Global hospitality group Accor is anticipating 2023 RevPAR growth of 15-20% on last year and has unveiled an EBITDA target of between €920 million and €960 million.
Speaking at a Capital Markets Day, held at the Group’s head office on Tuesday, Accor Chairman and Chief Executive Officer, Sébastien Bazin, said the business is taking advantage of the strengths of the two new divisions created in January 2023.
“Over the past 10 years, Accor has undergone a radical transformation,” he said.
“Now Asset Light, the Group has expanded its brand portfolio to become the leader in Luxury and Lifestyle, strengthened its geographical footprint and simplified its organisation, while preserving its financial independence and the strength of its balance sheet.
“With its two recently created divisions – Premium, Midscale and Economy on the one hand, and Luxury and Lifestyle on the other – the Group is embarking on a new chapter of rapid, profitable growth.”
Accor’s ambitious EBITDA targets include an average annual EBITDA growth rate for 2023-2027 of between 9% and 12%, and a return to shareholders of around €3 billion.
“We have great talents, unique brands, owners’ confidence, efficient digital tools, the energy and the desire. It’s now a question of execution,” Bazin added.
Accor intends to maximise EBITDA growth in the Premium, Midscale and Economy Division (PM&E) – organised by geographies – by consolidating the leadership of the ibis, Novotel and Pullman brands, increasing network density through conversion brands and strengthening compliance with brand standards.
In key markets, the business is focused on consolidating its leadership in Midscale and Economy, and seizing growth opportunities in the Premium segment.
In the Luxury and Lifestyle Division, organised by brand, Accor aims to strengthen the identity and appeal of iconic brands, offering unique, innovative and high-quality products and experiences.