Improving conditions in the key markets of London, Singapore and New York have seen profits soar at Millennium & Copthorne Hotels.
The London-based chain – which operates over 100 hotels around the world – recorded a 53 per cent increase in full-year pre-tax profits for 2010.
M&C made a pre-tax profit of £128.5 million ($207.4 million) in 2010, up from £84.2 million the year before.
The group saw revenue per available room (RevPAR) rise by 14 per cent to £61.06.
The improvement was led by an increase of 29.3 per cent in Singapore, 8.8 per cent in New York and 7.9 per cent in London.
“The key markets continue to be robust,” chief executive Richard Hartman told a conference call.
“We seem to be on the same trajectory that we experienced in 2010 particularly in the last two quarters.
“I do not foresee any problems in our key markets.”
Millennium & Copthorne is 53 per cent owned by chairman Kwek Leng Beng’s Singapore-based property company City Developments.
Following a successful 2010, Millennium & Copthorne said it is scrutinizing several new hotel acquisition deals.
“We certainly are in a position to expand,” said Hartman.
However, none currently fit its financial or strategic criteria.
“These plans would call for investment and we have not yet found a property that is accretive to earnings
“There are half a dozen on our desk for analysis, but nothing has come of it. So far most of the deals we have come across are either too expensive or in locations we are not interested in.”
Hartman also said the group receives offers for its non-key assets away from its prime locations in big capital cities, but no disposals are planned at this stage.