The group Spanish hotelier NH reported that it has lost 218.5 million euros (about US $ 258 million) in the first half, fully affected by the impact of the coronavirus pandemic that led to the closure of most of its hotel capacity during the months of April and may.
The total income of the hotel group, with establishments in Mexico, Chile, Peru and Panama, 62.4% sank to 309.3 million euros (about US $ 364 million) due to the severe impact of the crisis in the second quarter, where revenues reached 30 million (US $ 35 million), since there was practically no neither in April nor in May.
The recurring gross operating profit (ebitda) showed losses of 33.8 million euros (about US $ 40 million), when a year earlier it reached 257 million (US $ 302 million).
The company explains that 95% of its hotels were closed in April and May, complying with the different national alarm states, and those that remained open did so for solidarity purposes or for the use of essential groups; It was not until June when much of its hotels in Europe reopened.
The reopening process is being progressive depending on demand and focused on optimizing profitability, with which at the end of June, the group had 60% of its establishments worldwide open, a figure that increased to 70% before August.
The return to business of the company is what has allowed it to generate revenue again in June, a trend that has accelerated in the beginning of the second half with more hotels open and in Europe passing from an occupancy rate of operating hotels of 31% in June to between 40% -45% expected for the end of July.
Since the uncertainty phase began in late February, the group explains that it started a plan with an eye toward minimizing costs and has managed to reduce them by 70% in the second quarter, excluding rentals, or 59% if they are available. consider.
Now, to ensure those costs remain under control, the workforce is adapted to the current situation, with temporary employment regulation records extended through the third quarter, and NH hopes to save more on rentals.
The CEO, Ramón Aragonés, affirms in a statement that the operational and financial transformation of the company in previous years, together with contingency measures and the strengthening of liquidity, have allowed NH Hotel Group overcome the most severe months of the crisis, resume its activity and face the second part of the year with more solidity in an environment of uncertainty.
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