Home Press Releases Scandic’s year-end report 2016 – A strong finish to a successful year

Scandic’s year-end report 2016 – A strong finish to a successful year

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Fourth quarter 2016 in summary
RevPAR LFL grew by 5.2%, driven by higher occupancy and increased average room rates.
Net sales rose by 12.3% to 3,463 MSEK (3,085) due to higher RevPAR, more rooms in operation and positive currency effects.
Adjusted EBITDA grew by 38% to 457 MSEK (332) corresponding to a margin of 13.2% (10.8).
January – December 2016 in summary
RevPAR LFL increased by 6.3% driven by higher occupancy and increased average room rates.
Net sales rose by 7.3% to 13,082 MSEK (12,192) mainly due to increased RevPAR and more rooms in operation.
Adjusted EBITDA went up by 21% to 1,513 MSEK (1,246) corresponding to a margin of 11.6% (10.2).
The Board of Directors proposes an ordinary dividend of 3.15 SEK per share.
CEO’s comments in summary
Scandic ended the year with a strong fourth quarter and we exceeded our financial targets for 2016. During the quarter, we saw continued sales growth and margin improvement. Demand was generally positive in the Nordic markets and we continued to strengthen our market positions.
During the year, Scandic implemented a series of major investments in its commercial platform including enhancing our marketing organization. We also worked actively on our hotel portfolio and saw positive development at the five hotels we opened during the year. Following the agreements we announced at the beginning of 2017, we now have a record 17 hotels and more than 5,000 rooms in the pipeline.
Scandic is well equipped for 2017. We have a strong balance sheet that provides good opportunities for further expansion in the Nordic countries and selectively in the German market.
Frank Fiskers
President & CEO

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