MEXICO CITY--(BUSINESS WIRE)--Hoteles City Express S.A.B. de C.V. (BMV: HCITY) (“Hoteles City” or “the Company”), one of Mexico’s leading and fastest-growing limited service hotel operators, announced today its results for the third quarter (“3Q13”) and nine-month period (“9M13”) ended September 30, 2013. These figures were prepared in accordance with International Financial Reporting Standards (“IFRS”) and are presented in Mexican Pesos (“$”).
Financial and Operating Highlights (3Q13)
- Total Revenues reached $288.3 million, an increase of 16.9% when compared to 3Q12 due largely to the 13.2% increase in the number of Installed Room Nights at the hotel chain level and a 5.7% increase in the number of Occupied Room Nights.
- Operating Profit totaled $54.4 million in 3Q13, up 35.8% when compared to 3Q12.
- EBITDA and Adjusted EBITDA reached $93.1 million and $94.8 million, respectively, which represent increases of 21.7% and 18.1%, when compared to 3Q12. EBITDA and Adjusted EBITDA margins reached 32.3% and 32.9%, respectively.
- The Company reported Net Income of $27.4 million, up 497.6% versus 3Q12.
- At the hotel chain level, Average Occupancy Rate reached 56.2%, while Average Daily Rate (“ADR”) increased 6.1% to $724 and Revenue per Available Room (“RevPAR”) decreased 1.0% to $407.
- The number of hotels in operation at the hotel chain level reached 74 as of September 30, 2013, compared to 67 as of September 30, 2012. The number of rooms in operation at the close of 3Q13 reached 8,399 compared to 7,585 in 3Q12, which represents an increase of 10.7%.
Comments from the Chief Executive Officer
Luis Barrios, Chief Executive Officer of Hoteles City, commented, “We are pleased to present our second earnings release following our IPO on the Bolsa Mexicana de Valores (Mexican Stock Exchange) this past June. Although economic activity indicators in Mexico showed signs of slowing, we maintain our growth plans. Our expectation is that economic growth drivers in the country will be reactivated in coming months.
"Notably, during the first nine months of the year we reported positive financial and operating results, both in line with our accelerated growth profile. We remain focused on our operations and are working diligently to open a total of 13 new hotels in 2013, with most of them starting operations in the fourth quarter.”
3Q13 Conference Call Details:
Hoteles City will host a conference call to discuss these results:
Date: Thursday, October 24, 2013
Time: 11:00 a.m. Eastern Time / 10:00 a.m. Mexico City Time
Dial-in: (800) 311-9401 (from within the U.S.) / (334) 323-7224 (from outside the U.S.)
Conference Replay (available for 30 days):
Dial 1-877-656-8905 or 1-334-260-9999
Passcode is: 23225800
The long version of the 3Q13 Earnings Release with complete financial statements is available at: http://www.hotelescity.com/en/investors/financial-information.aspx
About Hoteles City:
Hoteles City is considered the leading and fastest-growing limited-service hotel chain in Mexico, in terms of number of hotels, number of rooms, geographic presence, market share and revenues. Founded in 2002, Hoteles City specializes in offering high-quality, comfortable and safe lodging at affordable prices via a limited- service hotel chain geared towards the domestic business traveler. With 75 hotels located throughout Mexico, and 1 in Costa Rica, Hoteles City operates three distinct brands: City Express, City Suites and City Junior to serve different segments of its target market. In June 2013, Hoteles City successfully completed its IPO and began trading on the Mexican Stock Exchange under the ticker symbol “HCITY”. For more information, please visit our website: http://www.hotelescity.com/en/investors
The information presented in this report contains certain forward-looking statements regarding Hoteles City Express, S.A.B. de C.V. and its subsidiaries (“the Company”), which are based on the understanding of its management as well as assumptions available to the Company. These statements reflect the Company’s current vision regarding future events and are subject to certain risks, factors of uncertainty and assumptions. Many factors may cause the results, performance and actual achievements of the Company to be materially different from those expressed or implied by these forward-looking statements, including among others, changes in the general economic or political conditions, government and commercial changes at the global level and in the countries in which the Company operates, changes in interest rates and inflation, exchange rate volatility, changes in the business strategy and various other factors. If one or more of these uncertainty factors come to be or if the assumptions utilized are incorrect, actual results can differ materially from those expressed as forward-looking statements, estimated or expected. The Company expressly disclaims any obligation or undertaking to release any update of or revisions to any forward looking statements in this presentation.