* Global Q1 RevPAR growth of 3.1 pct, avg daily rate up 2.0
* Americas up 4.1 pct, Europe down 2.2 pct, China up 1.8 pct
* Says on track for FY expectations
LONDON, May 8 InterContinental Hotels Group
, the world No.1 hotelier, said business in China was
struggling under squeezed government spending and a political
leadership change, as it posted a 3.1 percent rise in
first-quarter global room revenue.
The company, which operates 4,600 hotels worldwide and is
home to the Crowne Plaza, Holiday Inn and InterContinental
brands, said on Wednesday that its business in China, where the
group has big expansion plans, had also been hit by a fall in
Japanese tourists and bird flu concerns.
Growth in global revenue per available room (RevPAR) - a key
industry measure - rose 3.1 percent overall in the three months
to end-March, and was up 4.1 percent in its core North American
Rivals such as Starwood and Marriott International
have both recently reported rising demand from a
business-led recovery in North America.
Growth in Greater China was a weaker 1.8 percent in the
period. Although an improvement on its last quarter, the group
said the region continues to be affected by reduced business-led
trade during the recent change in political leadership and a
broader economic slowdown.
The region declined 2.1 percent in April, although overall
group RevPAR grew 6.2 percent.
Europe in the first quarter was down 2.2 percent, with
London trading suffering from increased room supply.
The firm said it was on track to deliver full-year results
in line with expectations.
Shares in IHG, which have risen over 30 percent in the last
year, fell 1 percent in early trade on Wednesday,
underperforming the wider FTSE-100 index.