For the Group's Australia business, Accor has noted an "oversupply in major cities and the upcoming general elections... resulting in a 1.6% decrease in RevPAR"
Group's RevPAR up 1.6%
Australia RevPAR down 1.6%
Australian market hurdles: oversupply & upcoming elections
Accor's consolidated first quarter revenue numbers were mostly positive, however they indicated that Australia was one of the group's poorest performing markets.
"The slight contraction in business in Asia-Pacific (RevPAR down 0.6%) is driven by Australia, where oversupply in major cities and the upcoming general elections affected prices and occupancy rates, resulting in a 1.6% decrease in RevPAR."
Accor remains the largest hotel operator in Australia with over 350 hotels, due partly to the group's 2018 acquisition of the second largest operator, Mantra.
The Group's "consolidated first-quarter 2019 revenue totalled €987 million, up 34.2% as reported and 8.8% like-for-like (LFL)... and RevPAR increased by 1.6%, with mixed performances depending on the region: Europe was resilient (+3.3%), while Asia-Pacific was down slightly (-0.6%)"
"During the first quarter, Accor opened 71 hotels, representing nearly 8,300 rooms. At the end of March 2019, the Group’s pipeline comprised 1,135 hotels and 200,000 rooms, of which 78% in emerging markets and 50% in the Asia-Pacific region."