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FinToolSuite
Updated April 20, 2026 · Hospitality · Educational use only ·

Hotel ADR Calculator

Hotel ADR/RevPAR.

Calculate hotel ADR, RevPAR, and occupancy from revenue and rooms data. Enter room revenue, rooms sold, rooms available, and period to size hotel performance.

What this tool does

Average daily rate, occupancy, and revenue per available room are the three numbers every hotel operator tracks. This calculator takes total room revenue, rooms sold, rooms available, and the number of days in your period, then computes all three metrics plus how they relate to each other. ADR shows the average revenue generated per room sold. Occupancy expresses what percentage of your available inventory was filled. RevPAR combines both—showing revenue generated per room slot across your entire period. The relationships between these three reveal operational patterns: for example, whether revenue growth came from higher nightly rates, fuller occupancy, or both. Results are computed from the raw inputs you provide and serve as a snapshot for a specific period—they don't account for seasonality, pricing strategies, or market conditions outside your data.


Enter Values

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Formula Used
Average daily rate (entered as a percentage value)
Total room revenue

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Disclaimer

Results are estimates for educational purposes only. They do not constitute financial advice. Consult a qualified professional before making financial decisions.

Hotel Average Daily Rate (ADR) calculator measures revenue per occupied room. ADR = total room revenue / rooms sold. Combined with occupancy and RevPAR (Revenue per Available Room), gives full picture of hotel performance. 100k revenue from 2,000 room nights = 50 ADR. With 80% occupancy on 100 rooms over 30 days: RevPAR = 41.67.

Example: 100-room hotel, 30-day period, 2,000 rooms sold (out of 3,000 available = 67% occupancy), 100,000 total room revenue. ADR = 100,000 / 2,000 = 50. RevPAR = 100,000 / 3,000 = 33.33. Annualised revenue = 1.22M. Different hotels emphasise different metrics: luxury chases ADR, budget chases occupancy.

Hotel performance benchmarks: Budget hotels (Premier Inn, Travelodge): 40-70 ADR, 80-85% occupancy. Mid-scale (Hilton Garden Inn): 80-130 ADR, 70-80% occupancy. Luxury (Four Seasons, Ritz): 400-800 ADR, 65-75% occupancy. RevPAR more important than either alone - high ADR with low occupancy = empty hotel; high occupancy with low ADR = race to bottom.

Quick example

With total room revenue of 100,000 and rooms sold of 2,000 (plus rooms available of 100 and days in period of 30), the result is 50.00. Change any figure and watch the output shift — it's often more useful to see the pattern than to memorise the formula.

Which inputs matter most

You enter Total Room Revenue, Rooms Sold (Total), Rooms Available, and Days in Period. Not every input has equal weight. Adjusting one input at a time toward extreme values shows which ones move the result most.

What's happening under the hood

ADR = revenue / rooms sold. Occupancy = sold / (available × days). RevPAR = revenue / (available × days). The formula is listed in full below. If the number looks off, you can retrace the calculation by hand — that's the point of showing the working.

Using this well

What this doesn't capture

Steady-rate math ignores real-world volatility. Actual returns are lumpy; sequence-of-returns risk matters most in drawdown; fees and taxes drag on compound growth; and behaviour changes in drawdowns can reduce outcomes below the projection. The number represents one scenario rather than a forecast.

Example Scenario

££100,000 / 2,000 rooms = 50.00.

Inputs

Total Room Revenue:£100,000
Rooms Sold (Total):2,000
Rooms Available:100
Days in Period:30
Expected Result50.00

This example uses typical values for illustration. Adjust the inputs above to match a specific situation and see how the result changes.

Sources & Methodology

Methodology

This calculator computes Average Daily Rate (ADR) by dividing total room revenue by the number of rooms sold during the period. Occupancy rate is calculated as rooms sold divided by the total rooms available multiplied by days in the period, expressing what proportion of inventory was occupied. Revenue Per Available Room (RevPAR) is derived by dividing total room revenue by available rooms multiplied by days in the period, combining pricing and occupancy into a single metric. The model assumes revenue applies only to rooms sold, treats occupancy as a simple ratio without adjustment for seasonality or day-of-week variation, and does not account for ancillary charges, discounts, cancellations, or changes in rates across the measured period.

Frequently Asked Questions

ADR vs RevPAR - which matters?
RevPAR more comprehensive - measures revenue per available room (whether sold or empty). ADR only measures sold rooms - high ADR with low occupancy can equal less revenue than lower ADR with high occupancy. Hotel revenue management optimises RevPAR (the ultimate goal), using ADR and occupancy as levers.
Industry benchmarks?
Budget chains: ADR 40-70, occupancy 80-85%, RevPAR 35-55. Mid-scale: ADR 80-130, occupancy 70-80%, RevPAR 60-100. Upper-scale: ADR 150-300, occupancy 70-80%, RevPAR 110-225. Luxury: ADR 400-1500+, occupancy 60-80%, RevPAR 280-1000+. / premium 30-50% above national averages.
Seasonal variations?
: peak summer (June-August) and December (Christmas markets). Beach resorts: heavy summer concentration. Business hotels: Tuesday-Thursday peaks, weekends quiet. Convention cities: peak during major events. Average annual occupancy hides massive intra-year variation. Plan revenue around seasonal patterns - flat-rate analysis misleads.
How to grow RevPAR?
(1) Yield management software (dynamic pricing). (2) Direct booking incentives (avoid OTA commissions). (3) Length-of-stay restrictions during peak (e.g., minimum 2 nights). (4) Quality improvements supporting price increases. (5) Loyalty programs reducing acquisition costs. (6) Channel optimisation (mix of direct, OTAs, corporate). Dynamic ADR optimisation often adds 5-10% to RevPAR.

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