Malmaison and Hotel Du Vin hotels have continued to "go from strength to strength" achieving record occupancy and strong turnover and profit growth in the past year.
With 17 hotels operating in total under the two brands as of 31 December 2006, the company saw turnover climb 6% to £79.1m (2005: £57.1m).
Earnings before interest, depreciation and amortisation, a measure of underlying profitability, jumped 44% to £23.4m (2005: £16.2m).
Occupancy in the 18 months to 31 December also improved from 79% to a record 81% and like-for-like sales growth in the past year was 6%.
Average room rate for the year rose 5% to £106 (2005: £101).
Owner Marylebone Warwick Balfour said in a statement: "While the board is always cautious about being over optimistic, we do view the current year with high expectations."
A new Malmaison opened this January in Liverpool and the company has eight new sites due to launch within the next 18 months.
By Chris Druce