Hotels see reduced y-o-y revenue per room for Q4 of FY24

livemint.com:

the RevPAR numbers have stabalised in the Q4, FY24. The corresponding quarter in FY23 experienced a very large growth of 100.8% year-on-year over 2022 because the Omicron wave of the covid-19 pandemic had slowed or shut down operations of many businesses during that period. The fourth quarter of FY24 noted a RevPAR growth of 5.5% quarter-on-quarter (Q-o-Q) compared to the previous quarter.

This is because the October-December period typically sees a decrease in hotel stays owing to the festive and winter holiday season when people travel back home to meet and stay with their families instead of going on vacations. During the Q4 of FY24, there was also a robust demand for hotel rooms in both business and leisure destinations starting with the beginning of the wedding season in January. The occupancy levels in key business markets were also strong, averaging around 70%.

In the same quarter, 90 branded hotel signings comprising 9,710 rooms were registered. Hotel signings are when owners of individual hotels ask hotel management chains to take over the day to day operational management of their properties. Furthermore, 13 hotels signed were conversions of other hotels, accounting for 12% of the inventory signed this quarter.

Conversions happen when the owner of a hotel decides to make their hotel move from an unbranded property to work with a brand or change their brand to another hotel management company. (Say for instance, the owner of a Taj Hotel decides to move to working with ITC Hotels to manage their hotel.) There were also 36 hotel openings across India with about 2,316 rooms, of which 75% of the total number of keys were in tier II and III cities, including Jaipur, Indore, Surat, and Ayodhya, to name a few. Also