Skip to content

Search

Latest Stories

STR: Hotel profitability in April exceeds pre-pandemic levels for second month

Rise in top-line metrics brings up bottom-line metrics as well

STR: Hotel profitability in April exceeds pre-pandemic levels for second month

THE PROFITABILITY OF U.S. hotel exceeded pre-pandemic comparable levels for a second consecutive month in April, according to STR. The GOPPAR, TrevPAR and EBITDA PAR levels were the highest since November 2019 during the month.

GOPPAR was $90.96 for the month, up by more than $7 reported in March. In February , GOPPAR stood at $58.88. EBITDA PAR was $68.37 for April, TRevPAR was $218.40 and labor costs per room were $64.22.


“As the top-line metrics continue to progress toward full recovery, it is no surprise that the bottom-line metrics are coming in better than pre-pandemic times,” said Raquel Ortiz, STR’s director of financial performance. “GOPPAR and GOP margins continue to show incremental improvements month over month, with the GOP margin of 41.6 percent at its third-highest level on record and the highest since November 2018. F&B profits were up slightly from April 2019, mostly due to lower group demand lowering the cost of spend on F&B as well as the influences of inflation. Labor costs, on the other hand, remain slightly under the 2019 comparable due to lower employment levels and less available amenities.”

According to STR, nine of the major markets realized GOPPAR and TrevPAR levels higher than 2019.

“Miami continues to lead in both GOPPAR and TrevPAR recovery, hitting 178 percent of 2019 GOPPAR. On the other hand, San Francisco and Minneapolis remain near the bottom in both metrics. The GOPPAR level for the top 25 markets combined was the highest of the pandemic and only $12 less than April 2019,” Ortiz said.

More for you

IHG Ruby Hotels USA launch
Photo credit: IHG Hotels & Resorts

IHG’s Ruby debuts in U.S. market

Summary:

  • IHG launched its 20th global brand, Ruby, in the U.S.
  • The brand offers serves city-centers and urban locations with restrictions.
  • It focuses on major urban markets with new-build, conversion, and adaptive reuse.

IHG HOTELS & RESORTS introduced Ruby Hotels, its 20th global brand, to the U.S. It is designed to fit in city centers and urban locations with entry barriers and space constraints.

Keep ReadingShow less
H-2B visa hospitality impact

Study: H-2B visas boost U.S. jobs and wages

Summary:

  • The H-2B visa program protects U.S. jobs and wages, according to AHLA citing a study.
  • It allows hotels and resorts to meet travelers’ needs while supporting the economy.
  • It provides foreign workers for seasonal jobs when domestic workers are unavailable.

THE H-2B VISA program does not harm U.S. jobs or wages but increases pay and supports the labor force, according to an Edgeworth Economics study. Citing that study, the American Hotel & Lodging Association said the program enables hotels and resorts to meet travelers’ needs while supporting the workforce and economy.

Keep ReadingShow less
Howard Johnson 100th anniversary

HoJo marks centennial with throwback

Summary:

  • Howard Johnson is marking its 100th anniversary with fried clam–shaped soaps.
  • The soaps pay homage to an iconic HoJo menu item.
  • Available at select hotels and for online purchase starting Oct. 3.

HOWARD JOHNSON BY Wyndham marks a century with one of its most famous menu items, the fried clam strip. The brand is introducing limited-edition HoJo’s Original Fried Clam Soap, available at select Howard Johnson hotels across the U.S. and for online purchase beginning Oct. 3.

Keep ReadingShow less
AI digital assistant redefining guest loyalty in U.S. hospitality industry

Study: AI agents redefine hotel loyalty

Summary:

  • The use of AI agents hotels must rethink customer loyalty, a FAU study finds.
  • The paper proposes strategies as AI becomes the main booking channel.
  • Researchers warn of ethical and privacy issues.

HOTELS MUST RETHINK how they build and maintain loyalty as artificial intelligence systems make travel decisions and bookings for consumers, according to a study by Florida Atlantic University. The rise of artificial intelligence agents will complicate hotel customer loyalty management.

Keep ReadingShow less
HAMA Fall 2025 survey results

Survey: Hotels expect Q4 RevPAR gain

Summary:

  • More than 70 percent expect a RevPAR increase in Q4, according to HAMA survey.
  • Demand is the top concern, cited by 77.8 percent, up from 65 percent in spring.
  • Only 37 percent expect a U.S. recession in 2025, down from 49 percent earlier in the year.

MORE THAN 70 PERCENT of respondents to a Hospitality Asset Managers Association survey expect a 1 to 3 percent RevPAR increase in the fourth quarter. Demand is the top concern, cited by 77.8 percent of respondents, up from 65 percent in the spring survey.

Keep ReadingShow less