by davehogg |
October 27, 2011 · 6:19 pm
The following are selected excerpts from an article on today’s HotelNewsNow.com site:
The North American hotel industry continues to show strength and stability, according to Tim Hart, executive VP of business intelligence for TravelClick.
For the next 12 months, committed occupancy on the books is up 4.8% year-over-year, average daily rate is up 4%, and revenue per available room is tracking ahead by 6.5%, according to TravelClick’s October 2011 North American Hospitality Review.
The group and business sectors are particularly strong.
“Rates are improving,” Hart said.
While retail rates have shown strength, the metric hasn’t grown as strongly as it should have because the hotel industry is still burning off the lower-priced corporate and group rates negotiated during the downturn, he said.
TravelClick expects steady improvement in ADR to fuel RevPAR growth in the high single digits for the rest of the fourth quarter, and possibly into the 10% range by the first quarter of 2012, Hart said.
by davehogg |
October 14, 2011 · 12:24 pm
Here are a few excerpts from yesterday’s WSJ article about Marriott’s performance:
- Marriott International Inc. (MAR) posted strong third-quarter revenues and provided an upbeat outlook for its lodging business, even as Wall Street is checking out of hotel stocks on concerns that an economic slowdown will cut travel spending.
- Marriott said that in the fourth quarter it expects 5% to 7% growth in revenue per available room — or revpar, a key profit metric — and said it’s “cautiously optimistic” about 2012.
- Marriott’s stock is down 32% so far this year and shares of Starwood Hotels and Resorts Worldwide Inc. (HOT) is down 34%. Hotel real estate investment trusts were the worst performing in the sector last quarter slumping roughly 30%. (See why we’re glad our hotels don’t depend on Wall Street pricing? Performance up, stock price down! What’s with that? – Dave Hogg)
- Average daily rates rose 4.1%, while revpar grew 6.9%, or 7.4% excluding the Middle East and Japan.
Have a great day!