2004 Totaled $4.8 billion, Up by 7.46% Over Last Year
The quarterly report observes three key performance indicators for the hospitality industry in the state of Texas; Sales for hotels and lodges, food and beverages sales estimates for full service restaurants, and alcoholic beverage sales of full service bars and restaurants.
Hotel room revenues in the state of Texas for the year of 2004 totaled $4.8 billion up by 7.46% percent over last year. A 10.35% growth hotel room revenues in the fourth quarter over last yearís fourth quarter was also observed (2004 q4: $1,112 mil. vs. 2003 q4: $1,004 mil.).
During the quarter, 248 new hotel properties opened, bringing the year-end total to 1195. Last yearís fourth quarter saw 219 hotels open their doors, likewise 996 opened throughout 2003.
Full-Service Food and Beverage Sales
Full-Service restaurants consist of restaurants that serve food, beer, wine, and hard liquor.
Full-Service food and beverage sales estimates totaled 1.107 billion dollars for the fourth quarter, an 8.1% growth over the same quarter last year which had 1.018 billion dollars in sales. For the year, sales totaled 4.34 billion dollars an 8.8% gain versus 2003ís 3.96 billion dollars.
Full-Service Alcoholic Beverage Sales
Virtue observes the mixed-beverage sales in the State of Texas which includes the sale of all alcoholic beverages in bars, restaurants, and clubs that serve liquor.
Alcohol sales this quarter totaled 809 million dollars, a growth of 7.24% over the same quarter last year which saw sales of 751 million dollars. For 2004, total annual alcohol sold in Texas bars and restaurants was 3.2 billion dollars, a 7.89% increase over 2003ís annual sales of 2.9 billion dollars.
During the quarter there were 242 new establishments that sold alcoholic beverage in Texas whereas in the same quarter last year, there were 216 new establishments. This brings the 2004 totals to 520 establishments, short of the 2003 annual total of 572 establishments.
Texas Hospitality Indicator
The THI rose 8.69% over last yearís fourth quarter, an increase of 264 million dollars to 3.04 billion dollars.
New hotel establishments where primarily opened in the first half of 2004 with the second half seeing laggard figures in new hotel construction. Restaurants and bars experienced similar construction patterns to hotels. Despite the 13% increase in hotel openings this quarter we see this pattern as a sign that investors might be waiting to see if the Texas economy can continues to be bullish before investing additional assets in new location.
Hotel sales represented the fastest growing segment of the indicator during the fourth quarter of 2004 obtaining double-digit figures and stealing the title from the alcoholic beverage market segment which held it for the two earlier consecutive quarters. Full service restaurants however were 2004ís overall winner and strongest growing segment, with 342 million dollars more sales generated in 2004 than in 2003.
About Virtue Group: Virtue Group, based in Galveston, Texas, provides market research on Texas's hotels, bars, and restaurants.
|Also See:||Second Quarter 2004 Hotel Sales in the State of Texas Grow 4.02% Over Previous Year / August 2004|