Hotel budgeting beyond RevPAR: STR’s example shows 9% revenue growth alongside declining operating profit
🏨 STR and Tourism Economics’ 31 August 2026 forecast covered 59 markets across Europe, the Middle East and Asia Pacific. Across 16 Asia Pacific markets, projected 2026 RevPAR growth fell from 4.4% to 3.9% as occupancy expectations weakened; ADR growth was revised to 3.2%. Hotel budgets also need profitability measures: Flow Through tracks revenue converted into operating profit, while Flex assesses profit protection during downturns. Staffing, distribution costs and scenario planning help translate revenue into sustainable earnings.
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