HAMILTON, Bermuda, August 1, 2012 /PRNewswire/ --
- Same store revenue per available room ("RevPAR") for the quarter up 3% in local currency and down 2% in US dollars
- Second quarter total revenue before real estate down 2% to $163.8 million from $167.8 million
- Second quarter revenue from owned hotels down 4% to $130.7 million from $135.6 million
- Adjusted EBITDA before real estate for the second quarter down 3% to $41.5 million from $42.7 million
- Adjusted net earnings from continuing operations for the second quarter up to $14.8 million from $10.2 million
- Opened Palacio Nazarenas, a 55-key all-suite hotel in Cuzco, Peru
- Entered into agreements to sell The Observatory Hotel in Sydney and The Westcliff in Johannesburg
Orient-Express Hotels Ltd. (NYSE: OEH, http://www.orient-express.com) (the "Company"), owners or part-owners and managers of 46 luxury hotel, restaurant, tourist train and river cruise properties operating in 23 countries, today announced its results for the second quarter ended June 30, 2012.
"We have experienced a challenging second quarter," said Philip Mengel, Director and Interim Chief Executive Officer. "The continued economic uncertainty in the Eurozone has affected demand for luxury travel from European sources, and the weakening of the euro and other currencies against the dollar has reduced the dollar value of our revenues.
"Despite these challenges," Mr. Mengel continued, "we are pleased that our underlying revenue in local currencies has continued to grow. Excluding the effects of currency movements, total revenue before real estate for the second quarter was $6.1 million, or 4%, ahead of the second quarter of 2011. If we look forward, total owned hotels' revenue on the books for the full year 2012 shows a 5% increase compared to 2011 when the effects of currency are excluded."Our strategy to redeploy capital from non-core properties is proceeding on plan. We have recently announced agreements to sell The Observatory Hotel and The Westcliff. The sale proceeds will be allocated to debt reduction, corporate liquidity and our active program of investments in core properties. In June, our Peruvian hotel joint venture opened Palacio Nazarenas, an all-suite property in Cuzco, Peru, and we have exciting revenue-enhancing investment projects in progress across the portfolio." Second Quarter 2012 Earnings Summary