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

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

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 Price Performance

Shares of LON:PPH opened at GBX 2,000 on Friday. The company has a debt-to-equity ratio of 390.56, a quick ratio of 1.19 and a current ratio of 0.98. The company has a market capitalization of £837.12 million, a P/E ratio of 39.22 and a beta of 1.11. PPHE Hotel Group has a fifty-two week low of GBX 1,180 and a fifty-two week high of GBX 2,090. The company’s 50-day moving average is GBX 1,864.82 and its 200 day moving average is GBX 1,646.57.

Analysts Set New Price Targets

Separately, Jefferies Financial Group increased their target price on PPHE Hotel Group from GBX 1,600 to GBX 1,920 and gave the stock a “buy” rating in a report on Thursday, November 13th. One analyst has rated the stock with a Buy rating and one has assigned a Hold rating to the stock. According to MarketBeat, the stock presently has an average rating of “Moderate Buy” and an average 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.