Record-breaking occupancy and room rates kept London hotels at the top of the profitability list in July 2010, according to the latest monthly survey of 10 European countries by Tri Hospitality Consulting.
High levels of tourism, especially from the Middle East, the recovering commercial sector and the biennial Farnborough Air Show allowed London hotels to boost occupancy to 94.1% - the highest level recorded by the survey in its 10-year history.
At the same time, room rates rose by 23.5% to €206.24. This is the highest level achieved by the UK capital’s hotels since November 2007 and it pushed London hotels to the top of the July rates table ahead of traditional rivals Rome and Paris.
This strong performance, combined with the lowest labour costs as a percentage of turnover in the report, meant London hotels boosted gross operating profit per available room by 31.3% to €139.28 – almost double the €74.06 profitability reported for second-ranked Paris.
The HotStats chain hotel survey is compiled each month by Tri Hospitality Consulting.
Annual HotStats hotel performance data
|Payroll %||31.9%||32.5%||-0.6 points|
|Payroll %||31.6%||34.8%||-3.1 points|
|Payroll %||28.5%||28.8%||-0.3 points|
|Payroll %||32.7%||33.8%||-1.1 points|
|Payroll %||20.1%||22.2%||-2.1 points|
|Payroll %||36.2%||36.8%||-0.6 points|
|Payroll %||31.4%||28.7%||+2.7 points|
|Payroll %||38.5%||35%||+3.5 points|
|Payroll %||31.3%||35.4%||-4.1 points|
|Payroll %||35.5%||37.9%||-2.4 points|
View the figures for June 2010 >>
View the figures for May 2010 >>
View the figures for April 2010 >>
View the figures for March 2010 >>
View the figures for February 2010 >>
View the figures for January 2010 >>
View the figures for December 2009 >>
View the figures for December 2008 >>
View the figures for December 2007 >>
View the figures for December 2006 >>
View the figures for December 2005 >>
DEFINITION OF TERMS
Occupancy is that proportion of the bedrooms available during the period which are occupied during the period.
Room rate is the total bedroom revenue for the period divided by the total bedrooms occupied during the period.
Revpar is the total bedroom revenue for the period divided by the total available rooms during the period
Payroll % is the payroll for all hotels in the sample as a percentage of total revenue
IBFCpar is the Income Before Fixed Charges shown per available room
Goppar is total gross operating profit for the period divided by the total available rooms during the period