2005 has begun with a recovery at the hotels in Central Europe, consolidating the trend in place towards the end of 2004. An even more positive note was the improved performance of the hotels in Spain, where there was a considerable increase in occupancy levels.
However, with the Easter holidays falling in March rather than April this year, there was a negative impact on the hotels’ performance in the first three months of the year, and we have to include the figures of the first four months, to the end of April, before drawing any firm conclusions from the analysis.
Even including the negative impact of the Easter holidays, sales derived from the hotel activity rose by 1.2% and GOP by 1.3%, while EBITDA fell by 8% due to higher leasing costs on new openings.
This sales growth is based on a 3.9% increase in occupancy, as a consequence of which RevPar at comparable hotels in Europe has remained stable.
The figures to 30th April indicate RevPar growth of 4.15% at comparable hotels. The highlights were growth of 6.2% in Benelux, 8.6% in Germany and 10% in Switzerland,&Austria&Hungary, while RevPar at comparable hotels in Spain shows slight growth of 0.1%.
One positive aspect was that in the year to April, hotel occupancy improved across the board in all NH Hoteles’ markets, both in Europe and Latin America.
Mercosur’s figures to end-March were positive, with recovery in both occupancy and ADR in local currency terms, although exchange rates are still a negative factor. In Argentina, RevPar in local currency terms grew by 37.2%. In Mexico, the Easter holidays had a greater impact and RevPar fell by 4.2%, but the figures to end-April indicate growth of 1%.
The attempts to cut costs continue to give excellent results. In the first quarter of 2005, cost-savings at comparable hotels reached €9.47m.
At 31st March, 2005 consolidated net debt amounted to €564,64m. The financial gearing ratio (Net Debt/Equity) was 0.67x, compared to 0.61x at year-end 2004.

Real Estate Business - Highlights:
• In the first quarter of 2005, the trend at the Sotogrande in the same very positive vein. Sales reached €11.17m and EBITDA €6.54m. In March 2004, a large plot was sold for €21m, whereas in the first quarter of 2005, sales only reflected ordinary activity, which was 70.5% higher than in the same period last year.
• At 31st March, 2005 confirmed sales, not included in the accounts, amounted to €90.41m. compared to €64.80m at yearend
2004.

Dividendos

Fecha de abono Fecha ex dividendo Importe bruto Importe neto Tipo Concepto del dividendo
1 de junio 2004 31 de mayo 2004 0,25€ por acción 0,2125€ por acción Ordinario Único Reparto beneficio
1 de julio 2005 30 de junio 2005 0,25€ por acción 0,2125€ por acción Ordinario Único Reparto beneficio