Holding its nerve as the pandemic choked occupancy rates and ploughing more cash into expanding the number of hotel rooms on its books proved a shrewd move for Whitbread. The owner of Premier Inn is hoping to repeat that trick in the face of the latest economic storm.
A long-term target to expand the core British Premier Inn business to 110,000 rooms has been lifted to 125,000, from a present estate of just under 83,000. Half-year profits 15 per cent higher than the pre-pandemic level and way ahead of market consensus show the rewards that can be derived from capitalising on supply leaving the market.
Increasing the number of Premier Inns helped to boost the top line, as did higher occupancy — but pricier room
