Announcements
NPRO - RevPAR in April for Norgani
Norgani's hotels had a strong performance in April. RevPAR (Revenue Per Available Room) as reported from the operators of Norgani's hotels in April were (performance in 2010 compared to same period in 2009):
Norgani Norway RevPAR April +14.5% Year to date -7.9%
Norgani Sweden RevPAR April +9.6% Year to date -0.6%
Norgani Finland RevPAR April +2.8% Year to date -0.4%
Norgani's revenues are generated as a percentage of the hotel operators' revenues (room revenue and other revenues). Improving RevPAR will consequently be positive for Norgani's revenues going forward. Norgani has 3 hotels in Denmark which currently only generate minimum rents or pay fixed rents.
CEO Anders Vatne in Norgani comments:
- We earlier expected that the hotel market would see growth towards the end of 2010 or in the beginning of 2011. The RevPAR development over the last few months may suggest that the market may turn positive somewhat earlier than previously expected.
- In light of the turbulent financial markets and the uncertain macro economic environment it is however too early to conclude that the hotel market again is growing.
- April has to some extent been positively impacted by the timing of the Easter, but towards the end of April the hotel market in the Nordics was negatively impacted by reduced travelling activity as a consequence of the volcanic eruption on Iceland.
Norgani intends to publish RevPAR figures on a monthly basis going forward. Norgani's RevPAR figures for May will be published early July. General market data for April has already been or will be published in June by the statistical authorities in the respective Nordic countries.
For further information, please contact:
Anders Vatne, CEO Norgani
Tel. +47 92 69 77 00
Svein Hov Skjelle, CFO Norwegian Property
Tel. +47 93 05 55 66