DAVY VIEW

Dalata has updated the market ahead of its investor day, which commences at 10.00 this morning. Management expects September and October RevPAR to improve to 2% with all regions growing. It has also announced that having completed its initial €30m buyback, it is launching a further €25m programme. Importantly, it has outlined its “2030 Vision”, which sets out an ambitious growth target to increase its room count from 12k rooms to 21k rooms by 2030. The outlook is reassuring, with management noting that it remains positive for the remainder of the year as the group benefits from continued strength in corporate business and good leisure demand around events. We believe today’s investor day will act as a positive catalyst as management showcases the estate, the growth opportunity and its related financial performance.