InterContinental Hotels Group enjoyed a positive performance across its global portfolio in the first quarter of 2025, marred only by softer demand at its Chinese hotels.
Revpar was up 3.3% globally, with the EMEEA region up 5%, and the Americas up 3.5%. In contrast, the figure for Greater China was a negative 3.5% in a market with strong comparables against the previous year, plus an inclination among the Chinese to travel outbound for their leisure trips.
A growing pipeline
During the quarter, IHG signed 25,800 rooms to its pipeline, growing it by 9.4%, a number that was boosted by the acquisition of the Ruby urban lifestyle brand in Europe. The company said around 60% of openings are now conversion properties, which also made up 40% of organic signings during the period.
“We celebrated the opening of 14.6k rooms across 86 hotels in the quarter, well over double the same period last year,” said CEO Elie Maalouf. “A strong signings performance of 25.8k rooms across 158 properties was also well ahead of 2024.”
The newly acquired Ruby brand has a strong pipeline of projects under construction. Ruby Hotel Rome will open in the first half of 2025, while the 237 room Ruby Marseille will open in late 2025.
Further sites in Berlin, and Frederiksberg in Denmark are in planning. Ruby Hotel Rotterdam Glashaven will be ready during 2026, following conversion of an office building in the city, along with Ruby Kungsholmen in Stockholm, also an office conversion. In Valletta, a series of historic buildings in the centre will be combined to create Ruby Malta, while in Budapest, the historic Corvin Palace retail store is being repurposed to include a Ruby hotel.
The group’s Voco brand is also building traction in EMEEA. The brand favours conversions, and sites under construction include Voco Katowice, due to open later in 2025, plus another Polish project, Voco Resort Szklarska Poreba expected to launch in early 2026. Other signings include Voco Granada, and Voco Angers, which will see a former post office in the town centre converted.
Several projects are also heading towards opening under the group’s Vignette Collection. These include the Vignette Collection Mallorca Finca Banyols, opening shortly, the Onyria Marinha Cascais in Portugal, the The Chania Hotel on the Greek island of Crete.
A positive outlook, despite tariff concerns
The company’s management pronounced themselves unconcerned by recent economic issues arising from president Donald Trump’s declaration of trade tariffs. “Looking ahead, while noting that some forward economic indicators have softened, our comparable on-the-books global revenue for Q2 continues to show growth on the same position a year ago,” said Maalouf.
“Our ability to capture demand across geographies and chain scales, as well as being heavily weighted to domestic stay occasions, are resilient strengths of our business. As a result, while still early, we remain on track to meet full year consensus profit expectations.”
