Marriott International's Middle East hotel revenue declines narrowed significantly in July despite ongoing regional conflicts that continue to cause development project delays, chief executive Anthony Capuano said on Wednesday.
Reuters – Steady leisure and summer travel demand have helped travel firms offset some of the impact of the Middle East conflict, but a fresh wave of U.S.-Iran tit-for-tat attacks this week has heightened uncertainty, hurting revenue at hotel operators and online travel agencies and clouded their outlook.
Here are some more details:
· Speaking at the Bank of America Gaming and Lodging Conference, Capuano said revenue per available room (RevPAR) in the Middle East dropped 12% year-over-year in July, beating Marriott's own expectations and marking a sharp recovery from the 43% plunge recorded during the second quarter.
· While the Middle East accounts for roughly 3% of Marriott's global fees, it represents 6% of its development pipeline.
· Marriott said global room revenue rose 7% in July, led by an 8% gain in the U.S. and Canada. RevPAR grew 5% in luxury, 4% in premium and select brands, and 5% in mid-scale.
· Capuano dismissed the idea that current travel strength is merely a fleeting post-pandemic "revenge travel" spike, pointing to broad-based momentum across age groups and brands.
