Accor’s revenue falls 15 percent during ‘unprecedented health crisis’

Accor chief executive Sébastien Bazin.

Accor has reported revenue of €768 million ($1.3 billion), down 17 per cent as reported and 15.8 per cent like-for-like during the first quarter of 2020.

Revenue per available room fell 25.4 per cent globally with each region reflecting the spread of coronavirus across the world from east to west.

Australia saw a decline in RevPAR of 18.2 per cent in comparison to Asia-Pacific (-33.7 per cent) Europe (-23.2 per cent) and North America (-22.2 per cent).

While more than 3100 of the group’s hotels are currently closed, Accor opened 58 hotels in the first three months of 2020, representing 8000 rooms.

“The world is facing an unprecedented health crisis that is having massive and unique impacts on the tourism industry,” said Accor CEO Sébastien Bazin.

“Nearly two-thirds of our hotels are currently closed, and most of the others are being used to support health-care workers and all those on the front lines of the fight against Covid-19. Against this backdrop, the efforts of our employees and our owners have been extraordinary.”

Bazin said the company is a strong position to address the current health crisis and is taking “aggressive measures” to adapt.

“Accor’s recent transformation has left the group with a robust balance sheet which will enable it to absorb the economic consequences of this crisis in the coming quarters,” he said.

“At the same time, we are preparing for the recovery alongside the authorities and professional organizations in the countries in which we operate so that the group will be well positioned to rebound as quickly as possible.”