Travelodge has posted its results for the year ended 31 December 2018, showing a total revenue rise of 8.8% to £693.3m (2017: £637.1m).
RevPAR rose by 3.2% to £41.69 (2017: £40.40), and RevPAR growth was 2.3pts ahead of competitive segment.
Occupancy increased 2.5pts to 78.5% and average room rate was maintained at £53.09 (2017: £53.13).
During the period, the company saw EBITDA (adjusted) increase by £9.6m to £122m
Travelodge opened 17 new hotels in the year, with a further three shortly after year end.
'Premium economy’ SuperRooms were rolled out across 47 hotels, and the first ‘budget chic’ Travelodge Plus hotels were launched.
The company's portfolio stood at 575 hotels/43,840 rooms (up 4%) by the end of the period.
Peter Gowers, Chief Executive, commented, 'Our strategic focus on location, price and quality has enabled Travelodge to deliver a set of excellent results. We extended our network of hotels, remained focused on delivering attractive prices and took another step forward on quality.
'Once again we outperformed our competitive segment and delivered another year of strong growth, with EBITDA up £9.6m to £122m. These are uncertain times and we are not immune from the short-term challenges, but beyond, we remain confident that there are more opportunities ahead.”
Gowers continued, 'These results highlight Travelodge's transformation over the last five years. Over that period, Travelodge’s sales are up by more than £250m, we’ve outperformed our competitive segment for five years in a row, opened more than 60 new hotels and more than trebled our profitability.
'We've invested in better quality and choice for our guests, while staying true to our budget roots. People are noticing the difference, culminating in our being recognised, for the first time, as one of the world's top ten global hotel chains by TripAdvisor.'
Gowers finished, 'The long-term growth opportunities for the budget sector remain strong and we expect to open 100 new hotels over the next five years, creating approximately 3,000 jobs.'