During the first quarter of 2020 Accor has seen total revenue fall 17 percent to €768 million as the COVID-19 outbreak and it shows up in financial reports.
RevPAR at the company fell by 25 percent over the period, reflecting the sharp deterioration in the environment.
It was noted that the average room rates were down by a third in Asia-Pacific, with Europe and North America showing falls in RevPAR of 23.2 and 22.2 percent respectively.
Sébastien Bazin, chief executive of Accor, said that the world is facing an unprecedented health crisis that is having massive and unique impacts on the tourism industry.
Nearly two-thirds of their hotels are currently closed, and most of the others are being used to support healthcare workers and all those on the front lines of the fight against COVID-19.
He went on saying that today their challenge is twofold: manage the emergency and prepare for the rebound.
“The group is strongly addressing the current situation and taking aggressive measures to adapt to our organization.
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.
They are also preparing for the recovery alongside the authorities and professional organisations in the countries in which we operate so that the group will be well positioned to rebound as quickly as possible.
Accor opened 58 hotels in the first quarter which represented 8,000 rooms.
Tags: Accor
