Stock Markets January 28, 2026

PPHE Hotel Group posts robust Q4 as full-year 2025 results align with forecasts

Room revenue and RevPAR advance in the fourth quarter, full-year metrics expected to meet market expectations

By Ajmal Hussain PPH
PPHE Hotel Group posts robust Q4 as full-year 2025 results align with forecasts
PPH

PPHE Hotel Group said its strong fourth quarter performance lifted quarterly room revenue and RevPAR, while the company expects its reported 2025 total revenue and EBITDA to be in line with market forecasts. Full-year room revenue is forecast at £330.4 million, with annual RevPAR of 3.4.

Key Points

  • PPHE reported a strong fourth quarter with room revenue up 4.9% and RevPAR up 5.0%, supported by a 7.8% rise in average room rate and favorable FX movements - this primarily affects the hospitality and travel sectors.
  • Full-year 2025 reported room revenue is forecast at £330.4 million, a 4.2% increase year-on-year, with annual RevPAR at 3.4 - this has implications for company valuation and hotel sector revenue trends.
  • Regional performance diverged: UK hotels saw occupancy-led growth, while the Netherlands and Germany experienced subdued trading; Croatia had a strong summer season - relevant to investors focused on geographic exposure within hospitality.

PPHE Hotel Group reported a strong finish to 2025, saying on Wednesday that total revenue and EBITDA for the full year are expected to meet market expectations after a particularly solid fourth quarter.

In the fourth quarter, the group recorded a 4.9% increase in room revenue and a 5.0% rise in revenue per available room (RevPAR). Those gains were supported by a 7.8% uplift in average room rate and by favorable foreign exchange movements, the company said.

Looking at like-for-like performance, Q4 like-for-like revenue rose 4.6%, while like-for-like RevPAR increased by 3.6%.

For the full year 2025, PPHE has forecast reported room revenue of £330.4 million, a 4.2% increase versus the prior year. Annual RevPAR rose 2.6% to 3.4, supported by an average room rate of £164.3 and occupancy of 75.1%. On a like-for-like basis, RevPAR rose 2.4% for the year.

Regional trading showed a mixed picture. The company's UK hotels benefited from occupancy-led growth, the update said. By contrast, trading in the Netherlands and Germany remained subdued over the period. Croatia produced a strong summer season, contributing positively to the full-year results.

Greg Hegarty, Co-CEO of PPHE Hotel Group, commented on the performance, saying: "2025 was another year of financial and strategic progress for PPHE Hotel Group, achieved against a volatile macroeconomic and geopolitical environment. We are encouraged by our solid delivery in the final quarter of the year, with full-year results expected to be in line with market expectations."


Summary of key metrics:

  • Q4 room revenue: +4.9%
  • Q4 RevPAR: +5.0%
  • Q4 average room rate: +7.8%
  • Full-year reported room revenue (forecast): £330.4 million
  • Full-year RevPAR: 3.4 (+2.6%)

Risks

  • Volatile macroeconomic and geopolitical conditions cited by management could constrain future performance - this poses risks to the broader hospitality and travel sectors.
  • Subdued trading in the Netherlands and Germany indicates regional demand weakness that could dampen group-wide revenue if conditions persist - this affects investors with exposure to continental European hotels.
  • Revenue and margins are affected by foreign exchange movements; while FX was favorable in Q4, adverse currency shifts could negatively impact reported results - relevant to multinational hospitality operators and investors.

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