Pierre & Vacances-Center Parcs: Navigating Headwinds with Strategic Resilience in H1 2024/2025

Pierre & Vacances-Center Parcs (P&V) reported a challenging start to its 2024/2025 fiscal year, with a -2.4% decline in operational revenue to €802.1 million compared to the prior year. While calendar effects and strategic renovations weighed on performance, the Group’s diversified portfolio and focus on premiumization, geographic expansion, and operational agility hint at a path to sustained recovery.

The Revenue Picture: Challenges and Context

The reported dip in revenue stems from two key factors:
1. Calendar Shifts: Spring school holidays and Easter moved from March 2024 to April 2025, artificially suppressing H1 revenue. Adjusting for this, accommodation revenue grew 0.5%.
2. Renovations and Closures: The temporary closure of the Center Parcs Hauts de Bruyères Domain for two months reduced revenue by €18.7 million, though this aligns with long-term investments to boost brand appeal.

Segment Analysis: Winners and Losers

Center Parcs: A Temporary Setback

Revenue fell 7.5% to €221.9 million, driven by the closure of Hauts de Bruyères and calendar shifts. However, average daily rates rose 2.3%, signaling success in premiumizing offerings. Belgian, Dutch, and German (BNG) regions outperformed France, with rates up 2.6% versus 2.0% in France.

Pierre & Vacances: Spain Drives Growth

While overall revenue dipped 2.3% to €106.3 million, Spain’s expansion—+21.8% growth—offset French stagnation. Mountain destinations, such as Avoriaz, thrived with 96% occupancy in Q2, while seaside resorts struggled due to social unrest in the French West Indies.

Adagio: Mixed Results

A -1.6% decline to €46.1 million reflected reduced offerings in France (e.g., withdrawal from two sites) and the absence of the 2023 Rugby World Cup boost. International markets, however, grew +5.2%, softening the blow.

maeva.com: The Bright Spot

The hybrid rental platform surged +23.9% to €23.0 million, benefiting from its dual focus on seasonal mountain rentals and a Europe-wide distribution network. This segment’s growth highlights P&V’s ability to innovate in a fragmented market.

Operational Strengths: Metrics and Sentiment

• RevPar: Mixed outcomes, with Center Parcs down 3.1%, Pierre & Vacances up 0.5%, and Adagio flat.
• Occupancy Rates: Center Parcs dipped to 67.4%, but Adagio improved to 72.0%, reflecting stronger demand for flexible stays.
• Customer Satisfaction: All brands saw improvements, aligning with consumer preferences for local, meaningful travel in uncertain times.

Strategic Moves and H2 Outlook

P&V is leaning into three pillars:
1. Premiumization: Renovations in France and Germany aim to boost rates and loyalty.
2. Geographic Diversification: Spain’s success signals a playbook for future expansion.
3. Digital and Hybrid Models: maeva.com’s rise underscores the value of flexible booking platforms.

The Group remains confident in its annual growth target, citing 60% of H2 bookings secured and strong demand for domestic family holidays. Renovations and closures are temporary drags, but the €18.7 million invested in Hauts de Bruyères and €11.9 million in new projects (e.g., Paris expansion) position P&V for long-term gains.

Risks and Considerations

• Execution Risks: Renovations must deliver promised returns without further disruptions.
• Geopolitical Uncertainty: Social unrest in French territories and broader macroeconomic pressures could dampen demand.
• Competitive Landscape: Budget travel alternatives and tech-driven platforms may intensify competition.

Conclusion: A Resilient Play for the Long Term

P&V’s H1 results reveal a company navigating short-term headwinds with clear-eyed strategy. While calendar effects and renovations depressed headline numbers, the Group’s focus on premiumization, geographic diversification, and digital innovation sets it apart. Key data points reinforce this narrative:
- maeva.com’s 23.9% growth signals untapped potential in hybrid rental models.
- Spain’s 21.8% revenue surge demonstrates the payoff of regional expansion.
- Customer satisfaction gains (across all brands) suggest P&V is resonating with consumers’ evolving needs.

Investors should look past the -2.4% revenue decline and focus on P&V’s €176.6 million in supplementary income growth and annual growth confidence. With 60% of H2 bookings secured and strategic investments in high-margin areas, the Group is well-positioned to deliver recovery in the second half. For those willing to weather near-term volatility, P&V’s blend of resilience and ambition makes it a compelling long-term play in the European tourism sector.