Kempinski Hotels announced it further increased its financial results in 2013

Group performance reaches new heights – Africa the market of the future – Advances in F&B

BERLIN, 2014-3-13 — /Travel PR News/ — Kempinski Hotels concluded 2013 with a further increase of its financial results, showing an improvement of 4.9 percent on the company’s record-breaking 2012 EBITDA. This result is further proof that the group’s long-term business strategy of focusing on its core business, the management of luxury hotels, is paying off. “Despite various external influences in different key markets, such as political instability in some countries, we were able to further improve the best result in the history of the company,” states Reto Wittwer, Kempinski’s President and CEO. “This achievement underlines once more our management expertise and our successful work.”

“With 1.1 billion Euros of revenue in 2012, our hotels passed the billion mark for the first time,” states Wittwer. “In 2013 we were able to increase the revenue by almost an additional one million Euros. So we have seen continuous growth in revenue and financial results since 2009.”

The group’s Gross Operating Profit (GOP) saw an organic growth of 7.3 percent for a total increase of 8.5 percent, in a competitive environment. Room revenue alone increased by 8.6 percent. In Germany, Kempinski’s most important feeder market, revenue grew by 7.2 percent and RevPar (revenue per available room) improved by 11.3 percent. Contrary to the worldwide trend, average occupancy at Kempinski’s German hotels increased by more than 3 percent in 2013.

In worldwide management fees, Kempinski reached a further growth of 6.6 percent.

Stronger focus on the future market of Africa – Mega hotel project in China

In line with its development strategy, Kempinski will strongly focus on Africa in 2014. The company sees strong growth opportunities due to the continuously developing economic strength in the African continent. China, where Kempinski has had a joint venture with the Beijing Tourism Group (BTG) for more than two decades, also plays a vital role this year, with the opening of the exceptional Yanqi Lake project. Kempinski plans to open 12 hotels in 2014: five in Africa, four in China, one in Saudi Arabia, one in Lebanon and the Du Parc Kempinski Residences in Switzerland.

“Africa is THE future market for us, both from a strategic and a financial point of view,” says Reto Wittwer. “Important key destinations which play a vital role for the economic development of the continent are our target there. As we were industry pioneers in Russia and China, we also want to be pioneers in enhancing the luxury hotel market in Africa and set new standards in quality, service and luxury. We are focusing particularly on sub-Saharan Africa, which has seen exceptional economic growth for several years now.” New hotels in the Democratic Republic of Congo, Rwanda, Equatorial Guinea and Ghana, as well as a third hotel in Egypt, are proof of the group’s ambitious expansion strategy in the African continent. One of the company’s most spectacular projects, which could only become a reality thanks to Kempinski’s management expertise and activities in Africa at an early stage, will be the Grand Hotel Oyala Kempinski in Equatorial Guinea. The local government is in the process of building its new future capital city, over a surface of 81,500 m2, soon to become home to 160,000 to 200,000 people. In the middle of the tropical rain forest, the outstanding luxury hotel will offer 450 rooms and suites, 50 individual villas and its own 18-hole golf course. “With the Grand Hotel Oyala Kempinski, we will be the first European luxury hotel group to be present in the future capital of Equatorial Guinea,” explains Wittwer.

In China, the excellent long-standing cooperation with the BTG is also bearing fruit: Europe’s oldest luxury hotel group was able to sign a management contract for one of the largest and most important hotel projects in China: Yanqi Lake, a mega project, which is designed to host big conferences and conventions on the outskirts of Beijing, and is due to open over the summer. “Similar to Emirates Palace in Abu Dhabi, which is also owned by the State, we will run the so to speak ‘official guest house’ of the Chinese government,” states Reto Wittwer. Only 45 kilometres from Beijing International Airport, the spectacular hotel complex is located by the beautiful Yanqi Lake. It will comprise the futuristically designed, sunrise-shaped Yanqi Lake Hotel Kempinski with 306 rooms and suites and the Yanqi Lake State Guest House – managed by Kempinski, with 111 rooms and suites. Additionally, 12 boutique hotels, with a total of 178 rooms on a private island, will also be part of the project. The Yanqi Lake project also stands out as it offers more than 14,000 m2 of space for events and a conference centre with 8,277 m2, a marina and an 18-hole golf course. In addition to Yanqi Lake Hotel and the State Guest House, the openings of Kempinski Hotel Changsha and Phoenix Hotel Dalian – managed by Kempinski, both in China, are also planned for 2014.

Further advances in the Food & Beverage business

“Our vision is to be the unchallenged leader in both the hotel and Food and Beverage businesses and to provide our guests with outstanding gastronomic experiences,” says Reto Wittwer, explaining the Kempinski’s F&B strategy.

All Kempinski hotels have introduced their own “signature dish”, a culinary trademark for which the hotel is famous. Çirağan Palace Kempinski Istanbul, for example, serves the Tugra Testi Kebab, a typical dish from the Ottoman Empire; at Hotel Atlantic Kempinski Hamburg, it is the Lobster Bisque, a dish which was created in 1909 and still is very popular. Hotel Adlon Kempinski Berlin proudly serves a local classic: the Curry sausage, made from Havelland pork and served with a sauce based on a secret recipe; a further example is Kempinski Hotel Haitang Bay Sanya, with its special Hainan Chicken.

Kempinski pulled off a very special coup by exclusively engaging wine expert Paolo Basso. The Swiss-Italian was awarded the title of “Best Sommelier of the World” last year by the renowned Association de la Sommellerie Internationale (A.S.I.). Basso will consult and support Kempinski with his expertise to create an exclusive wine selection for all hotels of the group and other specific concepts in line with the company’s F&B strategy.

Another highlight in the context of the F&B strategy is the Kempinski Dessert of the Year, which was awarded for the third time. This year for the first time, around 100 journalists and 20 hotel directors judged the desserts in a blind tasting during the ITB. The winning dessert comes from Bangkok and has the enticing name “Siam Passion”. It was created by Alfred Merkel, Pastry Chef, and his team at Siam Kempinski Hotel Bangkok. The dessert was inspired by the beauty of the local Thai culture and Alfred Merkel’s passion for tropical fruits; it combines passion fruit, coconut, mango and banana with the European style of the pastry chef. The Dessert of the Year 2014 will be available in all Kempinski hotels worldwide. In total, more than 60 desserts were submitted by the hotels. Besides the winning dessert from Bangkok, the desserts of Hotel Adlon Kempinski Berlin, Hotel Vier Jahreszeiten Kempinski Munich, Grand Hotel Kempinski Geneva and Palais Hansen Kempinski Vienna made it to the final selection. The selection of the Dessert of the Year was supported by Moët Hennessy and Valrhona Chocolate for the first time.

About Kempinski Hotels
Created in 1897, Kempinski Hotels is Europe’s oldest luxury hotel group. Kempinski’s rich heritage of impeccable personal service and superb hospitality is complemented by the exclusivity and individuality of its properties. Kempinski now comprises a portfolio of 75 five-star hotels in 32 countries and continues to add new properties in Europe, the Middle East, Africa and Asia. Each one reflects the strength and success of the Kempinski brand without losing sight of its heritage. The portfolio comprises historic landmark properties, award-winning urban lifestyle hotels, outstanding resorts, and prestigious residences. Each one is imbued with the quality guests have come to expect from Kempinski while embracing the cultural traditions of its location. Kempinski is a founding member of the Global Hotel Alliance (GHA), the world’s largest alliance of independent hotels, which is celebrating its tenth anniversary in 2014.

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Media Contact

Maria Kuhn
Vice President Public Relations
Kempinski Hotels S.A.
28, Boulevard du Pont-D’Arve
1205 Geneva, Switzerland

Direct: +41 (0) 22 809 88 44
Email: maria.kuhn@kempinski.com