Fibra Inn Announces Hotel Indicators for February 2019

Fibra Inn Announces Hotel Indicators for February 2019

MONTERREY, Mexico, March 20, 2019 (GLOBE NEWSWIRE) -- Deutsche Bank Mexico, S.A., Banking institution, Trust Division F/1616 or Fibra Inn (BMV: FINN13, ADR/OTC: DFBRY) (“Fibra Inn” or “the Company”), an internally-managed Mexican real estate investment trust specialized in the hotel industry serving the traveler with international brands, today announced its operating results for its hotel indicators for February 2019.

 MONTHLY SAME-STORE SALES 
 41 hotelsFeb 2019Feb 2018Change % 
 Room Revenue (Ps. millions)144.6 156.9 -7.8% 
 Occupancy61.6% 66.7% -5.1 pp 
 ADR (Ps.)1,276.9 1,275.4 0.1% 
 RevPar (Ps.)786.8 850.3 -7.5% 

The 7.8% decrease in Revenue per Available Room was due to various factors that took place during February 2019:

  1. The contraction of demand and increase of hotel supply in Bajio, Querétaro, Coatzacoalcos and Chihuahua.
  2. A significant decline in economic activity as a result of the change of government.
  3. The delay in the ratification process of the North American Free Trade Agreement, between the United States, Mexico and Canada, since this has postponed important investments and as a consequence lowered the flow of guests to our properties.
  4. Safety issues in the Bajio area and the state of Tamaulipas.
  5. The gasoline shortage mainly experienced in the area of Guadalajara and the Bajio region.

All these factors had a widespread impact on the country's hotel demand. However, it is important to highlight that the properties of Fibra Inn are located among the first three places compared with their competition in terms of RevPar.

The aforementioned resulted in an occupancy decrease of 5.1 percentage points, and the average daily rate remained practically unchanged.

Total Sales for February 2019 were:

 TOTAL MONTHLY SALES 
  Feb 2019Feb 2018Change % 
 Number of hotels42 42   
 Room Revenue (Ps. millions)147.8 158.9 -7.0% 
 Occupancy60.8% 66.7% -5.9 pp 
 ADR (Ps.)1,283.5 1,261.5 1.7% 
 RevPar780.7 841.0 -7.2% 

The same-store sales calculation includes all the hotels that have been in Fibra Inn’s portfolio for at least half of the period under discussion. In this case, it is important to consider that the calculation for the month of February excludes the Hotel Holiday Inn Ciudad Juarez, which remained closed for its brand conversion from September 1, 2017 to August 14, 2018.

Fibra Inn has a portfolio of 42 total properties with 6,786 rooms. Additionally, Fibra Inn has a minority interest in four properties, currently being externally developed under the Hotel Factory model, representing 633 rooms.

About the Company
Fibra Inn is a Mexican trust formed primarily to acquire, develop and rent a broad range of hotel properties in Mexico for the business and leisure traveler. The Company has signed franchise, license and brand usage agreements with international hotel brands for the operation of global brands as well as the operation of national brands. These hotels enjoy some of the industry’s top loyalty programs. Fibra Inn trades its Real Estate Certificates (Certificados Bursátiles Fiduciarios Inmobiliarios or “CBFIs”) on the Mexican Stock Exchange under the ticker symbol “FINN13”; its ADRs trade on the OTC market in the U.S. under the ticker symbol “DFBRY”.

www.fibrainn.mx

Note on Forward-Looking Statements 
This press release may contain forward-looking statements.  These statements are statements that are not historical facts, and are based on management’s current view and estimates of future economic circumstances, industry conditions, Company performance and financial results. Also, certain reclassifications have been made to make figures comparable for the periods. The words “anticipates”, “believes”, “estimates”, “expects”, “plans” and similar expressions, as they relate to the Company, are intended to identify forward-looking statements.  Statements regarding the declaration or payment of dividends, the implementation of principal operating and financing strategies and capital expenditure plans, the direction of future operations and the factors or trends affecting financial condition, liquidity or results of operations are examples of forward-looking statements.  Such statements reflect the current views of management and are subject to a number of risks and uncertainties.  There is no guarantee that the expected events, trends or results will actually occur.  The statements are based on many assumptions and factors, including general economic and market conditions, industry conditions, and operating factors.  Any changes in such assumptions or factors could cause actual results to differ materially from current expectations.

  
In Mexico:In New York:
Lizette Chang, IROMaria Barona / Melanie Carpenter
Fibra Inni-advize Corporate Communications
Tel. 52-1-81-1778-5926Tel. (212)406-3691
lchang@fibrainn.mxmbarona@i-advize.com