Accor Group Rejoins CAC 40 Index: A Triumph of Resilience

ByAfrica Hotel Report
Accor's Group Q1 Performance Demonstrates Strong Revenue Growth

ACCOR REJOINS CAC 40 INDEX, BOASTING STELLAR FY23 FINANCIALS WITH €5.06 BILLION REVENUE AND €1.00 BILLION EBITDA. THE TRIUMPH MARKS RESILIENCE, MARKET LEADERSHIP, AND COMMITMENT TO EXEMPLARY ESG PRACTICES.

Accor Group, a global hospitality leader, is poised to rejoin the CAC 40, the Paris stock exchange’s benchmark index, effective March 15, 2024. This decision by Euronext Paris’s Expert Indices Committee comes after a quarterly review, marking a significant milestone for Accor.

In 2020, facing the challenges of the COVID-19 pandemic, Accor temporarily exited the CAC 40. However, resilience and adaptability have driven a comeback, with 2023 showcasing record results. Achieving an EBITDA exceeding €1 billion for the first time, Accor has demonstrated remarkable operational discipline and profitable growth.

Accor Group Key Financials

FY23 Financials

  • Revenue: €5.06 billion.
  • EBITDA: €1.00 billion.
  • Recurring free cash flow: €596 million.

Network

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  • No.1 worldwide excluding the United States and China.
  • No.1 worldwide in Lifestyle, and No.2 worldwide in Luxury.
  • 5,500+ hotels (821,000+ rooms).
  • A pipeline of 1,300+ hotels (225,000+ rooms).
  • 10,000+ restaurants & bars, 18,500+ meeting rooms, and 1,000+ spas.

People

  • 330,000+ employees across 300+ jobs.
  • 46% of employees under 35.
  • 42% of employees are women.

ESG Commitments

  • Carbon: Net-zero SBTi by 2050.
  • Single-use plastic: Target 80% elimination (79% achieved).
  • Food waste: Target 80% reduction (90% achieved).
  • Diversity & Inclusion: Target 40% women in management committees (42% achieved).

Accor’s Journey Through Milestones: From 1960 to Now

1960-1980: Innovation and Expansion

  • Paul Dubrule and Gérard Pélisson pioneer economy and midscale hotels, creating Novotel and Ibis.
  • Acquisition of Mercure.
  • Adoption of the first Gender Equality at Work Charter.

1980-2000: Growth and Recognition

  • Acquisition of Sofitel.
  • Entry into the CAC 40.
  • Establishment of the first Environment Department in a CAC 40 company.

2000-2020: Global Expansion and Social Responsibility

  • Creation of the MGallery brand.
  • Acquisition of Fairmont, Raffles, and Swissôtel, and partnership with Banyan Tree.
  • Launch of the Accor Solidarity endowment fund.
  • Introduction of ALL – Accor Live Limitless loyalty program.
  • Partnerships with entertainment and sport leaders like PSG, IMG, and AEG.

2020 – Now: Innovation and Sustainability

  • Acquisition of SBE and creation of Ennismore entity with lifestyle brands.
  • Launch of Wojo’s coworking spaces.
  • Evolution of organization around two business lines.
  • Introduction of strategic sustainability framework for 2030.
  • Awarded ‘A’ rating by CDP for environmental leadership.

Optimistic Outlook and Recognition

Sebastien Bazin expressed optimism for the coming years, citing a strong start to 2024 with increased occupancy and demand. The re-inclusion in the CAC 40 is a testament to Accor’s sustained growth and resilience in the dynamic global hospitality sector.

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