India-based global hospitality major OYO Hotels & Homes said it has added more rooms than the top three hotel chains in the world in 2018, reaching a total room portfolio of 458,000 worldwide.
OYO is also poised to become world’s largest hotel chain soon, with its realised value run-rate reaching $1.8 billion, the company said in a statement.
OYO is backed by leading investors such as the SoftBank Group, Sequoia India, Lightspeed India, Hero Enterprise and China Lodging Group
The global hospitality chain, which has entered the Saudi market recently after establishing its presence in UAE, quadrupled its global growth in 2018, compared to the previous year.
“We have had a great 2018 across all the markets that we operate in. Globally we have reached close to half a million fully controlled leased and franchised rooms with a realised value run rate of $1.8 billion as on December 2018, representing a 4.3 times year-on-year growth,” Abhishek Gupta, chief financial officer, OYO Hotels & Homes, said.
“We will continue to maintain this momentum, while redefining hospitality experience for people around the world. We aspire to be the largest hotel chain,” he added.
OYO has also seen global stayed-room nights increase from 13 million in December 2017 to 75 million in December 2018, registering a growth of 5.7 times year-on-year basis.
The growth estimate is made on an annualised basis, based on its December run-rate.
The hospitality chain’s revenue growth has been driven by strong underlying business drivers, notably increase in exclusive room supply, 5.7 times increase in stayed room nights and consistent increase in commission incomes.
OYO currently manages 12,500 rooms across Dubai, Sharjah, Ras Al-Khaimah and Fujairah. The company has welcomed over 120,000 guests from 80 countries across 14 properties and 20 homes in UAE, since its launch in April 2018.
OYO Hotels & Homes is currently present in more than 500 cities across ten countries - India, UAE, Saudi Arabia, China, Malaysia, Nepal, UK, Indonesia, Philippines and Japan, hosting guests in over 13,000 franchised and leased hotels, over 6000 homes.
A start-up founded by Ritesh Agarwal, OYO has been termed as a disruptor in the hospitality sector by fundamentally re-industrialising and re-branding, and introducing affordability.
According to company executives, partnering with OYO helped small hotels to significantly improve their quality, leading to a jump in occupancy from 25 percent to 65 percent on an average, thereby increasing yield on underutilized assets for asset owners.For all the latest travel news from the UAE and Gulf countries, follow us on Twitter and Linkedin, like us on Facebook and subscribe to our YouTube page, which is updated daily.
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