Hospitality sector in sweet spot but revenue boost eludes five key players

Lower costs, improving occupancies as well as room rents augur well

The hospitality industry seems to be on the recovery path. For the first time since March 2020, occupancies moved above the 65 per cent mark in April. Average room rates (ARR) are now 4 per cent higher than in April 2019 (pre-Covid). Revenue per available room (REVPAR) is also about 5 per cent above the April 2019 figure.

But aggregate revenue for a basket of five hotels was down 19 per cent sequentially in the March quarter of financial year 2021-22 (Q4FY22), though revenue was up around 40 per cent year-on-year (YoY). Aggregate Ebitda (earnings before interest, taxes, depreciation, and amortisation)