100-150bps p.a. ~10% CAGR ~100% +12-15% CAGR + Fee revenue Fee margin EBIT Strong cash Adjusted EPS Net system size growth expansion growth conver
Slide 20: Three regions of scale with notable growth potential
Strategic priorities: relentless focus on growth Three regions of scale with notable growth potential Our largest, the Americas, has a further +21% growth secured in its pipeline; EMEAA +33%, Greater China +59% Americas Europe, Middle East, Greater China Asia and Africa SYSTEM + PIPELINE FY23 OPENIN
Slide 21: Balanced portfolio mix of 19 preferred brands across segments
Strategic priorities: relentless focus on growth Balanced portfolio mix of 19 preferred brands across segments Luxury & Lifestyle and Premium now represent 29% of the system and 41% of the pipeline LUXURY & PREMIUM ESSENTIALS SUITES EXCLUSIVE LIFESTYLE PARTNERS IHG SYSTEM IHG SYSTEM IHG SYSTEM IHG S
Slide 22: Each of our brand categories is demonstrating robust growth
Strategic priorities: relentless focus on growth Each of our brand categories is demonstrating robust growth From Essentials with +24% growth in the pipeline to Luxury & Lifestyle with +50% growth LUXURY & PREMIUM ESSENTIALS SUITES EXCLUSIVE LIFESTYLE PARTNERS SYSTEM + PIPELINE SYSTEM + PIPELINE SYS
Slide 23: Healthy pipelines across each of our brands
Strategic priorities: relentless focus on growth Healthy pipelines across each of our brands Every brand has >20% growth already in the pipeline SYSTEM + PIPELINE SYSTEM + PIPELINE SYSTEM + PIPELINE SYSTEM + PIPELINE 4.8k rooms 29.7k rooms 414.3k rooms 4.3k rooms +174% growth +75% growth +23% growth
Slide 24: Large embedded annual fee revenue growth in our pipeline
Strategic priorities: relentless focus on growth Large embedded annual fee revenue growth in our pipeline today The 297k rooms (2,016 hotels) in the pipeline, if open today, represent an estimated annual fee revenue of $0.5bn Pipeline by region Embedded Pipeline by brand segment (rooms) (rooms) annu
Slide 25: Established and new brands have significant growth potential
Strategic priorities: relentless focus on growth Both our established and new brands have significant growth potential Signed 57k rooms (397 hotels) across our established brands and a further 21k more rooms (154 hotels) across our new brands Established brands New brands SYSTEM + PIPELINE FY23 OPEN
Slide 26: Investment in Luxury & Lifestyle brands and capabilities
Strategic priorities: relentless focus on growth Investment in Luxury & Lifestyle brands and capabilities Top 2 largest Luxury & Lifestyle portfolio by number of rooms and hotels; dedicated teams powering the L&L guest acquisition and return Luxury & Lifestyle portfolio growth L&L portfolio in 2014
Slide 27: An update on our newest brands: Iberostar Beachfront Resorts
Strategic priorities: relentless focus on growth An update on our newest brands: Iberostar Beachfront Resorts Now live across all IHG channels including web and mobile app; IHG One Rewards members can now enjoy full member benefits and earn and redeem points Iberostar Beachfront Resorts – Added Excl
Slide 28: An update on our newest brands: voco and Vignette Collection
Strategic priorities: relentless focus on growth An update on our newest brands: voco and Vignette Collection Attracting world-class conversion hotels to our leading brand portfolio, powerful enterprise platform and strong loyalty programme voco Vignette Collection – Upscale conversion brand launche
Slide 29: Evolved brand designs to improve owner returns
Strategic priorities: brands guests and owners love Evolved brand designs to improve owner returns Continuous evolution and optimisation of our brand prototypes Holiday Inn EVEN Staybridge Candlewood Express Suites Suites Further reduced build cost New prototype with ~9% Improved efficiency of More
Slide 30: Lowering costs and driving efficiencies for our owners
Strategic priorities: brands guests and owners love Lowering costs and driving efficiencies for our owners Supporting superior performance and returns Cost to build & renovate Cost to open Cost to operate Evolved dual branded Built Garner supply chain in less Implemented hotel procure-to-pay avid/Ca
Slide 31: Journey to Tomorrow
Strategic priorities: care for our people, communities and planet Journey to Tomorrow Aligned to our purpose of True Hospitality for Good and building on years of important progress, Journey to Tomorrow puts IHG on a longer-term path to positive change for our people, communities and planet Our peop
Slide 32: Our people
Strategic priorities: care for our people, communities and planet Our people Championing a diverse culture where everyone can thrive Gender balance Diversity Culture of inclusion *** *Leaders are defined as colleagues working at VP level and above. **This population consists individuals in our corpo
Slide 33: Communities
Strategic priorities: care for our people, communities and planet Communities Improving the lives of 30 million people by 2030 in our communities around the world Skills training Disaster response Food security 30k - Responded to 15 relief efforts globally - Supported The Global FoodBanking > Networ
Slide 34: Carbon & energy
Strategic priorities: care for our people, communities and planet Carbon & energy Targeting reductions in energy use and carbon emissions in line with climate science Decarbonising our Developing new-build hotels that Sourcing existing hotels operate at very low or zero carbon renewable energy - Pro
Slide 35: Responsible procurement
Strategic priorities: care for our people, communities and planet Responsible procurement Working with suppliers who share our commitment to operating responsibly and adopt ethical work practices Sourcing Global Embedding best practice responsibly supplier diversity across the business 110m - Sustai
Slide 36: Americas: overview
Regional update: Americas Americas: overview +21% growth secured in the pipeline, further adding to our scale advantage and leading positions in the region Scale Largest markets Franchised vs Countries and 1. United States System Pipeline Managed1 territories SYSTEM + PIPELINE FY23 OPENINGS 8.0k roo
Slide 37: Americas: brand portfolio mix
Regional update: Americas Americas: brand portfolio mix Adding more balance to the mix and developing in large and high growth segments LUXURY & PREMIUM ESSENTIALS SUITES EXCLUSIVE LIFESTYLE PARTNERS AMERICAS SYSTEM AMERICAS SYSTEM AMERICAS SYSTEM AMERICAS SYSTEM AMERICAS SYSTEM 9% 6% 68% 15% 2% AME
Slide 38: Americas: continued growth potential in Essentials and Suites
Regional update: Americas Americas: continued growth potential in Essentials and Suites Driving volume growth; ~16% future system growth in Essentials and ~43% in Suites Americas: Essentials portfolio growth Americas: Suites portfolio growth open rooms (last bar showing open + pipeline) open rooms (
Slide 39: Americas: investing in Luxury & Lifestyle
Regional update: Americas Americas: investing in Luxury & Lifestyle Large high-value opportunity in the region, bringing across the groups wider skills and relationships, and adding to Americas existing scale across three established brands Americas: Luxury & Lifestyle portfolio growth Americas RevP
Slide 40: Americas: demand tailwinds continue
Regional update: Americas Americas: demand tailwinds continue The continued return of business, groups and international travel; a full recovery expected for all stay occasions, with demand drivers for Groups indicating turn to positive in 2024 Leisure Business Groups US international revenue revenu
Slide 41: Americas: profit and fee margin accretion potential
Regional update: Americas Americas: profit and fee margin accretion potential Sustainably higher than pre-Covid, with further opportunities to increase Americas fee margin2 Drivers of further margin accretion FY23 operating - RevPAR growth FY 2023 82.2% profit1,2 - Growth of system size, spearheaded
Slide 42: EMEAA: overview
Regional update: EMEAA EMEAA: overview +33% growth secured in the pipeline, with excellent opportunities across high-value and high growth markets, and building scale advantage Scale Largest markets Franchised vs Countries and 1. United Kingdom System Pipeline Managed1 territories SYSTEM + PIPELINE
Slide 43: EMEAA: brand portfolio mix
Regional update: EMEAA EMEAA: brand portfolio mix Strongly balanced and with opportunities across all brands and segments LUXURY & PREMIUM ESSENTIALS SUITES EXCLUSIVE LIFESTYLE PARTNERS EMEAA SYSTEM EMEAA SYSTEM EMEAA SYSTEM EMEAA SYSTEM EMEAA SYSTEM 21% 23% 51% 1% 4% EMEAA PIPELINE EMEAA PIPELINE E
Slide 44: EMEAA: our brand portfolio today and growth opportunities
Regional update: EMEAA EMEAA: our brand portfolio today and growth opportunities Four of the group’s existing brands still to be developed in EMEAA; already shown how successful this can be with Kimpton and taking other brands global Present in EMEAA today Potential for future introduction LUXURY &
Slide 45: EMEAA: investing in Luxury & Lifestyle
Regional update: EMEAA EMEAA: investing in Luxury & Lifestyle A leading position, with incredible further potential across the region EMEAA: Luxury & Lifestyle portfolio growth Open rooms (last bar showing open + pipeline) 79k (403 hotels) Further 60% growth in the pipeline 49k (228 hotels) Just get
Slide 46: EMEAA: signings and openings
Regional update: EMEAA EMEAA: signings and openings Rebound in signings feeding through to openings Growing strength in signings… . . . resulting in stronger openings 29.1k1 (160 hotels) 25.8k2 24.8k3 (128 hotels) (151 hotels) 20.4k 21.2k6 (109 hotels) (87 hotels) 15.3k4 16.2k5 13.9k (90 hotels) (79
Slide 47: EMEAA: market prioritisation to achieve growth ambitions
Regional update: EMEAA EMEAA: market prioritisation to achieve growth ambitions Clear market-by-market strategy to optimise potential Market categorisation Deep penetration, full localisation, further high-value growth Category 1: large and well-established markets opportunity leveraging full brand
Slide 48: EMEAA: growth acceleration opportunities
Regional update: EMEAA EMEAA: growth acceleration opportunities Across both established and high growth markets GERMANY JAPAN KSA INDIA THAILAND SYSTEM + PIPELINE SYSTEM + PIPELINE SYSTEM + PIPELINE SYSTEM + PIPELINE SYSTEM + PIPELINE 20.6k rooms 15.1k rooms 31.8k rooms 15.4k rooms 18.1k rooms +11%
Slide 49: EMEAA: profit and fee margin accretion potential
Regional update: EMEAA EMEAA: profit and fee margin accretion potential Sustainably higher than pre-Covid, with further opportunities to increase Europe, Middle East, Asia and Africa Drivers of further margin accretion FY23 fee margin2 operating - RevPAR growth FY 2023 60.5% profit1,2 - Growth of sy
Slide 50: Agreement with NOVUM Hospitality
Regional update: EMEAA Agreement with NOVUM Hospitality Doubles IHG’s hotel presence in Germany; launches Holiday Inn – the niu collaboration, and debuts Garner and Candlewood Suites brands – Agreement signed in April 2024 – 108 open hotels (15.3k rooms) and 11 hotels under development (2.4k rooms)
Slide 51: EMEAA trading highlights 2024 Q3 and YTD
Regional update: EMEAA EMEAA trading highlights 2024 Q3 and YTD Trading Update Trading performance – Q3 RevPAR up +4.9%, with occupancy of 74.6% up +0.9%pts and rate +3.6% higher – Q3 YTD RevPAR up +6.4%, with occupancy of 71.3% up +2.0%pts and rate +3.5% higher – Fee margin1 64.2% (57.1% 1H23); $55
Slide 52: Greater China: overview
Regional update: Greater China Greater China: overview +59% growth secured in the pipeline, with excellent opportunities in a high growth market that will also bring maturity benefits and further scale advantage as it develops Scale Our market Franchised vs Leadership Greater China System Pipeline M
Slide 53: Greater China: robust growth across key industry drivers
Regional update: Greater China Greater China: robust growth across key industry drivers Travel & tourism spending is forecast to exceed growth in middle income households and GDP over the next decade; huge opportunity for hotel rooms penetration GDP Middle income Travel & tourism Hotel rooms (real;
Slide 54: Greater China: brand portfolio mix
Regional update: Greater China Greater China: brand portfolio mix Leading brand positions established in each of the Luxury & Lifestyle, Premium and Essentials categories, with more opportunity to come LUXURY & PREMIUM ESSENTIALS SUITES EXCLUSIVE LIFESTYLE PARTNERS GREATER CHINA SYSTEM GREATER CHINA
Slide 55: Greater China: our brand portfolio today and growth opportunities
Regional update: Greater China Greater China: our brand portfolio today and growth opportunities Five of the group’s existing brands still to be developed in the region; already shown how successful this can be with bringing across the Group’s other brands Present in Greater China Potential for futu
Slide 56: Greater China: franchising growth
Regional update: Greater China Greater China: franchising growth Benefit of continued gradual shift to scale-advantaged franchise model, whilst still capturing rapid growth opportunities in a huge developing economy First IHG hotel ‘Franchise Plus’ in Mainland China 100 IHG hotels model launched 400
Slide 57: Greater China: signings and openings
Regional update: Greater China Greater China: signings and openings Resilience and recovery in signings reflects strength of brands and IHG’s enterprise platform; further recovery in openings now to increasingly feed through Signings Openings 35.7k1 (158 hotels) 30.8k 28.2k (153 hotels) (141 hotels)
Slide 58: Greater China: profit and fee margin accretion potential
Regional update: Greater China Greater China: profit and fee margin accretion potential Sustainably higher than pre-Covid, with further opportunities for to increase Greater China fee margin2 Drivers of further margin accretion FY23 operating - RevPAR growth FY 2023 59.6% profit1,2 - Growth of syste
Slide 59: 2023 Full Year Results
2023 Full Year Results 20 February 2024 C45
Slide 60: 2023 Full Year Results highlights
2023 Full Year Results FY 2023 A year of strong financial performance, impressive openings and excellent signings; demonstrates the enduring attractions and benefits of our business model RevPAR System Size Profit and Earnings Capital Returns FY global RevPAR 946k rooms (6,363 hotels) 59.3% fe
Slide 61: Financial performance overview
2023 Full Year Results Financial performance overview Results from reportable segments FY 2023 FY 20222 Reported Underlying FY 20192 % change % change Revenue 1 $2,164m $1,843m +17% +19% $2,083m Operating profit (EBIT) 1 $1,019m $828m +23% +25% $865m Revenue from fee business 1 $1,672m $1,434m +17%
Slide 62: RevPAR, occupancy and ADR recovery across regions
2023 Full Year Results RevPAR, occupancy and ADR recovery across regions IHG Group monthly RevPAR, Occupancy and ADR (vs 2019) Americas monthly RevPAR, Occupancy and ADR (vs 2019) 2021 2022 2023 2021 2022 2023 +4 +8 +9 +10 +9 +11 +13 +11+15 +11 +11 +17 +12 +13+13 +11 +18+13+13+16 Jan Mar May Jul Sep
Slide 63: Group RevPAR performance has now normalised
2023 Full Year Results On a YoY basis, after lapping Omicron-impacted comparators in H1, Group RevPAR performance has now normalised Group monthly RevPAR, Occupancy and ADR (vs 2022) 40.8 33.5 27.2 21.7 17.0 15.0 9.9 13.3 8.7 11.6 9.5 10.4 6.3 8.7 5.3 7.2 6.6 4.9 3.1 4.5 4.7 10.0 11.3 10.0 3.1 8.6 6
Slide 64: Leisure, Business and Groups demand recovery
2023 Full Year Results Leisure strength of demand has sustained; Business and Groups demand recovery continued and is now complete IHG total estate Leisure demand performance (vs 2019) 2020 2021 2022 2023 Apr Jul Oct Apr Jul Oct Apr Jul Oct Apr Jul Oct Dec +17% Jan Jan Jan Jan +14% +13% Room Nights
Slide 65: Fee margin expansion +340bps YoY
2023 Full Year Results Fee margin1 expansion +340bps YoY, driven by the completed recovery in EMEAA and Greater China TOTAL IHG Americas FY 2023 59.3% FY 2023 82.2% FY 2022 55.9% FY 2022 84.3% FY 2021 49.5% FY 2021 82.2% FY 2020 34.1% (prior to adoption of IFRS 17) FY 2020 70.7% FY 2019 54.1% (prior
Slide 66: Net system size growth of +3.8%
2023 Full Year Results Net system size growth of +3.8%; delivered through strength of brands and enterprise platform Net System Size Growth (FY) Openings mix +9.8% +9.2% +7.7% +7.7% New build Conversion 61% 39% +5.3% +3.8% Net system size growth +2.0% Gross additions +0.8% AMER EMEAA Greater China I
Slide 67: Q4 signings strong; FY signings up +26%
2023 Full Year Results Q4 had the third strongest quarterly signings performance on record; FY signings up +26%1, supporting future system growth potential Pipeline at Q4 Signings FY Signings 31 December 2023 (rooms) (rooms) (rooms) Americas Americas 9.9k 28.3k 109.2k +26%1 YoY increase in FY signin
Slide 68: Americas highlights
2023 Full Year Results Americas highlights Trading performance – RevPAR up +7.0% vs 2022 (up +13.0% vs 2019) with occupancy of 68.2% up +1.5%pts and rate +4.6% higher – Q4 RevPAR up +1.5% vs 2022 (up +14.0% vs 2019), with occupancy of 63.9% down -1.0%pt and rate +3.1% higher – Fee margin1 82.2% (84.
Slide 69: EMEAA highlights
2023 Full Year Results EMEAA highlights Trading performance – RevPAR up +23.7% vs 2022 (up +15.4% vs 2019) with occupancy of 70.4% up +7.9%pts and rate +9.8% higher – Q4 RevPAR up +7.0% vs 2022 (up +18.5% vs 2019), with occupancy of 71.5% up +2.2%pts and rate +3.7% higher – Fee margin1 60.5% (52.7%
Slide 70: Greater China highlights
2023 Full Year Results Greater China highlights Trading performance – RevPAR up +71.7% vs 2022 (up +0.7% vs 2019) with occupancy of 61.1% up +19.1%pts and rate +18.0% higher – Q4 RevPAR up +72.0% vs 2022 (down -0.6% vs 2019), with occupancy of 59.5% up +17.6%pts and rate +21.1% higher – Fee margin1
Slide 71: Targeted capital expenditure to drive growth
2023 Full Year Results Targeted capital expenditure to drive growth $m FY 2023 FY 2022 Key money and maintenance capex Key money 1 (101) (64) – Key money: used to secure hotel signings Maintenance capex (38) (44) – Maintenance: relates to owned, leased and Total (139) (108) managed lease hotels and
Slide 72: Cash flow
2023 Full Year Results Cash flow FY 2023 (29) 129% conversion of adjusted ($m) +102 Exceptional earnings into FCF +67 +125 Working cash flow items (326) capital & other 1,086 System movements3 Depreciation Fund2 1,019 (46) and Interest (139) Amortisation and tax (53) Maintenance 819 capex and key Gr
Slide 73: Capital allocation: further $800m buyback announced for 2024
2023 Full Year Results Continuing our capital allocation approach to routinely return surplus capital to shareholders – further $800m buyback announced for 2024 #1: Invest in the business #2: Sustainably grow the #3: Return surplus funds to drive growth ordinary dividend to shareholders Objective of
Slide 74: Modelling considerations
2023 Full Year Results Modelling considerations FY24 and near-term: Interest expense Tax rate Capital expenditure Adjusted interest expense1 is expected to Effective adjusted tax rate1 is expected to Key money and maintenance capex in total expected to be increase in FY24 to $155m-$170m be ~27% in F
Slide 75: Revenue and operating profit breakdown
2023 Full Year Results Revenue and operating profit breakdown Results from reportable segments FY 2023 FY 2022 ‘23 vs ’22 ‘23 vs ‘22 $ change % change Franchise and base management fees $1,304m $1,147m $157m 14% Incentive management fees $168m $103m $65m 63% Central revenue $200m $184m $16m 9% Reven
Slide 76: Revenue growth rate analysis FY 2023 vs FY 2022
2023 Full Year Results Revenue growth rate analysis FY 2023 vs FY 2022 RevPAR growth % Net rooms growth % Underlying Fee Revenue1 Comparable Total YoY Available Growth % Comments Hotels that have All hotels that were traded in all open in FY 2023 Aggregate number months being and FY 2022 (incl of ro
Slide 77: FY 2023 underlying fee business non-GAAP reconciliations
2023 Full Year Results FY 2023 underlying fee business revenue and operating profit non-GAAP reconciliations Americas EMEAA Greater China Central Total IHG Operating Operating Operating Operating Operating $m Revenue Profit Revenue Profit Revenue Profit Revenue Loss Revenue Profit Fee business 957 7
Slide 78: FY 2022 underlying fee business non-GAAP reconciliations
2023 Full Year Results FY 2022 underlying fee business revenue and operating profit non-GAAP reconciliations Americas EMEAA Greater China Central Total IHG Operating Operating Operating Operating Operating $m Revenue Profit Revenue Profit Revenue Profit Revenue Loss Revenue Profit Fee business 879 7
Slide 79: Ordinary shares
2023 Full Year Results Ordinary shares Number of shares (m) 2023 2022 Opening balance at 1 January 183 188 Closing balance at 31 December 172 183 Closing balance excluding treasury and ESOT shares1 164 175 Basic weighted average shares (excluding treasury and ESOT shares) 169 181 Dilutive potential
Slide 80: Currency impacts
2023 Full Year Results Currency impacts ($m) Reported FY22 at Reported FY23 at Revenue1 FY22 FY23 AER2 Var. FY23 FY22 AER3 Var. Americas 1,005 1,007 (2) 1,105 1,105 - EMEAA 552 554 (2) 677 679 (2) Greater China 87 82 5 161 169 (8) Central Overheads4 199 199 - 221 222 (1) Total IHG 1,843 1,842 1 2,16
Slide 81: 2024 Half Year Results
2024 Half Year Results 6 August 2024 D1
Slide 82: Cautionary note regarding forward-looking statements
Cautionary note regarding forward-looking statements This presentation may contain projections and forward looking-statements. The words “believe”, “expect”, “anticipate”, “intend” and “plan” and similar expressions identify forward-looking statements. All statements other than statements of histori
Slide 83: Elie Maalouf
Elie Maalouf Chief Executive Officer D3
Slide 84: Agenda and speakers
Agenda and speakers Speakers Elie Maalouf Michael Glover Heather Balsley Chief Executive Officer Chief Financial Officer Chief Commercial & Marketing Officer Agenda H1 2024 Overview H1 2024 Financial Review Progress on Strategic Priorities Commercial & Marketing Conclusions Live Q&A (at 9:30am Londo
Slide 85: H1 2024 overview
H1 2024 overview H1 2024 A first half of strong financial performance and excellent signings; demonstrates the enduring attractions and benefits of our business model RevPAR System Size Profit and Earnings Capital Returns +3.0% H1 global RevPAR 955k rooms (6,430 hotels) 60.6% fee margin1, +1.8
Slide 86: H1 2024 Financial Review
H1 2024 Financial Review Michael Glover Chief Financial Officer D6
Slide 87: Financial performance overview
H1 2024 financial review Financial performance overview H1 2024 H1 2023 Reported Underlying % change % change Revenue from Reportable Segments 1 $1,108m $1,031m +7% +8% Operating profit from Reportable Segments1 (EBIT) $535m $479m +12% +12% Fee business revenue 1 $850m $799m +6% +7% Fee business ope
Slide 88: RevPAR, occupancy and ADR performance
H1 2024 financial review RevPAR, occupancy and ADR performance IHG Global RevPAR, Occupancy and ADR (YOY) Americas RevPAR, Occupancy and ADR (YOY) +3.2% +3.3% +3.0% +2.6% +1.7% +2.3% +1.0%pts +1.9% +2.0% +1.5% +1.7% +1.9% +0.9%pts 0.0%pts +0.6%pts +0.2%pts (0.3)% (1.1)%pts Q1 Q2 H1 Q1 Q2 H1 EMEAA Re
Slide 89: Demand driver performance
H1 2024 financial review Demand driver performance IHG Global demand drivers (H1 YOY) Americas demand drivers (H1 YOY) +7% +8% +4% +5% +4% +2% +5% +3% +1% +3% 0% +2% +2% 0% +2% (2)% (1)% (1)% Business Leisure Groups Business Leisure Groups EMEAA demand drivers (H1 YOY) Greater China demand drivers (
Slide 90: Net system size growth of +3.2% YOY
H1 2024 financial review Net system size growth of +3.2% YOY; H1 openings similar YOY1, strong acceleration of openings from Q1 to Q2 Net System Size Growth (YOY) Net System Size Growth (YTD) +10.9% +3.7% +8.6% Gross openings +2.7% +5.5% +1.8% +1.9% +4.9% +4.1% +1.3% +0.9% +3.2% Net system size grow
Slide 91: Record-breaking H1 signings performance
H1 2024 financial review Record-breaking H1 signings performance; up +67% YOY in total, supporting future system growth potential Pipeline at Q2 Signings H1 Signings 30 June 2024 (rooms) (rooms) (rooms) Americas Americas 5.1k 10.2k 109.7k H1 conversion signings up +134% YOY (+3% excluding NOVUM) 26.
Slide 92: Americas highlights
H1 2024 financial review Americas highlights Trading performance – H1 RevPAR up +1.7%, with occupancy flat at 68.0% and rate +1.7% higher – Q2 RevPAR up +3.3%, with occupancy of 72.7% up +1.0%pt and rate +1.9% higher – Fee margin1 82.0% (81.9% 1H23); $7m IMFs ($7m 1H23) – Operating profit from repor
Slide 93: EMEAA highlights
H1 2024 financial review EMEAA highlights Trading performance – H1 RevPAR up +7.5%, with occupancy of 69.8% up +2.5%pts and rate +3.5% higher – Q2 RevPAR up +6.3%, with occupancy of 73.0% up +2.4%pts and rate +2.8% higher – Fee margin1 64.2% (57.1% 1H23); $55m IMFs ($43m 1H23) – Operating profit fro
Slide 94: Greater China highlights
H1 2024 financial review Greater China highlights Trading performance – H1 RevPAR down -2.6%, with occupancy of 57.5% down -0.3%pts and rate -2.1% lower – Q2 RevPAR down -7.0%, with occupancy of 61.2% down -1.3%pts and rate -5.0% lower – Comparatives were significantly tougher in Q2 than Q1, and get
Slide 95: Fee margin +180bps ahead YOY
H1 2024 financial review Fee margin +180bps ahead YOY, driven by EMEAA strong trading 1 performance, cost control and non-regional ancillary fees streams TOTAL IHG Americas H1 2024 60.6% H1 2024 82.0% FY 2023 59.3% FY 2023 82.2% H1 2023 58.8% H1 2023 81.9% FY 2022 55.9% FY 2022 84.3% FY 2021 49.5% F
Slide 96: Cash flow: lower FCF and conversion due to working capital movement
H1 2024 financial review Cash flow: lower FCF and conversion due to working capital movement of planned reduction of prior System Fund surplus +32 • System Fund cash flow movements ~$100m incrementally adverse in H1 2024, driven by planned reduction of Depreciation 567 the cumulative surplus that it
Slide 97: Targeted capital expenditure to drive growth
H1 2024 financial review Targeted capital expenditure to drive growth $m H1 2024 H1 2023 Key money & maintenance capex Key money 1 (86) (64) – Key money: used to secure hotel signings Maintenance capex (15) (16) – Maintenance: relates to owned, leased and managed Total (101) (80) lease hotels and co
Slide 98: Capital allocation: on track to complete $800m buyback
H1 2024 financial review Continuing our capital allocation approach to routinely return surplus capital to shareholders – on track to complete $800m buyback in 2024 #1: Invest in the business #2: Sustainably grow #3: Return surplus funds to drive growth the ordinary dividend to shareholders Objectiv
Slide 99: Modelling considerations
H1 2024 financial review Modelling considerations FY24 and near-term: Interest expense Tax rate Capital expenditure Adjusted interest expense1 is expected to Effective adjusted tax rate1 is expected to be Key money & maintenance capex expected to be increase in FY24 to $160m-$170m (FY23: ~27% in FY2
Slide 100: Progress on Strategic Priorities
Progress on Strategic Priorities Elie Maalouf Chief Executive Officer D20
Slide 101: IHG's growth algorithm and strategic priorities
IHG’s growth algorithm and strategic priorities D21
Slide 102: Our outlook: compounding growth and sustainable shareholder value creation
IHG’s growth algorithm and strategic priorities Our outlook: compounding growth and sustainable shareholder value creation Growth algorithm fundamentals: on average over the medium to long term RevPAR growth HSD % CAGR +100-150bps p.a. ~10% CAGR ~100% +12-15% CAGR + Fee revenue Fee margin EBIT Stron
Slide 103: Underpinned by clear purpose, ambition and strategic priorities
IHG’s growth algorithm and strategic priorities Underpinned by clear purpose, ambition and strategic priorities OUR PURPOSE OUR AMBITION WHAT WE DO WHY WE DO IT Provide True To be the hotel company of choice Hospitality for Good for guests and owners OUR STRATEGIC PRIORITIES HOW WE MAKE IT HAPPEN RE
Slide 104: Progress on strategic priorities
Progress on strategic priorities D24
Slide 105: Relentless focus on growth
Progress on strategic priorities OUR PILLARS RELENTLESS FOCUS ON GROWTH D25
Slide 106: Record-breaking signings demonstrating the strength of our brands
Progress on strategic priorities: relentless focus on growth Record-breaking signings demonstrating the strength of our brands Signed 57k rooms (384 hotels) in H1 2024; 41k rooms (256 hotels) across our established brands and a further 16k rooms (128 hotels) across our new brands Established brands
Slide 107: A strong start for Garner, our newest brand
Progress on strategic priorities: relentless focus on growth A strong start for Garner, our newest brand Redefining the midscale market with a differentiated proposition; targeting >500 hotels over the next 10 years and >1,000 hotels over the next 20 years – Launched new best-in-class midscale conve
Slide 108: Agreement with NOVUM Hospitality
Progress on strategic priorities: relentless focus on growth Agreement with NOVUM Hospitality Doubles IHG’s hotel presence in Germany; launches Holiday Inn – the niu collaboration, and debuts Garner and Candlewood Suites brands – Agreement signed in April 2024 – 108 open hotels (15.3k rooms) and 11
Slide 109: Increases in new build and conversions signings
Progress on strategic priorities: relentless focus on growth Increases in new build and conversions signings Improving owner confidence validated by positive new build signings trajectory, which continued into H1 2024; excellent growth in conversions 2020 - H1 2024 new build and conversion signings
Slide 110: Brands guests and owners love
Progress on strategic priorities OUR PILLARS BRANDS GUESTS AND OWNERS LOVE D30
Slide 111: Holiday Inn: the most trusted travel and hospitality brand
Progress on strategic priorities: brands guests and owners love Holiday Inn: the most trusted travel and hospitality brand* Evolved design, visual identity and service, adding sophistication while lowering costs; improved estate quality driving guest satisfaction, loyalty and revenue delivery – Refl
Slide 112: Driving hotel owner ROI and improved guest experiences
Progress on strategic priorities: brands guests and owners love Driving hotel owner ROI and improved guest experiences Modernising and optimising our brand designs and prototypes Suites / extended stay avid / Candlewood Crowne Plaza scalable prototypes dual brand design solutions First 2 opened in Q
Slide 113: Leading commercial engine
Progress on strategic priorities OUR PILLARS LEADING COMMERCIAL ENGINE D33
Slide 114: Innovating our hotel tech stack
Progress on strategic priorities: leading commercial engine Innovating our hotel tech stack Creating a superior value proposition for our owners through best-in-class technology platforms 1 2 3 Guest Reservation Revenue Management Property Management System System System (GRS) (RMS) (PMS) D34
Slide 115: Capitalising on enhanced GRS capabilities
Progress on strategic priorities: leading commercial engine Capitalising on enhanced GRS capabilities Driving value for our owners and IHG through ongoing, agile and rapid development Room attribute upsell: ‘Better View’, ‘Bigger Room’ and ‘Higher Floor’ now available in 6,000+ hotels Regent Hong Ko
Slide 116: Rolling out our best-in-class Revenue Management System
Progress on strategic priorities: leading commercial engine Rolling out our best-in-class Revenue Management System Driving revenue performance through a new platform bringing together leading data science and forecasting tools, to deliver advanced insights and recommendations to hotels Progress upd
Slide 117: Changes to System Fund arrangements
Progress on strategic priorities: leading commercial engine Changes to System Fund arrangements Improved hotel owner economics and increased ancillary fee streams The System Fund has two main sources of revenue: 1) Revenue from hotel owners 2) Revenue from customers – Hotel owners are the main contr
Slide 118: Care for our people, communities and planet
Progress on strategic priorities OUR PILLARS CARE FOR OUR PEOPLE, COMMUNITIES AND PLANET D38
Slide 119: Journey to Tomorrow
Progress on strategic priorities: care for our people, communities and planet Journey to Tomorrow Aligned to our purpose of True Hospitality for Good and building on years of important progress, Journey to Tomorrow puts IHG on a longer-term path to positive change for our people, communities and pla
Slide 120: Introduced the Low Carbon Pioneers programme
Progress on strategic priorities: care for our people, communities and planet Introduced the Low Carbon Pioneers programme The initiative is a first of its kind in our industry; focused on increasing adoption of carbon reduction practices across IHG’s estate Holiday Inn Express Madrid Airport – Spai
Slide 121: Announced a global partnership to help combat hunger
Progress on strategic priorities: care for our people, communities and planet Announced a global partnership to help combat hunger Part of our pledge to improve the lives of 30 million people around the world by 2030 through skills training, disaster response and helping tackle food poverty – New pa
Slide 122: Commercial & Marketing
Commercial & Marketing Heather Balsley Chief Commercial & Marketing Officer D42
Slide 123: Our Commercial & Marketing organisation
Commercial & Marketing: overview Our Commercial & Marketing organisation Maximising revenue delivery and returns for hotels to unlock system growth Develops IHG Hotels & Resorts Leads IHG One Rewards Orchestrates IHG’s masterbrand and 19 hotel brands loyalty programme to motivate commercial engine t
Slide 124: A leading commercial engine powered by our brands
Commercial & Marketing: overview Our approach: a leading commercial engine powered by our brands Interdependent elements of our strategy work together to drive revenue at lowest possible cost to hotels IHG Hotels & Resorts masterbrand Enterprise contribution Brand portfolio Ancillary revenue IHG One
Slide 125: Masterbrand: building the brand of IHG Hotels & Resorts
Commercial & Marketing: IHG Hotels & Resorts masterbrand Masterbrand: building the ‘brand’ of IHG Hotels & Resorts Strengthening awareness and reputation to drive revenue, inspire owner interest and talent acquisition OUR AMBITION: Positively influences MAKE commercial delivery Inspires owner intere
Slide 126: Masterbrand everywhere strategy
Commercial & Marketing: IHG Hotels & Resorts masterbrand Masterbrand: ‘masterbrand everywhere’ strategy Global and targeted marketing across all guest touchpoints 1 2 3 Focus and broaden Span key customer Leverage the “billboard marketing journey moments effect” of 6k+ hotels One campaign for all Dr
Slide 127: Masterbrand: our investment is having an impact
Commercial & Marketing: IHG Hotels & Resorts masterbrand Masterbrand: our investment is having an impact A strong improvements in brand power, engagement and reputation Leading in Growing Leading in share of voice social engagement social reputation #1 +65% 4.37 Global share of voice Social engageme
Slide 128: Brand portfolio expansion since 2015
Commercial & Marketing: brand portfolio Brand portfolio expansion since 2015 Nine brands added to our industry-leading portfolio through a combination of organic launches, acquisitions and commercial partnerships Legend New Brand LUXURY & LIFESTYLE PREMIUM ESSENTIALS SUITES EXCLUSIVE PARTNERS D48
Slide 129: IHG One Rewards
Commercial & Marketing: IHG One Rewards loyalty programme IHG One Rewards Members are our most profitable guests Highest value Highest ROI Ancillary customers marketing revenue Spend 20% more per stay Data-driven and Points purchase + co-brand and return more often book direct 10x more often credit
Slide 130: Loyalty members drive more profit per stay versus OTA
Commercial & Marketing: IHG One Rewards loyalty programme IHG One Rewards Loyalty members drive more profit per stay versus OTA + = Spend Cost Drive more MORE LESS HOTEL PROFIT ~ +10% ~ +20% ~ -50% OTA ADR Loyalty ADR OTA fees Book direct fees OTA net revenue Loyalty net revenue Note: book direct fe
Slide 131: IHG One Rewards reimagined programme
Commercial & Marketing: IHG One Rewards loyalty programme IHG One Rewards Our reimagined programme, launched in 2022, has significantly transformed the member and owner proposition New programme New IHG One Global awareness New US tiers & benefits Rewards app campaign co-brand products Members: - Of
Slide 132: Leading indicators of growing member stickiness
Commercial & Marketing: IHG One Rewards loyalty programme IHG One Rewards: leading indicators of growing member stickiness Members are happier, more engaged, and returning more frequently Happier members Higher engagement More frequent returns − Improved Elite member satisfaction − Milestone Rewards
Slide 133: IHG One Rewards: our investment is paying off
Commercial & Marketing: IHG One Rewards loyalty programme IHG One Rewards: our investment is paying off Member base growth with increased spend and return rates driving +10%pts in member penetration Size of member base Member penetration (total number of members) (room nights booked by members) 130m
Slide 134: Member scale is a critical enabler of our success
Commercial & Marketing: IHG One Rewards loyalty programme IHG One Rewards: member scale is a critical enabler of our success Powerful member base unlocks growth, new partners, and drives IHG margin and System Fund capacity 1 2 3 Powers growth Attracts partners Drives ancillary fees via owner percept
Slide 135: US co-brand credit cards: a powerful growth business
Commercial & Marketing: ancillary revenue (co-brand credit cards + point sales) US co-brand credit cards: a powerful growth business High value members powering material financial returns for IHG Cardholders are amongst the most valuable and engaged of all IHG One Rewards members Cardholders stay Ca
Slide 136: US co-brand credit cards: material momentum and further upside
Commercial & Marketing: ancillary revenue (co-brand credit cards + point sales) US co-brand credit cards: material momentum and further upside Optimised and relaunched our US co-brand credit card products, elevating performance across metrics Recent history H1 2024 US co-brand credit card highlights
Slide 137: Enterprise contribution: drives hotel profitability
Commercial & Marketing: enterprise contribution Enterprise contribution: drives hotel profitability Maximises revenue, minimises customer acquisition cost and drives pace of hotel ‘ramp-up’ to steady state performance Total enterprise contribution +3pts 80% − Digital contribution growth driven by st
Slide 138: Wrap up
Commercial & Marketing: wrap up Wrap up Continued momentum and ongoing investment to drive low-cost revenue and enable system size growth − IHG’s commercial engine drives high value, low cost of acquisition revenue for hotels, that complement our brand formats to optimise cost to build and operate t
Slide 139: Conclusions
Conclusions Elie Maalouf Chief Executive Officer D59
Slide 140: Conclusions
Conclusions Conclusions A well-invested, high-performing business that drives growth and shareholder value – H1 RevPAR growth +3.0% YOY, +3.2% in Q2 – Gross system growth of +4.9% YOY; net system growth of +3.2% YOY – Record-breaking signings of 57.1k rooms, +67% YOY; pipeline growth of +15% YOY – F
Slide 141: Appendices: H1 2024 Financial Performance
Appendices H1 2024 Financial Performance D61
Slide 142: Revenue and operating profit breakdown
Appendices: H1 2024 financial performance Revenue and operating profit breakdown Results from reportable segments H1 2024 H1 2023 ‘24 vs ’23 ‘24 vs ‘23 FY 2023 $ change % change Franchise and base management fees $657m $625m $32m 5% $1,304m Incentive management fees $81m $73m $8m 11% $168m Central r
Slide 143: Revenue growth rate analysis H1 2024 vs H1 2023
Appendices: H1 2024 financial performance Revenue growth rate analysis H1 2024 vs H1 2023 RevPAR growth % Net rooms growth % Underlying Fee Revenue1 Comparable Total YOY Available Growth % Comments Hotels that have All hotels that were Aggregate number traded in all months open in H1 2024 and of roo
Slide 144: Revenue and operating profit 2021-2024 (post-IFRS 17)
Appendices: H1 2024 financial performance Revenue and operating profit 2021-2024 (post-IFRS 17) Total Revenue Total Operating Profit¹ H1 FY H1 FY Actual US$ 2024 2023 2022 2023 2022 2021 2024 2023 2022 2023 2022 2021 Franchise and Base Management Fees 471 456 406 936 861 683 - - - - - - Incentive Ma
Slide 145: Revenue and operating profit 2019-2022 (pre-IFRS 17)
Appendices: H1 2024 financial performance Revenue and operating profit 2019-2022 (pre-IFRS 17) Total Revenue Total Operating Profit¹ FY FY Actual US$ 2022 2021 2020 2019 2022 2021 2020 2019 Franchise and Base Management Fees 861 683 452 840 - - - - Incentive Management Fees 18 8 5 13 - - - - Fee Bus
Slide 146: H1 2024 underlying fee business non-GAAP reconciliations
Appendices: H1 2024 financial performance H1 2024 underlying fee business revenue and operating profit non-GAAP reconciliations Americas EMEAA Greater China Central Total IHG Operating Operating Operating Operating Operating $m Revenue Profit Revenue Profit Revenue Profit Revenue Loss Revenue Profit
Slide 147: H1 2023 underlying fee business non-GAAP reconciliations
Appendices: H1 2024 financial performance H1 2023 underlying fee business revenue and operating profit non-GAAP reconciliations Americas EMEAA Greater China Central Total IHG Operating Operating Operating Operating Operating $m Revenue Profit Revenue Profit Revenue Profit Revenue Loss Revenue Profit
Slide 148: Net system size growth (YOY)
Appendices: H1 2024 financial performance Net system size growth delivered through strength of brands and enterprise platform Net System Size Growth (YOY) TOTAL IHG Americas (15.4) (7.9) 44.9 954.8 13.1 521.5 925.3 516.3 H1 2023 Openings Exits H1 2024 H1 2023 Openings Exits H1 2024 Europe, Middle Ea
Slide 149: Net system size growth (YTD)
Appendices: H1 2024 financial performance Net system size growth delivered through strength of brands and enterprise platform Net System Size Growth (YTD) TOTAL IHG Americas (9.3) (4.9) 18.0 6.9 954.8 521.5 946.2 519.6 FY 2023 Openings Exits H1 2024 FY 2023 Openings Exits H1 2024 Europe, Middle East
Slide 150: Ordinary shares
Appendices: H1 2024 financial performance Ordinary shares Number of shares (m) H1 2024 H1 2023 Opening balance at 1 January 172.3 183.1 Closing balance at 30 June 168.6 177.7 Closing balance excluding treasury1, ESOT and forfeitable shares 161.3 170.2 Basic weighted average shares (excluding treasur
Slide 151: Currency impacts
Appendices: H1 2024 financial performance Currency impacts ($m) Reported H1 2023 Reported H1 2024 Revenue H1 2023 at H1 2024 AER2 Var. H1 2024 at H1 2023 AER2 Var. Americas 537 537 - 561 564 (3) EMEAA 309 304 5 347 353 (6) Greater China 74 71 3 77 79 (3) Central Overheads3 111 111 - 123 124 (1) Tota
Slide 152: Strong track record of margin accretion
Appendices: H1 2024 financial performance Strong track record of margin accretion by delivering growth in fee business revenue whilst leveraging an efficient overhead base $1,600m 60% – 130bps fee margin annual increase on average over the decade to 2019 $1,400m 55% – 100-150bps further expansion ex
Slide 153: IHG typically converts >100% of earnings into free cash
Appendices: H1 2024 financial performance IHG typically converts >100% of earnings into free cash 1,000 Conversion 250% 800 200% 600 150% 400 100% 200 50% 0 0% 2015 2016 2017 2018 2019 2020 2021 2022 2023 Adjusted Free Cash Flow Adjusted Earnings Conversion Rate (%) From 2015 to 2023 cumulatively, 1
Slide 154: Appendices: Progress on Strategic Priorities
Appendices Progress on Strategic Priorities D74
Slide 155: Asset light, mainly franchised, and geographically diverse
Appendices: progress on strategic priorities Asset light, mainly franchised, and geographically diverse System size and pipeline Strong competitive position in an industry where System size (rooms): Luxury branded players are gaining 2% <1% 11% 184k 522k market share 27% 71% 19% 55% Upscale/ Upper M
Slide 156: Strong portfolio of 19 preferred brands across chain scales
Appendices: progress on strategic priorities Strong portfolio of 19 preferred brands across chain scales Having added nine brands to our portfolio since 2015 LUXURY & PREMIUM ESSENTIALS SUITES EXCLUSIVE LIFESTYLE PARTNERS SYSTEM SYSTEM SYSTEM SYSTEM SYSTEM 14% 15% 60% 9% 2% PIPELINE PIPELINE PIPELIN
Slide 157: Luxury & Lifestyle
Appendices: progress on strategic priorities Luxury & Lifestyle Driving high-value growth through an industry-leading collection of brands; at 1H24, 517 properties in the system; pipeline of 365 more represents future rooms growth of ~50% Six Senses Regent InterContinental In 5 years In 6 years The
Slide 158: Luxury & Lifestyle
Appendices: progress on strategic priorities Luxury & Lifestyle Driving high-value growth through an industry-leading collection of brands; at 1H24, 517 properties in the system; pipeline of 365 more represents future rooms growth of ~50% Vignette Collection Kimpton Hotel Indigo First 18 hotels now
Slide 159: Premium
Appendices: progress on strategic priorities Premium Uniquely tailored to target upscale customer segments; at 1H24, 538 properties in the system; pipeline of 279 more represents future rooms growth of ~45% voco HUALUXE Crowne Plaza EVEN Our conversion-focused Designed specifically with the Our refr
Slide 160: Essentials
Appendices: progress on strategic priorities Essentials Continued opportunity for growth in our core segment; at 1H24, 4.5k properties in the system; pipeline of 1.2k more represents future rooms growth of ~30% Holiday Inn Express Holiday Inn Garner avid The world’s largest hotel An industry icon; a
Slide 161: Suites
Appendices: progress on strategic priorities Suites An expanding portfolio of extended stay properties across chain scales; at 1H24, 745 properties in the system; pipeline of 389 more represents future rooms growth of ~45% Staybridge Atwell Candlewood Holiday Inn Suites Suites Suites Club Vacations
Slide 162: Exclusive Partners
Appendices: progress on strategic priorities Exclusive Partners Demonstrating the strength of the IHG enterprise platform and desire for strategic partners to join our system Iberostar Beachfront Resorts Substantially strengthens our resort and all-inclusive presence Iberostar Selection Eolia Djerba
Slide 163: InterContinental Hotels Group PLC contact details
InterContinental Hotels Group PLC 1 Windsor Dials, Arthur Road Windsor, Berkshire SL4 1RS, United Kingdom Contact: investors@ihg.com Web: ihgplc.com Make a booking at ihg.com
InterContinental Hotels Group — Investor Presentation (December 2024) on 6ix