International Hotel Investments plc – Interim Directors’ Statement

International Hotel Investments plc announced that the operating results for the first four months of 2014 indicate mixed performances reflecting the political and economic conditions prevailing in the countries where IHI owns its properties.

The Gross Operating Profit (GOP) of the London hotel has increased by 60 per cent over the corresponding period in 2013, reflecting the continued market penetration by this flagship property. Improved performances were also registered by both the Malta hotels. There has been a marginal improvement in the results of the hotel property in Prague whilst the performance of the hotel property in Budapest was at par with last year’s results. The Tripoli, St Petersburg and Lisbon hotels reported drops in performance. On the other hand, rental income from the Commercial centres in Tripoli and St Petersburg remained stable in relation to the first four months of 2013.

CHI, the hotel management company which is 100 per cent owned by IHI, improved its performance over the corresponding period in 2013.

As announced last month the 11 apartments in Whitehall Place, London were sold by NLI Holdings Limited (NLI) in which IHI has a 50 per cent shareholding, while the remaining apartment, the Penthouse, is being retained by NLI.

Forecasts for the full year 2014 indicate an overall improvement in the Group’s GOP over that achieved in 2013. However the evolving situations in Libya and in the Russian Federation have impacted business activities in the IHI hotels in these locations. The situation, in both cases, is being kept under close review.

The Board of Directors of IHI in April approved the payment of a net interim dividend of 3 cents per share.

To view the official company announcement, click here.