U.S. hotel recovers, profitability increased in October

Published on : Thursday, December 9, 2021

U.S. hotel profitability increased from the previous month on a per-available-room basis but was down when indexed to 2019, according to STR‘s October 2021 monthly P&L data release. All of the key profitability metrics increased from September as October is historically a higher revenue month like- GOPPAR: US$62.75, TRevPAR: US$165.03, EBITDA PAR: US$44.14, and LPAR (Labor Costs): US$52.17.

Estimated industrywide gross operating profit was 89% of 2019 comparable, after coming in at 97% when using the same index comparison in September. Labor costs reached 91% of pre-pandemic comparables in October after reaching a high of 96% in September. 

October data was important to analyze from multiple angles said Raquel Ortiz, STR’s assistant director of financial performance. The metrics were up quite a bit from September if you measure by available rooms, but that’s to be expected as October is usually a stronger revenue month due to conferences and group travel.

If we extrapolate and bring in the comparison to pre-pandemic times, performance was lower. Fortunately, even with the less corporate business this year, profit margins (38%) still came relatively close to what we saw in 2019 (40.9%).

Among major markets, Miami’s October year-to-date GOPPAR level surpassed the comparable 2019 level, while San Francisco moved into positive GOPPAR territory when averaging the first 10 months of the year.

Related Posts

Tags: , , , ,

Leave a Reply

Your email address will not be published. Required fields are marked *

arrow2Follow TTW
facebook-logo  twitter-logo  LinkedIn_logo  rss_logo 
ttw_blogger_logo  ttw_blogger_logo


  • 05 EMITT 2021
  • 13 IITM 2022
  • 15 SATTE 2022
  • 16 Conventa 2022
  • 16 SAHIC 2022



      January 16 - January 22
    2. FITUR

      January 19 - January 23

      January 19 - January 20
    4. MATKA 2021

      January 20 - January 23
    5. TTF Chennai

      January 21 - January 23