Holiday Inn owner IHG bets on World Cup for US recovery

Core Viewpoint - InterContinental Hotels Group (IHG) is anticipating a recovery in U.S. travel driven by the 2026 FIFA World Cup, despite reporting a third consecutive quarterly decline in U.S. revenue per available room (RevPAR) [1] Group 1: Financial Performance - IHG's U.S. RevPAR fell by 2% in the latest quarter, underperforming competitors Hilton and Marriott [1] - The company reported a 1.6% growth in global room revenue for Q4, surpassing expectations of 1.5%, primarily due to growth in Greater China and a 7.1% increase in Europe, Middle East, Africa, and Asia markets [1] - IHG's operating profit from reportable segments for 2025 rose by 13% to $1.27 billion, aligning closely with analyst expectations of $1.26 billion [1] Group 2: Strategic Initiatives - IHG has launched a $950 million share buyback program for 2026 and proposed a 10% increase in its annual dividend [1] - The company is optimistic about less turbulent trading conditions in the U.S. and expects stronger demand in the industry leading up to the World Cup [1] Group 3: Market Outlook - The upcoming FIFA World Cup is projected to attract between 1 million and 6 million foreign visitors to the U.S., which is expected to boost demand for IHG's services starting in the second quarter of 2026 [1] - Leisure travel trends in the U.S. have softened as consumers become more cost-conscious amid economic challenges [1]