Budget hotel group Travelodge has reported an increase in turnover from £624m in 2017 to £680.2m for 2018.
That is according to the financial results for Travelodge Hotels, the group's UK and Ireland business, filed with Companies House for the year ended 31 December 2018.
This was primarily due to like-for-like revenue per available room (revpar) growth of 3.2% to £41.69, maturity of the 15 hotels it opened in 2017 and the 17 opened in 2018, and strong revenue growth in food and beverage.
Occupancy was up from 76% to 78.5% while average room rate was maintained at £53.09 (compared to £53.13 in 2017). Earnings before interest, tax, depreciation and amortisation (EBITDA) were up £10.2m to £119m despite cost pressures such as National Living Wage and higher business rates.
2018 saw Travelodge launch its first Travelodge Plus hotels, and the City of London Travelodge Plus is performing "in line with expectations".
The group said the first quarter of 2019 had seen "mixed trading", with relatively strong London growth offset by declining performance in the regions, however the period typically sees the smallest revenue terms and lowest occupancy. Travelodge said it maintains a "cautious short-term outlook" due to the "well documented cost pressures facing the wider sector" and the "uncertain" UK economic situation.
Travelodge leases, franchises and manages 575 hotels across the UK, Ireland and Spain and is "on track" to open 20 new hotels this year, with the majority scheduled for the final quarter.