U.S. Hotel Profitability Back on the Rise After Omicron-Induced Dip

STR | April 5, 2022

HENDERSONVILLE, Tennessee — April 5, 2022 — After falling to roughly US$20.00 in January, gross operating profit for U.S. hotels reached nearly US$59.00 – the highest level in the metric since October 2021, according to STR‘s February 2022 P&L data release. All of the key performance metrics increased from January, after concerns around Omicron pushed levels lower. GOPPAR: US$58.88 TRevPAR: US$169.77 EBITDA PAR: US$39.29 LPAR (Labor Costs): US$56.63 “Following trends in top-line performance, U.S. profitability levels are recovering more quickly from Omicron than with previous variants,” said Ra...

January 2022 Total International Travel Volume To and From the United States

National Travel and Tourism Office | April 1, 2022

Data recently released by the National Travel and Tourism Office (NTTO) show that in January 2022: International Arrivals to the United States Total non-U.S. resident international visitor volume to the United States of 2,508,236 increased 140.1% from January 2021, but was 43.0% of total visitor volume in January 2019. January 2022 was the tenth consecutive month that total non-U.S. resident international visitor arrivals to the United States increased on a year-over-year basis. Overseas visitor volume to the United States of 1,010,335 increased 173.3% from January 2021. Mexico recorded the largest inbound visitor vo...

Europe Hotel Occupancy Remains Stable Amid War in Ukraine

STR | March 28, 2022

Note: As the war in Ukraine continues, the obvious concern is with the people affected by this crisis. While remaining sensitive to the situation, STR also understands its responsibility as an independent provider of trusted global data. Hotel performance updates provide added visibility into the impact of the war, economic sanctions, etc. STR will continue to monitor its global data, both historical and forward-looking, and issue updates as appropriate. Hotel performance has remained stable in most of Europe amid the war in Ukraine, and countries bordering the conflict area have seen a refugee-driven lift in occupancy. Using ...

U.S. Hotels – February 2022 Commentary

STR | March 24, 2022

February 2022 Top-Line Metrics (percentage change from February 2019) Occupancy: 56.9% (-8.2%) Average daily rate (ADR): US$137.39 (+6.8%) Revenue per available room (RevPAR): US$78.24 (-1.9%) Key Points from the Month U.S. hotel RevPAR rebounded rapidly to just US$2.54 below the February 2019 comparable. While ADR recovery has been significantly influenced by inflationary pressures, rates on both a nominal and inflation-adjusted (real) basis are recovering faster than in prior downturns. Nominal ADR in February was 6.8% higher than comparable 2019 level, while real ADR came in 4.8% below the pre-pandemic rate....

U.S. Spring Break Destinations Continue Dominance With Peak Still to Come

STR | March 23, 2022

Leisure travel continues to be particularly strong in the U.S. as spring kicks into gear, and the biggest hotel performance wins recently have come in those U.S. markets that are traditional Spring Break destinations. At the same time, major urban centers are seeing some return of transient business demand along with increases in group bookings. Since last month’s update, travelers have continued to seek relief and respite in warmer or winter-fun locales, as shown by hotel performance data for the four weeks ending 12 March 2022. This is an especially good sign for the industry as the largest percentage of K-12 students are not expected...

India’s Hotels Sector Sees Faster Than Expected Recovery With Year-Over-Year Increase of Over 24% in Brand Signings by Keys

Mandeep S Lamba | March 21, 2022

With demand recovering faster than expected in 2021, hotel companies put the COVID-blues behind them and pressed the accelerator on their expansion plans, resulting in a year-over-year increase of over 24% in brand signings by keys. During the year, 135 new hotels with 12,359 rooms entered the branded hotel market, while 58 hotels with 3,108 rooms were rebranded. With an average key count of 65 keys during the year, domestic hotel operators continued to sign more properties (77.7% of the total signings by properties) than their international peers. Meanwhile, international hotel operators persisted with their strategy to sign larger proper...

STR: London Hotel Performance Improved in February

STR | March 14, 2022

LONDON — March 14, 2022 — London’s hotel industry reported month-over-month performance improvement, according to preliminary February 2022 data from STR. Occupancy: 58.8% Average daily rate (ADR): GBP130.79 Revenue per available room (RevPAR): GBP76.88 The occupancy level was the highest in the market since November 2021 but still 25% below the pre-pandemic comparable from 2019. ADR, on the other hand, was just 1.6% lower than February 2019. Daily data shows that London’s performance improved especially on weekends, with 26 February producing the highest performance levels for the month: occupancy (80.8%),...

STR: Sydney Hotel Occupancy Stable in February Amid COVID Concerns

STR | March 14, 2022

LONDON — March 14, 2022 — Amid increased COVID-19 cases and a slow return to office, Sydney’s hotel industry reported a marginal occupancy increase from the prior month, but lower rates, according to preliminary February 2022 data from STR. Occupancy: 41.7% Average daily rate (ADR): AUD211.42 Revenue per available room (RevPAR): AUD88.21 While occupancy increased slightly, the market’s absolute ADR and RevPAR levels fell month over month. When indexed to 2019, RevPAR was just 35% of 2019 levels. STR’s latest Forward STAR data shows improving occupancy over 2021, with an increase in both March (+50%) and...