easyHotel pre-tax profits up

easyHotel reports total system sales and profit before tax up 6.8% and 38.4% respectively in the year to the end of September.

Financial highlights

- Total system sales up 6.8% to £21.32m (2015: £19.95m)

- Total revenue up 8.7% to £6.02m (2015: £5.54m)

- Like for like owned hotels revenue growth of 13%

- Adjusted EBITDA up 6.5% to £1.55m (2015: £1.46m)

- Profit before tax up 38.4% to £1.09m (2015: 0.79m)

- Basic earnings per share of 1.4p (2015: 1.0p)

- Proposed final dividend of 0.22p per share on the enlarged share base (2015: 0.33p per share), making the total dividend for the year 0.33p per share (2015: 0.33p per share)

Chief executive Guy Parsons said: "We are on track to deliver the development plans we announced in September 2016.

"2015/2016 was a transformational year for easyHotel, with excellent operational progress made across the business and a significant acceleration of both our owned and franchise hotel development pipelines.

"The Board remains confident that by exploiting the strength of the brand, easyHotel will continue to outperform the budget hotel sector as consumers seek out the best value for money.

"With the experienced team we now have in place and the proceeds of our recent fundraising, we are in an excellent position to expand the easyHotel brand and deliver improving returns for our shareholders."