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Hotel profit calculator

Estimate what a hotel earns per day, month and year — and see how price, occupancy and costs change the result.

Profit per day
$730
Profit per month
$21,900
Profit per year
$266,450
Profit margin
39.7%
RevPAR
$77
GOPPAR
$37
profit per room per day

How it works

  • Rooms sold = rooms × occupancy
  • Revenue = rooms sold × ADR + other revenue
  • Costs = rooms sold × variable cost per room + fixed costs
  • Profit = revenue − costs · GOPPAR = profit ÷ rooms

Try a what-if

Change occupancy from 70% to 80% in the calculator: with mostly fixed costs, profit rises much faster than revenue. Then lower ADR by 10% to see how quickly a price cut eats into profit.

Practise it in a free hotel game

Run your own hotel in PlayLobbyboss and watch these numbers change with every price, room and hire you choose.

Play free — no download

FAQ

Is this the same as net profit?
No. It is an operating estimate before interest, depreciation and income taxes, close to gross operating profit (GOP).
Why does profit change so much with occupancy?
Hotels have mostly fixed costs, so each extra room sold adds almost its whole price to profit. This is called operating leverage.

Related terms