‘Super budget’ hotelier easyHotel PLC (LON:EZH) has warned that it is experiencing “a reduction in its forward bookings” for the next three months as the coronavirus outbreak cut down both domestic and international demand.
In an update on Monday, the AIM-listed firm said the reductions were expected to “adversely impact occupancy levels” at its hotels in the UK and Europe, although stressed that it was “too early” to estimate the full impact from the virus on its performance for the current year.
easyHotel said it was currently assessing possible actions it could take to respond to what it said were the “unprecedented market challenges It faces”.
“Our key priority is the health and welfare of our staff and guests alike and we will continue to monitor the situation closely”, the company said.
The coronavirus outbreak has swept across Europe and has caused multiple countries including Italy, France and Spain to put their citizens under lockdown, banning large gatherings of people and closing restaurants, bars and nightclubs.
Germany recently became the latest European nation to close its borders in a bid to control the spread of the disease, which has no infected over 170,000 people and caused around 6,700 deaths worldwide.
Shares in easyHotel tumbled 9.7% to 70p in late-afternoon trading.