EU Report. Europe JULY 2018

Transcription

1 H EU Report Europe JULY 2018

2 ANALYSIS OF HOTEL RULTS JULY 2018 Europe's hotels show timid growth After a month of June marked by improved hotel results, Europe's summer shows less significant growth. Driven by essentially positive results in Belgium, the Netherlands, Turkey and Latvia, there are nonetheless disparities with drops in results in Switzerland and Poland. Compared with July 2017, hotels on the continent recorded a slight 1.1 point increase in occupancy to 78.5%. The same movement was observed for daily rates, which rose by 3.5% to euros. The progression of these two indicators resulted in overall growth by 4.9% in RevPAR, which reached 89.0 euros. While the positive trend may be observed in all categories, the 5* hotels leads the way with a RevPAR up 9.3%. The other segments maintained good growth in RevPAR by 5.7% in the 3* category and by 4.2% in the 4* hotels. The increase in the daily rate alone by +2.1% compensates for the slight decline in the occupancy rate of the 2* hotels (-0.2 point), which posted a RevPAR of 1.8%. At year-to-date, the balance sheet is also favourable with all indicators green. This general dynamic is maintained by the upturn in activity in practically all countries. Major Western countries maintained a steady pace with France (+8.7%), the United Kingdom (+5.0%) and Germany (+0.1%), while growth peaks by more than 10% in RevPAR were recorded in Belgium (15.9%) and the Netherlands (11.3%). In Southern Europe, Italy (+4.7%) continued to shine, Spain (+0.2%) benefited from the success of Madrid (RevPAR +10.8%) and Valencia (RevPAR +10.7%), while Barcelona's RevPAR fell by -5.6% and Portugal (+6.9%) built on the good results of previous years. The improvement in Greek activity (+8.3%) is reflected in an increase in daily rates by more than 10%, to reach a RevPAR of 11.6% year-to-date. Two countries are the exception owing to less intense activity in July: Switzerland (-1.9%) and Poland (-4.1%). In 2017, Hungary posted its strongest RevPAR growth since 2016 (+28.8%), thanks in particular to the World Swimming Championships held in Budapest. At the start of the summer, daily rates fell by 8.2% but the occupancy rate was more moderate than the previous year (-0.8 point) nonetheless reached 84.1%. This table is completed by Latvia (+11.0%), Austria (+6.6%) and the Czech Republic (+3.8%) which also sign occupancy rates higher than 80%. Despite lower occupancy rates than in July 2017, Europe's good results illustrate a good start to the summer season. Over the last twelve months, RevPAR was up 4.8% thanks to a 2.9% increase in prices. Overall, the hotel business performed well in July: most countries saw their RevPAR grow compared to last year and some can even boast double-digit growth. The Benelux region and France are pursuing their growth paths, while the usual growth leaders (Spain, Portugal, Greece) continue to progress. Produced by 2

3 HOTEL RULTS BY SEGMENT MONTHLY RULTS Occupancy Rate Average Daily Rate ( V excl) RevPAR ( V excl) (pts) (%) (%) 2* -0,2 2,1% 1,8% 3* 1,7 3,4% 5,7% 4* 1,5 2,3% 4,2% 5* 2,3 6,1% 9,3% Global 1,1 3,5% 4,9% YTD RULTS Occupancy Rate Average Daily Rate ( V excl) RevPAR ( V excl) (pts) (%) (%) 2* 0,8 2,3% 3,5% 3* 1,2 2,9% 4,7% 4* 0,9 0,9% 2,2% 5* 2,3 3,8% 7,3% Global 1,0 2,1% 3,5% Note : The indicators are compared to the same period of previous year, i.e. JULY 2018 vs JULY 2017 OR, ADR and RevPAR change - Last 24 months 10% 8% 6% 4% 2% 0% -2% -4% -6% 08/16 09/16 10/16 11/16 12/16 01/17 02/17 03/17 04/17 05/17 06/17 07/17 08/17 09/17 10/17 11/17 12/17 01/18 02/18 03/18 04/18 05/18 06/18 07/18 Changes ADR Changes OR Changes RevPAR Produced by 3

4 HOTEL RULTS BY COUNY +11.0% Monthly Results - RevPAR change by country JULY 2018 vs JULY % NL +11.3% -4.1% +4.9% +8.7% +15.9% +0.7% +0.1% +5.1% +6.6% -6.2% -1.9% Sup. to 10% +4.7% Between 5% and 10% Between 0% and 5% +6.9% +0.2% +8.3% +59.6% Inf. to 0% +0.0% Produced by 4

5 HOTEL RULTS BY COUNY +3.3 pts Monthly Results Occupancy Rate change by country JULY 2018 vs JULY pt NL +1.3 pt -2.9 pts +0.2 pt +1.1 pt +1.7 pt +4.7 pts -1.8 pt +1.1 pt -1.8 pt +2.1 pts +0.9 pt Sup. to 5 pts +0.4 pt Between 2,5 and 5 pts Between 0 and 2,5 pts -1.2 pt +0.8 pt -1.5 pt +7.3 pts Inf. to 0 pt -1.9 pt Produced by 5

6 HOTEL RULTS BY COUNY +7.0% Monthly Results - ADR change by country JULY 2018 vs JULY % +3.6% NL +9.6% +8.7% +3.0% -0.1% +7.5% -0.3% +6.3% +3.8% -7.2% -3.3% Sup. to 10% +4.1% Between 5% and 10% Between 0% and 5% +8.4% -0.7% +10.1% +44.2% Inf. to 0% +2.3% Produced by 6

7 HOTEL RULTS BY COUNY +14.0% YTD Results - RevPAR change by country YTD JULY 2018 vs YTD JULY % NL +9.0% +1.5% +3.5% +6.7% +9.7% +3.2% +1.0% -0.5% +2.0% +5.8% +0.8% Sup. to 10% Between 5% and 10% Between 0% and 5% +7.8% +1.0% +2.9% +11.6% +55.8% Inf. to 0% +0.5% Produced by 7

8 HOTEL RULTS BY COUNY +5.7 pts YTD Results Occupancy Rate change by country YTD JULY 2018 vs YTD JULY pt NL +2.0 pts +0.2 pt +1.0 pt +2.9 pts -2.4 pts +0.1 pt +0.9 pt +0.3 pt +0.0 pt +1.5 pt +0.8 pt Sup. to 5 pts +1.3 pt Between 2,5 and 5 pts Between 0 and 2,5 pts -0.2 pt +0.0 pt +1.0 pt +8.9 pts Inf. to 0 pt -1.8 pt Produced by 8

9 HOTEL RULTS BY COUNY +5.1% YTD Results - ADR change by country YTD JULY 2018 vs YTD JULY % +0.8% +4.3% NL +6.2% +5.4% +6.4% -0.4% +0.9% -1.8% +1.6% +1.2% +5.8% Sup. to 10% Between 5% and 10% Between 0% and 5% +8.1% +1.0% +1.1% +10.2% +35.4% Inf. to 0% +3.2% Produced by 9

10 1 Conventions METHODOLOGY The report presents the results of corporate brand hotels in Europe. The sample consists of a total of more than 6,500 hotels, representing more than 800,000 rooms. The breakdown by segment is as follows: 30% for Budget and Economic hotels, 30% for midscale hotels and 40% for upscale hotels. Hotels are classified according to the hotel star system: from 1* to 5*. The category of corporate chain hotels are allocated individually according to MKG Hospitality s market expertise and reflect the marketing classification in complement to the official rating system(s) of the country (if any). The category breakdowns for global supply are taken from MKG Hospitality s database and from information provided by statistical and/or hotel industry institutions (e.g. associations, unions). 2 Glossary o Occupancy rate: Number of sold rooms divided by number of available rooms o Average daily rate: Room revenue divided by number of sold rooms orevpar: Occupancy rate x daily price or room revenue divided by available rooms oavailable rooms: Capacity x number of operating days (within a month) osold rooms: Capacity x number of operating days x occupancy rate oroom revenue: Room revenue expressed net of V (excluding other types of revenue such as food and beverage, etc.) Produced by 10