UK provinces started the year by building on their 2014 performance, with a double-digit increase in gross operating profit per available room (GOPPAR). However, London hotels posted bottom line declines despite positive movements for January in top-line performance metrics, according to the latest data from HotStats.
East Midlands was one of the leading regions driving the UK provinces performance in January, with increases recorded in occupancy of 4.6 percentage points to 55.3% and in average room rate (ARR) of 5.8% to £63.97, leading to a rooms revenue per available room (RevPAR) growth of 15.4% to £35.36.
A general positive performance was recorded in ancillary departments and as a result, total revenue per available room (TRevPAR) levels surged by 10.1%.
Hoteliers also managed to reduce payroll by 2.2 percentage points to 38.0% to deliver a departmental operating profit per available room (DOPPAR) growth of 18.0% compared to the same period last year. Despite overheads per available room climbing by 7.2%, GOPPAR shot up by 51.3% representing a gross operating conversion of 15.5% for the month.