FinToolSuite

RevPAR Calculator

Updated April 17, 2026 · Investing · Educational use only ·

Hotel RevPAR.

Calculate RevPAR (Revenue Per Available Room) for hotel performance analysis. Enter room revenue and rooms available to see revpar from total revenue and rooms.

What this tool does

This tool calculates RevPAR from total revenue, rooms, and days.


Enter Values

Formula Used
Revenue per available room
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.

RevPAR (Revenue Per Available Room) measures hotel performance combining ADR and occupancy in one metric. Total room revenue / (rooms available × days) = RevPAR. 100k revenue from 100 rooms over 30 days = 33.33 RevPAR. Hospitality industry standard for cross-property comparison.

Example: 100-room hotel earns 100,000 in 30 days. RevPAR = 100,000 / (100 × 30) = 33.33/day. Annualised: 12,167 per available room per year. RevPAR captures both rate and occupancy - high ADR with low occupancy or low ADR with high occupancy can produce same RevPAR. The ultimate hotel performance metric.

RevPAR benchmarks: Budget chains (Premier Inn): 35-55. Mid-scale (Hilton Garden Inn): 60-100. Upper-scale (Marriott): 110-225. Luxury (Four Seasons): 280-1000+. / premium 30-50% above national. RevPAR growth 2-5% annual = healthy hotel. Negative RevPAR growth = warning sign. Revenue management software optimises RevPAR by dynamic pricing - typically adds 5-10% RevPAR over manual pricing.

A worked example

Try the defaults: total room revenue of 100,000, rooms available of 100, days in period of 30. The tool returns 33.33. You can adjust any input and the result updates as you type — no submit button, no reload. That's the real power here: seeing how sensitive the output is to one or two assumptions.

What moves the number most

The result responds to Total Room Revenue, Rooms Available, and Days in Period. Not every input has equal weight. Flip one at a time toward extreme values to feel which ones move the needle most for your situation.

The formula behind this

RevPAR = total revenue / (rooms × days). Annualised = RevPAR × 365. Everything the calculator does is shown in the formula box below, so you can check the math against your own spreadsheet if you want.

Why investors run this

Most people's intuition for compounding is wrong — not because the math is hard, but because linear thinking doesn't account for curves. Running numbers through a calculator like this one is the cheapest way to recalibrate that intuition before making an irreversible decision about contribution rate, asset mix, or retirement age.

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. Treat the number as one scenario, not a forecast.

Example Scenario

£100,000 £ / (100 rooms × 30d) = $33.33.

Inputs

Total Room Revenue:100,000 £
Rooms Available:100
Days in Period:30
Expected Result$33.33

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

RevPAR = total revenue / (rooms × days). Annualised = RevPAR × 365.

Frequently Asked Questions

RevPAR vs ADR?
ADR (Average Daily Rate) = revenue per occupied room only. RevPAR = revenue per available room (whether occupied or empty). RevPAR more comprehensive - high ADR with empty hotel = low RevPAR. 150 ADR at 80% occupancy vs 100 ADR at 95% occupancy: same 120 vs 95 RevPAR? No - 150 × 0.80 = 120 vs 100 × 0.95 = 95. Higher ADR wins.
Industry benchmarks?
Budget chains: 35-55. Mid-scale: 60-100. Upper-scale: 110-225. Luxury: 280-1,000+. / adds 30-50%. Annual growth target: 2-5% (healthy). Declining RevPAR: market trouble or property issues. RevPAR is hospitality industry's North Star metric.
How to grow RevPAR?
(1) Yield management software (dynamic pricing). (2) Direct booking incentives (avoid OTA commissions). (3) Length-of-stay restrictions during peak. (4) Quality improvements supporting price increases. (5) Loyalty programs reducing acquisition costs. (6) Channel mix optimisation. Top performers grow RevPAR 5-10%/year through revenue management discipline.
RevPAR limitations?
Doesn't capture: (1) F&B revenue (often 30-40% of hotel income). (2) Other revenue (parking, spa, conferences). (3) Cost side - high RevPAR with terrible margins still bad. (4) Capital structure. Use RevPAR for revenue management, GOP/PROFPAR for full profitability analysis.

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