Margin Call: Hotel profits stabilize, but costs rise in the Americas
💰 Year-to-date as of August 2025, hotel profits show mixed results. Middle East leads in GOPPAR at $103.61, followed by the Americas at $92.78, Europe at $83.60, and Asia-Pacific at $52.50. The Americas' growth is slowing with only a 1.9% GOPPAR increase, despite a 3.2% revenue rise. Payroll costs grew by 8.3% in ultra-luxury hotels, squeezing margins. The region's flow-through is 20%, with rising costs outpacing revenue, challenging hotels to find new revenue streams.
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