Budget hotel chain Travelodge – which is active across the UK, Ireland and Spain – has delivered a positive medium-term growth outlook for its business, with fourth quarter revenues already 4% up year-on-year.
For the first nine months of this year, the hotel group said revenues were broadly flat, year-on-year, at just over £783m. This was largely due to a weak first half of the year in its core market of the UK, but the company said it remains well positioned for future growth.
Jo Boydell, Chief Executive of Travelodge, said: “Looking ahead, we are encouraged by positive trading momentum in the fourth quarter, with total revenue to date c.4% ahead of 2024 and forward bookings also ahead of last year, however, we note the usual limited visibility. Amid ongoing macroeconomic and political uncertainty – including cost pressures from the UK Budget – we remain cautious about consumer demand and cost inflation. However, Travelodge is well positioned for medium-term growth and is confident in the structural outlook for budget hotels, underpinned by proven resilience, strong fundamentals and an attractive supply backdrop.”
