Russ Mould, investment director at AJ Bell, said: “Whitbread shareholders will be wondering if Premier Inn’s ‘good night sleep or your money back’ guarantee extends to investors, judging by yet another weak performance.
“Earnings in reverse, higher net debt, and a downgrade to forward profit guidance is the kind of news that makes investors suffer from insomnia.
“The fact Premier Inn is struggling to make decent progress in the UK suggests market conditions remain unfavourable for the hospitality industry.
“There are reasons not to lose hope. Trading has picked up recently in both the UK and Germany, and the group continues to take market share.
“Unfortunately for the company, the negative share price reaction to its latest results suggests investors lack faith in Whitbread bouncing back any time soon.”
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