The Bottom Line About Hotel Profits

ATLANTA—The hotel business is booming—for the fourth straight year. If that news isn’t good enough, industry researchers are predicting the hotel business will keep driving profit growth in excess of 10% through 2016.

That’s according to PKF Hospitality Research‘s (PKF-HR) 2015 Edition of Trends in the Hotel Industry. On a unit-level same-store sales basis, US hotels posted a 12.3% increase in net operating income (NOI) during 2014. All told, the six-year period from 2011 to 2016 will post continuous double-digit gains on the bottom line to drive the longest streak for US hotels since PKF started tracking these stats in 1937.