Intercontinental Hotels Group Plc · LSE:IHG
Intercontinental Hotels — Shareholder Meeting (May 2018)
28 slides from Intercontinental Hotels's shareholder meeting presentation, May 4, 2018
Slide 1: Annual General Meeting
Drag picture to placeholder or click icon to add Annual General Meeting 4th May 2018 4 May 2018 © 2018 All Rights Reserved Proprietary and confidential – further reproduction or distribution is prohibited
Slide 2: Patrick Cescau, Chairman
Drag picture to placeholder or click icon to add Patrick Cescau Chairman 4 May 2018 © 2018 All Rights Reserved Proprietary and confidential – further reproduction or distribution is prohibited
Slide 3: Keith Barr, Chief Executive Officer
Drag picture to placeholder or click icon to add Keith Barr Chief Executive Officer 4 May 2018 © 2018 All Rights Reserved Proprietary and confidential – further reproduction or distribution is prohibited
Slide 4: Q1 trading update - early progress in 2018
Q1 trading update - early progress in 2018 • 3.5% RevPAR growth Strong Q1 • 4.3% net system size growth year-on-year, taking our system to 800k rooms performance • 8k rooms opened, up 16% on Q1 last year • 20k rooms signed – our strongest Q1 pace for 11 years • Luxury: expanding our footprint throug
Slide 5: 2017 Highlights - delivered a strong performance
2017 Highlights - delivered a strong performance • 2.7% RevPAR growth Solid financial • 5% underlying fee revenue growth delivery • 8% underlying operating profit growth Accelerating scale • 4.0% net system size growth - highest organic growth since 2009 growth • 83k rooms signed, taking pipeline to
Slide 6: 2017 Highlights - highest number of signings for 9 years
2017 Highlights - highest number of signings for 9 years Americas Greater China 4,029 hotels 328 hotels 190 hotels opened 43 hotels opened 365 hotels signed 118 hotels signed EMEAA 991 hotels 52 hotels opened 122 hotels signed Group: 5,348 hotels 285 hotels opened, 605 hotels signed 4 May 2018 © 201
Slide 7: Responsible business and diversity - at the heart of everything we do
Responsible business and diversity - at the heart of everything we do Responsible Business Awards Hotel Indigo Pride Event 4 May 2018 © 2018 All Rights Reserved Proprietary and confidential – further reproduction or distribution is prohibited 9
Slide 8: We have a clearly defined strategy which will continue to drive superior shareholder returns
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 owners & guests • Attractive mark
Slide 9: IHG has consistently delivered a strong performance against all key metrics
IHG has consistently delivered a strong performance against all key metrics Net Rooms Growth Fee Revenue Growth2 Adjusted EPS Growth 2014-17 2014-17 2014-17 IHG +12.4% +14.5% +54.5% Market1 +6.3% Guest Love IHG Rewards Club System Contribution Growth Growth 2014-17 Member contribution growth 2014-17
Slide 10: Make our strategic model work harder
But in order to deliver industry-leading net rooms growth over the medium term, we need to make our strategic model work harder 1. Build & leverage scale Design a new organisational structure which redeploys resources to leverage scale and accelerate growth 5 1 2. Strengthen loyalty programme Contin
Slide 11: New organisational structure which redeploys resources to leverage scale and accelerate growth
New organisational structure which redeploys resources to leverage scale and accelerate growth New regional operating structure Integrated Commercial and Global Marketing organisation Technology organisation Elie Maalouf Regional CEO, Americas Eric Pearson Claire Bennett Chief Commercial & Chief Mar
Slide 12: IHG has a long history of Digital & Technological innovation
IHG has a long history of Digital & Technological innovation - leading the industry in revenue management and guest reservation technology 2017+ IHG ConcertoTM HOLIDEX® HOLIDEX® II GRS 1965 1979 2002 2017 Guest Reservations Revenue Management 1993 2006 2008 2017 Along with a new user HIROTM PERFORMS
Slide 13: Brand organisation restructured into categories to maximise synergies & efficiencies
Brand organisation restructured into categories to maximise synergies & efficiencies and to drive performance Mainstream Upscale Luxury 552k rooms open 130k rooms open 78k rooms open 184k pipeline rooms 45k pipeline rooms 20k pipeline rooms 4 May 2018 © 2018 All Rights Reserved Proprietary and confi
Slide 14: Mainstream – continuing to innovate to stay fresh and relevant
Mainstream – continuing to innovate to stay fresh and relevant Elevating design to drive consistency and distinctiveness for guests Launching F&B solutions to enhance guest experience and owner returns Introducing new Brand Identity and Global Marketing to drive performance and maintain relevance wi
Slide 15: Mainstream – continuing to innovate to stay fresh and relevant
Mainstream – continuing to innovate to stay fresh and relevant Fresh design to drive consistency and distinctiveness for guest Elevating breakfast to amplify leadership position for key guest moment Introducing new Brand Identity and Global Marketing to drive performance and distinctiveness in a cro
Slide 16: Upscale – laying the foundations for future growth
Upscale – laying the foundations for future growth Crowne Plaza has a leading position in many markets We have been working to strengthen the brand in the Americas We are working to transform the guest experience globally 4 May 2018 © 2018 All Rights Reserved Proprietary and confidential – further r
Slide 17: Upscale – expanding our presence with boutique brands
Upscale – expanding our presence with boutique brands Hotel Indigo is expanding its footprint across all regions • Highest level of openings in 5 years • Accessing key “neighbourhood” locations, with new signings 4 May 2018 © 2018 All Rights Reserved Proprietary and confidential – further reproducti
Slide 18: Luxury – building on the opportunity for the world's largest global Luxury brand
Luxury – building on the opportunity for the world’s largest global Luxury brand InterContinental continues to lead the global Luxury segment, with industry accolades including: • “World’s Leading Hotel Brand” by the World Travel Awards for the 9th consecutive year • 3rd Place in KPMG/Nunwood custom
Slide 19: Luxury – leveraging IHG's system to build a global luxury boutique brand
Luxury – leveraging IHG’s system to build a global luxury boutique brand Driving global growth for Kimpton: • Opened first property outside of the Americas – the Kimpton De Witt in Amsterdam • Announced debuts for the brand in Greater China and South East Asia. Leveraging the benefits of Kimpton’s u
Slide 20: Augment portfolio with new brands - opportunities in each brand category
Augment portfolio with new brands - we have identified opportunities in each brand category Mainstream Upscale Luxury $40bn segment 50% growth Utilising IHG’s revenue IHG has industry leading management & reservation tools, IHG is the largest global Luxury midscale brand expertise strong B2B offer a
Slide 21: Augment portfolio with new brands - opportunities in each brand category
Augment portfolio with new brands - we have identified opportunities in each brand category Mainstream Upscale Luxury $40bn segment 50% growth Utilising IHG’s revenue IHG has industry leading management & reservation tools, IHG is the largest global Luxury midscale brand expertise strong B2B offer a
Slide 22: Regent Porto Montenegro
Regent Porto Montenegro
Slide 23: Regent Beijing
Regent Beijing
Slide 24: Regent Chongqing
Regent Chongqing S
Slide 25: Conclusions
Conclusions We are continuing to deliver high quality growth We have the right strategy and we are committed to making it work harder Our new strategic priorities will drive industry leading net rooms’ growth over the medium term We remain committed to returning surplus funds to shareholders 4 May 2
Slide 26: Annual General Meeting
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Slide 27: Resolutions
Resolutions 1. Report and Accounts 2017 2. Directors’ Remuneration Report 2017 3. Declaration of final dividend 4. Election and re-election of Directors 5. Reappointment of Auditor 6. Remuneration of Auditor 7. Political donations 8. Allotment of shares 9. Disapplication of pre-emption rights 10. Fu
Slide 28: Annual General Meeting
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