PPHE Hotel Group (LON:PPH) Posts Quarterly Earnings Results

PPHE Hotel Group (LON:PPH) issued its quarterly earnings results on Thursday. The company reported GBX 62 EPS for the quarter, Digital Look Earnings reports. PPHE Hotel Group had a net margin of 5.15% and a return on equity of 7.10%.

Here are the key takeaways from PPHE Hotel Group’s conference call:

• Revenue up 5.3% to £466m with EBITDA roughly flat/growing to ~£138m and EPRA earnings steady at £53m (£1.25/share), supporting a full-year dividend of £0.39.
• Balance sheet reinforced — net debt ~£775m (LTV ~35%), £910m gross debt, recent refinancing extends average maturity to 4.2 years at ~4.2% and improves liquidity; $33.5m New York disposal proceeds to be recycled into Europe.
• Large investment pipeline and completed CapEx cycle — over £300m recent multi-year program finished and secured London projects (Park Royal 616 units, Westminster Bridge Road, Leman Street, Victoria Park basement) expected to drive future earnings as they stabilize.
• Cost pressures and valuation headwinds — government-driven wage and social charge inflation plus one-off central costs compressed margins, and EPRA NRV per share dipped to £27.40 mainly due to weaker UK property valuations after higher business rates.
• Strategic review ongoing since Nov 2025, limiting disclosure on forward-looking plans; management indicated some provincial hotels could be considered non-core but gave no firm disposal roadmap.

PPHE Hotel Group Stock Down 2.1%

Shares of LON:PPH traded down GBX 43 during trading on Thursday, hitting GBX 1,972. The stock had a trading volume of 13,822 shares, compared to its average volume of 66,305. The company has a quick ratio of 1.19, a current ratio of 0.98 and a debt-to-equity ratio of 390.56. The company has a market capitalization of £825.40 million, a PE ratio of 38.67 and a beta of 1.11. The firm’s fifty day moving average is GBX 1,855.46 and its 200 day moving average is GBX 1,642.30. PPHE Hotel Group has a 12 month low of GBX 1,180 and a 12 month high of GBX 2,090.

Analyst Ratings Changes

Separately, Jefferies Financial Group upped their price objective on PPHE Hotel Group from GBX 1,600 to GBX 1,920 and gave the stock a “buy” rating in a research report on Thursday, November 13th. One analyst has rated the stock with a Buy rating and one has issued a Hold rating to the company’s stock. Based on data from MarketBeat.com, PPHE Hotel Group currently has a consensus rating of “Moderate Buy” and a consensus target price of GBX 1,660.

PPHE Hotel Group Company Profile

PPHE Hotel Group is an international hospitality real estate company, with a £2.2 billion portfolio, valued as at December 2024 by Savills and Zagreb nekretnine Ltd (ZANE), of primarily prime freehold and long leasehold assets in Europe.

Through its subsidiaries, jointly controlled entities and associates it owns, co-owns, develops, leases, operates and franchises1 hospitality real estate. Its portfolio includes full-service upscale, upper upscale and lifestyle hotels in major gateway cities and regional centres, as well as hotel, resort and campsite properties in select resort destinations.