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InterContinental Hotels' Profits Drop 43 Percent

InterContinental Hotels, which runs hotels under the InterContinental, Holiday Inn and Crowne Plaza names, said its profit dropped to $262 million from $463 million.

The hotel group said that, excluding $85 million of one-time costs in the year and $152 million of gains in the previous year, adjusted net profit rose 12% to $347 million.

Revenue grew 4.7% to $1.85 billion.

"We produced good results in 2008 and comfortably exceeded our three-year target to add 50,000 to 60,000 net rooms by the end of 2008 - adding over 82,000 rooms," said CEO Andrew Cosslett.

But the performance got worse in the later parts of the year.

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