Branded full-service hotels in the U.S. recorded a 2.4-percent increase in gross operating profit per available room (GOPPAR) year-to-date April compared with the same period in 2016, according to HotStats—a monthly hotel profit-and-loss benchmarking service that has recently launched its platform in the United States.
Looking at trend data, GOP conversion has been flat since the 4th quarter of 2015 at around 37 percent, but below the 39 percent to 38 percent margins enjoyed in previous years. Increasing payroll costs continue to be the main profit threat with rolling 12-months to April 2017 levels at 33.7 percent of total revenue, a 0.4-percent increase in the same period in 2016 and 1.3-percent increase versus 2015.
Pablo Alonso, CEO of HotStats, said: “The headwinds of payroll, as well as rooms cost of sales, are putting profits under pressure. However, we believe that with better, comparable, and current data, revenue improvements and cost-saving opportunities can be identified to drive profitability and deliver enhanced value to owners and operators.”
