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STR: Canada Q1 2019 hotel performance

May 4, 2019 Hotel Trends No Comments Email Email

The Canadian hotel industry reported mostly positive year-over-year results in the three key performance metrics during Q1 2019, according to data from STR. 

Compared with Q1 2018:

  • Occupancy: -0.5% to 56.7%
  • Average daily rate (ADR): +1.2% to CAD148.68
  • Revenue per available room (RevPAR): +0.7% to CAD84.24

The absolute ADR and RevPAR levels were the highest for any Q1 in STR’s Canada database.

A February report from Destination Canada showed that overnight arrivals of international visitors to the country were up 1.0% during the first two months of 2019. STR analysts point to the influx of visitors as a reason for healthy hotel demand (+1.1%), but higher supply (+1.6%) put slight pressure on occupancy levels.

In absolute values, March was Canada’s top month of the quarter for occupancy (60.5%) and RevPAR (CAD89.86), while February was Canada’s top month in Q1 for ADR (CAD149.96).

Among the provinces and territories, Prince Edward Island recorded the quarter’s largest increases in each of the three key performance metrics: occupancy (+3.2% to 38.1%), ADR (+4.4% to CAD111.74) and RevPAR (+7.8% to CAD42.60).

Manitoba experienced the second-highest rise in occupancy (+1.6% to 62.1%).

British Columbia saw the second-largest jump in RevPAR (+2.9% to CAD110.25).

Newfoundland and Labrador posted the steepest decline in each of the three key performance metrics: occupancy (-5.9% to 38.1%), ADR (-7.4% to CAD120.67) and RevPAR (-12.9% to CAD46.01).

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