‘Melia Hotels’ Doubles Net Profit In Q1 2015 To €16M

13 May 2015 – Expansión

Melia Hotels International’s results are improving, driven (primarily) by the strength (of the recovery in the) Spanish tourism sector. The chain controlled by the Escarrer family increased revenues by 13.64%, to €358.9 million during the first quarter (of 2015). Its gross operating profit (EBITDA) improved by 13.52%, to €60.2 million, whilst net profit doubled, from €8.15 million to €16.17 million.

Melia attributed this progress to the good performance of the hotel business, in which RevPar (revenues per available room) increased by 12%. And the increase was not driven by the holiday segment alone, the RevPar of the urban business segment also rose, by 14.8%.

For the full year, the company expects the increase in RevPar to be in the high single digits. Melia experienced a 5% increase in demand in Spain during Semana Santa (Easter), which it expects will be maintained this summer. In the Mediterranean, reservations for the summer season are almost 15% higher than in 2014. During the year to March, the group had signed 14 new contracts. Melia’s share price increased by 0.04% on the stock exchange yesterday to €11.24 per share.

Original story: Expansión (by Y. Blanco)

Translation: Carmel Drake

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