Why Did PPHE Hotel Group Limited Shares Rise on 13 November 2026?

PPHE Hotel Group Limited (LSE:PPH) shares rose 0.77% to 1,570p on 13 November 2026. The hospitality real estate group has been in focus after its interim results and its third-quarter trading update.

The H1 2026 results showed growth in Revenue and EBITDA, led by its London hotels, and a return to profit compared with a loss in the same half last year.

Key Highlights

H1 2026 revenue rose 4.7% to £209.3m, or 5.5% on a like-for-like basis. EBITDA increased 6.3% to £48.4m, with a Margin of 23.1%.

RevPAR (revenue per available room) rose 3.9% to £113.5, and the average room rate was £157.3. The board approved an Interim Dividend of 17 pence per share.

The third-quarter update reported revenue growth of 5.8%, with RevPAR up 6.6%.

About PPHE Hotel Group Limited

PPHE Hotel Group is a Guernsey-registered international hospitality real estate group that develops, owns and operates hotels and resorts. It holds an exclusive, perpetual licence from the Radisson Hotel Group to develop and operate Park Plaza branded hotels in Europe, the Middle East and Africa, and also operates the art'otel brand.

The group also holds a controlling interest in Arena Hospitality Group, which is listed in Zagreb and operates hotels and campsites in Croatia.

H1 2026 Financial Performance

Growth reflected higher room rates and steady occupancy across the portfolio. Like-for-like EBITDA rose 8.0% to leave the like-for-like margin at 23.5%.

Adjusted EPRA Earnings Per Share on a last-twelve-month basis were 125 pence, unchanged from FY2025, and EPRA net reinstatement value per share was £26.97.

Park Plaza London Waterloo

The group acquired the freehold of Park Plaza London Waterloo for £147.9m, funded by a new £136.5m loan. Management says the purchase removes a growing rental Liability and is expected to add to earnings and free cash generation over the long term, although medium-term Cash Flow will reflect Loan repayments.

The transaction places more of the London portfolio under direct ownership, in keeping with the group's hospitality real estate model.

Financing and Asset Activity

art'otel Rome Via Veneto was refinanced with a new five-year €27.6m facility, and the group agreed the disposal of a New York development site for US$33.5m after the Balance Sheet date. These actions show active management of the property portfolio.

Understanding RevPAR and the Ownership Model

RevPAR combines occupancy and average room rate to show how much revenue each available room generates, which makes it a standard measure for comparing hotel performance over time. A rise to £113.5 with stable occupancy indicates that pricing, rather than Volume alone, contributed to the gain.

PPHE mainly owns or holds long leases on its hotels, which gives it exposure to property values as well as to trading. EPRA net reinstatement value per share of £26.97 is a property-sector measure of the cost of replacing the asset base, and its slight decline reflected currency movements and dividends.

London and Croatia as Twin Engines

London remains a major source of earnings, with Park Plaza, art'otel and other brands serving Business and leisure guests. Healthy Demand across the Capital helped lift H1 performance, and the third quarter extended that trend.

Croatia is the second pillar, where Arena Hospitality Group operates hotels and campsites that rely heavily on the summer season. The third-quarter RevPAR gain of 6.6% was supported by a good summer in Croatia and firmer London demand.

Key Growth Catalysts

UK properties continue to perform well, and management expects the gradual improvement seen in Croatia during H1 to continue through the summer season. Recently opened hotels and ongoing Portfolio Investment may add to future revenue, while the Waterloo freehold may improve earnings quality as the rental liability falls away.

Factors to Monitor

Hotel performance depends on travel demand, seasonal patterns and operating costs, and the group has referred to wider geopolitical Volatility and fiscal pressures. Investors may follow RevPAR, loan repayment obligations and the pace of Croatian recovery.

What Investors Should Watch Next

Key items include full-year 2026 results, which the board expects to be in line with market expectations, RevPAR trends, the dividend, and updates on London and Croatian trading.

Conclusion

PPHE Hotel Group Limited (LSE:PPH) rose 0.77% to 1,570p on 13 November 2026. Higher revenue and EBITDA, the Waterloo freehold purchase and a 5.8% rise in third-quarter revenue give investors specific operating markers to follow.