TORONTO, ONTARIO — (Marketwire) — 07/20/11 — Northampton Group Inc. (TSX VENTURE: NHG)(TSX VENTURE: NHG.DB), an integrated Canadian hotelier, today reported its results for fiscal 2011-s fourth quarter and year ended March 31, 2011. In the fourth quarter, Northampton posted a quarter-over-quarter sales increase of 11.3%; in the 12-month period, sales increased by 12.2% year-over-year.
With a national average RevPAR (revenue per available room) increase in 2010 of about 5.5%, according to industry analysts Pannell Kerr Forster (PKF), Northampton has once again out-performed. For the fiscal year ended March 31, 2011, occupancy rates and RevPAR across all save one of Northampton-s locations were up over the previous year. Leisure markets showed more improvement than business, and those hotels reliant on the automotive sector for a good part of their business saw more modest up-turns. With the continuing strong Canadian dollar, PKF is not predicting any significant improvement in occupancies in Northampton-s urban markets for calendar 2011.
“As always, we are careful with our assets, and this has enabled us to show a slightly stronger improvement than the sector – or the economy – as a whole,” said Vinod Patel, President and CEO of the Northampton Group. “That said, we have some concerns about the robustness of this recovery, as the business and commercial markets have not improved to the same extent as the leisure markets. If occupancies stay flat, hotels will be tempted to lower rates in order to attract business and RevPAR will be negatively affected.”
For a more complete discussion of the Company-s results, please see Northampton-s quarterly filings on , or the quarterly MD&A, financials, and notes to the financial statements on the Company-s website at .
About Northampton
Northampton Group Inc. is an integrated Canadian hotelier with ownership and management interests in 2,002 rooms in 16 hotels, with a selective strategic development program in place. Focused on creating the best return for all stakeholders, Northampton-s proven, market-sensitive strategy is to acquire or build hotels that provide superior overnight accommodation in the mid-price market. Northampton has consistently excelled in this sector, offering services that exceed expectations while still posting industry-leading margins.
Disclaimer:
This news release contains forward-looking statements within the meaning of the “safe harbour” provisions of the Private Securities Litigation Reform Act of 1995. These forward-looking statements are subject to risks and uncertainties and other factors that may cause Northampton-s results to differ materially from expectations. Such risks may relate to hotel performance, market fluctuations, investee performance, and other risks more fully described in the Company-s annual report, posted on the Company-s website and on SEDAR. These forward-looking statements speak only as of the date hereof. Northampton Group disclaims any intent or obligation to update these forward-looking statements.
Neither the TSX Venture Exchange nor its Regulation Services Provider (as that term is defined in policies of the TSX Venture Exchange) accepts responsibility for the adequacy or accuracy of this release.
Contacts:
Northampton Group Inc.
Vinod Patel
President and CEO
905-629-9992