Published on 9 Feb 2023 on Insider Monkey via Yahoo Finance

16 Most Valuable Hotel Companies In The World

In this article, we discuss 16 most valuable hotel companies in the world. If you want to see more companies in this selection, check out 5 Most Valuable Hotel Companies In The World. 

Hotel and lodging industry revenue has recovered from the COVID-19 pandemic, and 2022 was expected to end with $188 billion in revenue, an increase of 11% compared to 2019. However, adjusted for inflation, revenue per available room is not projected to exceed pre-pandemic levels until 2025. Hospitality companies who provide liquor and live entertainment might have to allocate 5% to 20% more budget for insurance in 2023, and establishments with facilities such as spa services will see rate increases as well. Hospitality industry profit margins will deteriorate in 2023 due to supply chain constraints, inflation, and higher wages pressuring profit margins. 

Based on strength in Q1 2022, ongoing halts in construction, greater inflation, and positive employment data, CBRE lifted its forecast of hotel performance for 2022 and beyond. CBRE said it anticipates complete rebound in average daily rate in 2022 and in demand and revenue per available room in 2023. Regardless of COVID-19 challenges, RevPAR in Q1 2022 came in at $72.20, above 61% from the prior year quarter. RevPAR growth was fueled by a 39% raise in ADR and 16% higher occupancy.