By Andy Sambidge
New TRI Consulting survey reveals substantial increase in revenues and profits
Hotels in Abu Dhabi registered substantial growth in revenues and profits during October, according to the latest HotStats survey compiled by TRI Hospitality Consulting.
Occupancy levels in Abu Dhabi rose by 8.4 percent to 79.6 percent while average room rates (ARR) increased by 16.8 percent to $182.37.
These boosted revenue per available room (RevPAR) by 30.6 percent to $145.13 in October, the survey said.
It added that the growth in the top line performance caused a surge in profit levels during the month as the gross operating profit per available room (GOPPAR) reached $117.43, up by 47.3 percent compared to the same period in 2012.
In Dubai, despite a two percent decline in occupancy at 83.4 percent, ARR increased by 9.4 percent to $396.87 driving RevPAR up 6.8 percent to $330.80.
Peter Goddard, managing director of TRI Hospitality Consulting in Dubai, said: "The growth in Abu Dhabi's top line performance was attributed to the city hosting a number of high profile international events, including the Abu Dhabi Film Festival and the FIFA U-17 World Cup which attracted nearly 80,000 visitors during the first two weeks of the competition.
"Leisure tourism was propelled in the wake of Eid Al Adha holiday, as the city provided a variety of family-friendly shopping and entertainment options."
Goddard added: "The holidays helped Dubai attract strong demand from visitors within the region and Saudi Arabia in particular, while MICE activity returned to the market as the city hosted several events including Cityscape Global."
In Doha, four and five star hotels recorded 1.1 percent occupancy growth while ARR dropped 6.5 percent to $237.06, forcing RevPAR down by five percent in October at $162.95, the survey showed.
In Jeddah, hotels reported average occupancy of 77.3 percent, which was 1.2 percent lower than October 2012 while ARR also declined marginally to $251.09, dropping RevPAR to $194.00.