Accor SA (OTCPK:ACRFF) Q3 2024 Earnings Call October 24, 2024 12:00 PM ET
Company Participants
Martine Gerow – Chief Financial Officer
Conference Call Participants
Vicki Stern – Barclays
Julien Richer – Kepler
Muneeba Kayani – Bank of America
Jaina Mistry – Jefferies
Leo Carrington – Citi
Alex Brignall – Redburn Atlantic
Estelle Weingrod – JPMorgan
Andre Juillard – Deutsche Bank
Operator
Hello and welcome to Accor Group’s Q3 2024 Revenue Conference Call. Please note this conference is being recorded. [Operator Instructions] I now give the floor to Madam Martine Gerow, Accor’s CFO, to begin this conference. The floor is yours.
Martine Gerow
Thank you and good evening, everyone, and thank you for joining Accor’s third quarter trading update call. And without further ado, I’ll start with the key highlights on Slide 3. So I’m pleased to report yet another strong quarter with robust top line performance in line with our perspectives for 2024. So our activity growth, as you can see on the left side, was solid in the third quarter. Demand remained strong with a RevPAR growth of 5.3% in the quarter, benefiting from the Olympic Games in France but also the diversification of our portfolio pricing remains supportive with rates improving by 4% year-over-year in the third quarter. Occupancy was also up, gaining 1 point to 70% in the quarter.
Turning to net unit growth. Net unit growth reached 3.2% on an LTM basis at the end of September, which is in line with our full year guidance. As we anticipated, churn was higher this quarter as compared to the third quarter of last year, primarily driven by the portfolio upgrade program we have in the PME division and we do expect this to normalize in the fourth quarter. We regained positive momentum in the pipeline, which increased 6% versus last quarter. Pipeline totaled 231,000 rooms and this
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