LONDON (ShareCast) - (Sharecast News) - InterContinental Hotels said on Thursday that revenue per available room is expected to have tumbled 80% in April as the coronavirus pandemic takes its toll on the business.
In an update for the first quarter, the hotel chain said that following a "solid" performance in the first two months of 2020, occupancy levels dropped to historic lows in March and April, dented by social distancing measures and travel restrictions.

Global RevPAR fell 25%, including a 55% decline in March, with April expected to show an 80% slide.

Chief executive Keith Barr said: "Covid-19 represents the most significant challenge both IHG and our industry have ever faced. We are responding on every front and taking decisive action to the benefit of all our stakeholders."

IHG said its previously-stated sensitivity of a $13m change in EBIT for every 1% change in RevPAR - before taking account of any cost actions - still holds, although this is expected to increase by around $1m through 2020 given hotel closures in its owned, leased and managed leased estate.

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