Brits pave way for Palladium Hotel Group's strong summer results

The group has concluded a globally successful summer season, noting a 14% increase in RevPAR across its holiday hotels in Europe, driven by an 8% rise in room nights and a 5% increase in the average room rate.

Following a summer season initially influenced by major sporting events, which temporarily shifted travel trends and slightly lowered results compared to initial forecasts, the hotel group overcame these challenges, ultimately closing the season with strong global outcomes and on course to surpass last year’s record revenue of €1.069 billion.

Palladium Hotel Group’s hotels in Spain and Italy recorded particularly strong Pladium Sicilia Resort & Spa achieved a 15% increase in RevPAR, supported by a 6% increase in room nights and an 8% rise in average daily rate. In the Balearic Islands, RevPAR grew by 10% compared to the same period last year. 

The UK remains the primary market for the group’s European hotels, accounting for 27% of market share. In the Balearic Islands, British tourists represent 28% of the total market.

In Tenerife, British market share is even higher, reaching 62%, followed by Ireland and Spain at 5% each. Forecasts indicate that RevPAR at Hard Rock Hotel Tenerife in the Canary Islands is expected to grow by 5% year-on-year.

In the Caribbean and Americas, the UK is the second main source market (14%), following the US (24%).

Sergio Zertuche, Palladium Hotel Group chief sales and marketing officer, said: “We are very pleased with the results achieved this summer season.

"We overcame the slowdown in summer travel in the Caribbean and Americas and a slight decrease in demand in Europe due to the Euros and Olympic Games to rebound."

He added: "A strong start to the year and our adaptability to changing conditions allow us to approach the end of 2024 with confidence in exceeding last year’s record €1.069 billion in managed revenue.”