20th May 2005 07:00
Hilton Group PLC20 May 2005 20 May 2005 Trading Update for the Four Months ended 30 April 2005 Group profit* for the first four months of the year was 4% down on last year'srecord high, reflecting tough trading comparatives in Betting and Gaming.Trading in the Hotel division continues to improve and the planned disposal of£300m to £400m of hotel assets is ongoing. Net debt** at 30 April 2005 was£748m (30 April 2004 £1,035m). Betting and Gaming Division Total gross win for Ladbrokes was in line with last year as the effect ofstronger turnover was offset by lower margins. Costs increased by 8.1%. UK Retail gross win fell by 1% due mainly to weak horseracing margins,particularly by reference to the prior year. The contribution from machinesgrew strongly with 7,522 Fixed Odds Betting Terminals (FOBTs) and Amusement withPrizes (AWPs) now deployed across the estate. Our betting shop refurbishmentand acquisition programme continues. A total of 33 shops have been acquired todate and more are expected shortly. Telephone betting gross win reduced by 8% despite a high contribution from highrollers. eGaming gross win increased by 23%. Hotels Division Trading conditions in the hotel division have remained positive with goodoccupancy led revpar growth in all regions except the UK Provinces.Importantly, Scandinavian revpar continues to be strong. The refurbishment of the Hilton Sydney is finally complete and is due to open 15July 2005. Revpar increase/(decrease) - 2005 vs. 2004## January February March/April### YTD London 2.6% 6.3% 4.1% 4.3% UK Provinces (2.5)% 0.6% 0.4% (0.3)%Total UK 0.4% 3.7% 2.7% 2.4%Europe & Africa 12.4% 11.6% 8.9% 10.3% Middle East 30.3% 3.0% 20.3% 19.2% Asia Pacific 15.9% 6.3% 11.6% 11.4%Middle East & Asia Pacific 23.7% 4.6% 14.9% 14.8% Americas 17.2% 10.7% 15.8% 14.7% Total Hilton brand 12.9% 7.2% 8.8% 9.4% Scandic brand 10.8% 9.7% 7.9% 8.9% Total Hotels 12.8% 7.9% 8.9% 9.6% ## Like for like, constant exchange rates ### March/ April combined due to timing of Easter Revpar increase/(decrease) - 2005 vs. 2004## January to April Owned & fixed lease 6.4% Contingent lease 8.1% Management contracts 14.4% ## Like for like, constant exchange rates Outlook The Hotel division is expected to benefit from continuing revpar improvementduring the remainder of the year. For Betting and Gaming, after a challengingstart to the year, an expectation of improving margins should lead to goodgrowth in the second half. * Before taxation, exceptional items and excluding the impact of IAS 32 & 39. ** Excluding the impact of IAS 32 & 39. Enquiries to: David Michels, Group Chief ExecutiveBrian Wallace, Deputy Group Chief Executive and Finance DirectorAlex Pagett, Group Corporate Affairs Director (mobile +44 (0)7974 229888)James Mason, Head of Investor Relations (mobile +44 (0)7974 229462) Telephone: +44 (0)20 7856 8109 A conference call for analysts and investors will take place at 8am (UK time)today. To participate in the conference call dial +44 (0) 207 162 0125 and askfor the Hilton Group Trading Update. A recording of the conference call will beavailable until 31 May 2005 and can be accessed by dialling +44 (0) 207 031 4064and quoting the pass code 661008. HIGH RESOLUTION IMAGES ARE AVAILABLE TO DOWNLOAD FREE OF CHARGE ONWWW.VISMEDIA.CO.UK. THIS INCLUDES PROFILE SHOTS OF THE GROUP BOARD. FOR FURTHER INFORMATION ON HILTON GROUP, PLEASE VISIT OUR CORPORATE WEBSITE, AT:WWW.HILTONGROUP.COM. This information is provided by RNS The company news service from the London Stock ExchangeRelated Shares:
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