IHG gets Asia boost, but riots will hit London trade

Wednesday 10 August 2011 05:00 EDT
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Strong performances in China and the US helped InterContinental Hotels Group (IHG), the operator of the Holiday Inn, Intercontinental and Crowne Plaza brands, post a rise in first-half profits.

But Richard Solomons, the chief executive of IHG, warned this week's rioting and looting in London will deter some overseas visitors to the capital in the short-term and he described the disturbances as "very concerning".

His comments came after IHG delivered a 23 per cent jump in operating profits to $269m over the six months to 30 June, on sales up by 10 per cent to $850m. The rise was driven by a 6.7 per cent increase in revenue per available room, which is a key measure of performance for the hotel industry.

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