MWB Group reports 'challenging' trading
by Pete Hayman | 22 Nov 2011
MWB Group, the parent company of the Malmaison and Hotel du Vin boutique brands, has reported "challenging" trading conditions for the first four months of the financial year.
The group said that demand in the period between 1 July and 18 November had "softened" due to consumer confidence being impacted by UK and Eurozone economic concerns.
However, Malmaison was able to deliver RevPAR in line with figures for 2010 as a result of improvements in room rates, while overall revenues were up 1.5 per cent on last year.
The period also saw the completion of five hotel sales and leasebacks totalling £102.9m, with proceeds used to reduce Malmaison's borrowings by around £100m to £180m.
A MWB spokesperson said: "The completion of the Malmaison transactions, along with the Group refinancing that was completed in June 2011, provide a more stable platform from which our operating businesses can move forward.
"Our management teams realise that in the current economic climate they need to adapt to changing market conditions to maximise occupancies and revenues and to efficiently manage costs."
MWB Group, the parent company of the Malmaison and Hotel du Vin boutique brands, has reported "challenging" trading conditions for the first four months of the financial year. The group said that demand in the period between 1 July and 18 November had "softened" due to consumer confidence being impacted by UK and Eurozone economic concerns. However, Malmaison was able to deliver RevPAR in line with figures for 2010 as
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