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This C&W report details the performance of the hotel sector in Milan between September 2023 and 2024.

Full-service hotels saw a decline in profits during the period under review: GOP PAR (Gross Operating Profit per Available Room) fell by 5.4%, due to a decrease in revenue (-1.7%) and a slight increase in costs (+0.7%).

This led to a reduction in the GOP margin, which fell from 38.9% in 2023 to 37.4% in 2024. The main causes of the decline in revenue include a decrease in MOD (Minor Operated Departments) revenue of €3.1 per available room, and a decrease in Food & Beverage revenue of €0.6 per available room. In contrast, room revenue increased by 0.9%, thanks to a 7.6% rise in ADR (Average Daily Rate), despite a 6.2% decline in occupancy during the same period.

The sector was also influenced by a growth—albeit limited—in supply, with the opening of 481 new rooms (+1.8% of total supply) during the period analyzed.

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