Hotel biggies must brace themselves for unimpressive 1Q13 results

But here's what they should watch out for.

According to DBS Vickers, hoteliers (CDL Hospitality Trust, Far East Hospitality Trust, Ascott REIT, Global Premium Hotels) that are due to report their first quarter results in the coming days aren't likely to show good results.

However, DBS believes this should already be expected by the market given the fairly clear guidance by various management teams back in Jan13.

Here's more from their report:

We believe that a more important datapoint to watch out for is whether there is a recovery in accommodation demand post the festive period, which seems to be the case, based on our conversations with the various hoteliers.

Nevertheless, while most hospitality S-REITs are expected to see weaker y-o-y results, we believe that the weaker operational performance of CDL Hospitality Trust (CDREIT)'s Singapore hotels will be buffered by contribution of Angsana Velavaru (acquired at a yield of close to c.10% and completed in Jan13)