THIRD-QUARTER figures from InterContinental Hotels Group have been well received by analysts, despite falling revenues and profits.

The hotels giant – whose local interests include two Crowne Plazas in Liverpool and Speke, a Holiday Inn, Holiday Inn Express, business-oriented Staybridge Suites and plans for a new “cool” £14m 151-room Indigo hotel in Chapel Street for 2011 – revealed that turnover dropped 19% to £240m and pre-tax profits after exceptional charges fell 33% to £80m in the three months to September 30.

Chief executive Andrew Cosslett said: “The trading environment remains challenging.”

But he added that while rates were still under pressure, there are signs of occupancy stabilising.

Last month the group’s European, Middle East and Africa president Kirk Kinsell told LDP Business that he had seen signs of a return in stability in the corporate travel sector at the group’s Staybridge Suites site on Kings Dock.

Liverpool stockbroker Panmure Gordon’s note on the results was fairly upbeat.

It said the pre-tax profits, excluding exceptional charges, were 30% ahead of consensus.

And it welcomed news that October’s revenue per available room was down 13.5% compared with 15.2% during the three- month reporting period, “demonstrating good improvement”.

Overall, Panmure Gordon said it stands by its “buy” recommendation for InterContinental Hotels Group’s stock.

Mr Cosslett bemoaned the fact that there is still scarcity of finance for hotel developments.

Consequently, while the relaunch of the core Holiday Inn brand continues with 1,378 hotels now operating under the new standards, the group says the need for cost controls remains vital.

The trading update confirmed that the group is on target to achieve cost savings of around £48m by the end of the current financial year, of which at least £24m will be “sustainable savings”.

It added that by the end of 2010, compared with 2008 levels, the group expects to achieve “sustainable cost savings” of between £39m and £42m.