International Hotel Investments plc – Updated Financial Analysis Summary

Jonathan Falzon

June 30, 2025

30 June, 2025
4 min read
30 June, 2025
4 min read

Following last week's article detailing the performance of the S&P 500 index in 2025, it is worth devoting time to review the developments across the European equity markers in my last article of the year.

On 30 June 2025, International Hotel Investments plc published an updated Financial Analysis Summary. The following are the main highlights of the expected financial performance and position of IHI in 2025:

  • Revenue is expected to increase by 12.7% to a record of €346 million (2024: €307 million) driven by the full-year income from the Corinthia Grand Hotel Astoria Brussels and The Surrey Corinthia Hotel New York, which opened towards the end of 2024 and management income from two hotels in Beverly Hills and Corinthia Grand Hotel Du Boulevard Bucharest, which opened in the beginning of 2025.
  • EBITDA is anticipated to increase by 9.7% to €68.4 million (2024: €62.4 million). As such, the EBITDA margin is set to remain unchanged at about 20%.
  • Net finance costs are projected to ease by 2.6% to €41.6 million. As a result of the anticipated improvement in EBITDA as well as the reduced finance costs, the interest cover is projected improve to 1.65 times from 1.46 times in 2024.
  • A significant stake in the Corinthia Hotel Lisbon (having a book value of €144 million as at 31 December 2024) is expected to be sold during the current financial year. This transaction and the sale of other non-core businesses are expected to result in net cash inflows of €136 million, which will also impact the operating profit with the recognition of net gains totalling €5.8 million. Additionally, the Group anticipates €31 million in other comprehensive income relating to the release of deferred taxation on the revaluation of the Corinthia Hotel Lisbon. Corinthia Hotels Limited is expected to retain the management of the hotel.
  • Total debt is projected to fall by 2.2% (or €17 million) to €752 million, which includes €52 million in lease liabilities. Consequently, the gearing ratio (calculated as total debt divided by total debt plus equity) is anticipated to fall to 44.4% from 45.8% as at the end of 2024.
  • After accounting for expected cash balances totalling €155 million as at the end of 2025, the Group’s net debt is projected at €597 million. As a result, the net debt-to-EBITDA multiple is set to improve to 8.7 times compared to 11.2 times in 2024.
  • In terms of upcoming new Corinthia hotels under management, Corinthia Hotel & Residences Doha is expected to commence operations by the end of 2025, Corinthia Hotel Rome is anticipated to open in 2026, followed by Corinthia hotels in Riyadh and Maldives in 2027.

The article contains public information only and is published solely for informational purposes. It should not be construed as a solicitation or an offer to buy or sell any securities or related financial instruments. No representation or warranty, either expressed or implied, is provided in relation to the accuracy, completeness or reliability of the information contained herein, nor is it intended to be a complete statement or summary of the securities, markets or developments referred to in this article. Rizzo, Farrugia & Co. (Stockbrokers) Ltd (“Rizzo Farrugia”) is under no obligation to update or keep current the information contained herein. Since the buying and selling of securities by any person is dependent on that person’s financial situation and an assessment of the suitability and appropriateness of the proposed transaction, no person should act upon any recommendation in this article without first obtaining investment advice. Rizzo Farrugia, its directors, the author of this article, other employees or clients may have or have had interests in the securities referred to herein and may at any time make purchases and/or sales in them as principal or agent. Furthermore, Rizzo Farrugia may have or have had a relationship with or may provide or has provided other services of a corporate nature to companies herein mentioned. Stock markets are volatile and subject to fluctuations which cannot be reasonably foreseen. Past performance is not necessarily indicative of future results. Foreign currency rates of exchange may adversely affect the value, price or income of any security mentioned in this article. Neither Rizzo Farrugia, nor any of its directors or employees accepts any liability for any loss or damage arising out of the use of all or any part of this article. Additional information can be made available upon request from Rizzo, Farrugia & Co. (Stockbrokers) Ltd., Airways House, Fourth Floor, High Street, Sliema SLM 1551. Telephone: +356 2258 3000; Email: info@rizzofarrugia.com; Website: www.rizzofarrugia.com © 2021 Rizzo, Farrugia & Co. (Stockbrokers) Ltd. All rights reserved. This article may not be reproduced or redistributed, in whole or in part, without the written permission of Rizzo Farrugia. Moreover, Rizzo Farrugia accepts no liability whatsoever for the actions of third parties in this respect.

This article was produced by Edward Rizzo, Director at Rizzo Farrugia, which is a company licensed to undertake investment services in Malta by the MFSA under the Investment Services Act, Cap. 370 of the Laws of Malta and a member of the Malta Stock Exchange. The company’s registered address is at Airways House, Fourth Floor, High Street, Sliema SLM 1551, Malta.

The article contains public information only and is published solely for informational purposes. It should not be construed as a solicitation or an offer to buy or sell any securities or related financial instruments. No representation or warranty, either expressed or implied, is provided in relation to the accuracy, completeness or reliability of the information contained herein, nor is it intended to be a complete statement or summary of the securities, markets or developments referred to in this article. Rizzo, Farrugia & Co. (Stockbrokers) Ltd (“Rizzo Farrugia”) is under no obligation to update or keep current the information contained herein. Since the buying and selling of securities by any person is dependent on that person’s financial situation and an assessment of the suitability and appropriateness of the proposed transaction, no person should act upon any recommendation in this article without first obtaining investment advice. Rizzo Farrugia, its directors, the author of this article, other employees or clients may have or have had interests in the securities referred to herein and may at any time make purchases and/or sales in them as principal or agent. Furthermore, Rizzo Farrugia may have or have had a relationship with or may provide or has provided other services of a corporate nature to companies herein mentioned. Stock markets are volatile and subject to fluctuations which cannot be reasonably foreseen. Past performance is not necessarily indicative of future results. Foreign currency rates of exchange may adversely affect the value, price or income of any security mentioned in this article. Neither Rizzo Farrugia, nor any of its directors or employees accepts any liability for any loss or damage arising out of the use of all or any part of this article. Additional information can be made available upon request from Rizzo, Farrugia & Co. (Stockbrokers) Ltd., Airways House, Fourth Floor, High Street, Sliema SLM 1551. Telephone: +356 2258 3000; Email: info@rizzofarrugia.com; Website: www.rizzofarrugia.com © 2021 Rizzo, Farrugia & Co. (Stockbrokers) Ltd. All rights reserved. This article may not be reproduced or redistributed, in whole or in part, without the written permission of Rizzo Farrugia. Moreover, Rizzo Farrugia accepts no liability whatsoever for the actions of third parties in this respect.

This article was produced by Edward Rizzo, Director at Rizzo Farrugia, which is a company licensed to undertake investment services in Malta by the MFSA under the Investment Services Act, Cap. 370 of the Laws of Malta and a member of the Malta Stock Exchange. The company’s registered address is at Airways House, Fourth Floor, High Street, Sliema SLM 1551, Malta.

On 30 June 2025, International Hotel Investments plc published an updated Financial Analysis Summary. The following are the main highlights of the expected financial performance and position of IHI in 2025:

  • Revenue is expected to increase by 12.7% to a record of €346 million (2024: €307 million) driven by the full-year income from the Corinthia Grand Hotel Astoria Brussels and The Surrey Corinthia Hotel New York, which opened towards the end of 2024 and management income from two hotels in Beverly Hills and Corinthia Grand Hotel Du Boulevard Bucharest, which opened in the beginning of 2025.
  • EBITDA is anticipated to increase by 9.7% to €68.4 million (2024: €62.4 million). As such, the EBITDA margin is set to remain unchanged at about 20%.
  • Net finance costs are projected to ease by 2.6% to €41.6 million. As a result of the anticipated improvement in EBITDA as well as the reduced finance costs, the interest cover is projected improve to 1.65 times from 1.46 times in 2024.
  • A significant stake in the Corinthia Hotel Lisbon (having a book value of €144 million as at 31 December 2024) is expected to be sold during the current financial year. This transaction and the sale of other non-core businesses are expected to result in net cash inflows of €136 million, which will also impact the operating profit with the recognition of net gains totalling €5.8 million. Additionally, the Group anticipates €31 million in other comprehensive income relating to the release of deferred taxation on the revaluation of the Corinthia Hotel Lisbon. Corinthia Hotels Limited is expected to retain the management of the hotel.
  • Total debt is projected to fall by 2.2% (or €17 million) to €752 million, which includes €52 million in lease liabilities. Consequently, the gearing ratio (calculated as total debt divided by total debt plus equity) is anticipated to fall to 44.4% from 45.8% as at the end of 2024.
  • After accounting for expected cash balances totalling €155 million as at the end of 2025, the Group’s net debt is projected at €597 million. As a result, the net debt-to-EBITDA multiple is set to improve to 8.7 times compared to 11.2 times in 2024.
  • In terms of upcoming new Corinthia hotels under management, Corinthia Hotel & Residences Doha is expected to commence operations by the end of 2025, Corinthia Hotel Rome is anticipated to open in 2026, followed by Corinthia hotels in Riyadh and Maldives in 2027.