March 2018: Cost Cutting Drives Profit Growth at Hotels in the Middle East & Africa

Hotels in the Middle East & Africa successfully cut costs to fuel a 4.6% year-on-year increase in profit per room this month, which was in spite of a mixed revenue performance, according to the latest worldwide poll of full-service hotels from HotStats. Profit per room at hotels in the Middle East & Africa climbed to $96.95 this month, which was primarily thanks to cost savings, which included a 0.3-percentage point reduction in Payroll levels, to 24.2% of total revenue, as well as a 0.5-percentage point drop in Overheads, to 22.9% of total revenue. Top-line performance at hotels in the Middle East & Africa was positive, recording a 3.3%…