French hospitality giant Accor reported "solid" room revenue growth for 2025, driven by both leisure and business demand, according to Accor chief financial officer Martine Gerow.
During an earnings call on Thursday, Gerow said that business demand in 2025 proved "remarkably resilient", with corporate activity "picking up speed in the fourth quarter."
Accor's systemwide revenue per available room for 2025 increased 4.2 percent year on year to €76, exceeding expectations. This was largely driven by higher rates—with the average daily rate increasing 3.2 percent to €113—rather than occupancy, which rose 0.6 percentage points to 67.1 percent for the full year.
The company reported total revenue of €5.64 billion, up 4.5 percent compared with 2024, and an operating profit of €807 million, despite "headwinds in so many geographies." Accor CEO Sébastien Bazin attributed these gains to the diversification of the group's hotel portfolio and the expansion of its loyalty program, which had more than 15 million new sign-ups in 2025.
"We're getting strong and stronger and stronger when it comes to signing new partnerships and certainly due to the robustness of the loyalty program," he said during Thursday's call. "ALL Accor is very welcomed in a number of geographies… a lot of people want to piggyback and paddle with us… so you're going to see non-RevPAR revenues increasing year after year, which is what we've been asking for and planned for the last three years."
Q4 Metrics
Accor's systemwide Q4 revenue per available room increased by 7 percent year over year to €79, with the average room rate rising by 5.9 percent to €116. Occupancy increased 0.7 percentage points to 68 percent.
The company's RevPAR in the Europe and North Africa region increased by 3.3 percent to €69 in Q4 compared to the same period of 2024. This revenue uptick "illustrates the recovery of demand in the region," the company said. This followed a 4.6 percent decline recorded in Q3, which reflected "an unfavorable comparison basis" linked to the Paris 2024 Olympic and Paralympic Games.
In France, which accounts for 42 percent of the region's room revenue, RevPAR "returned to positive growth" after a downturn in the third quarter. In the UK, which accounts for 12 percent of the region's room revenue, both London and the provinces saw a "rebound in activity".
In Germany, which contributes 13 percent of the region's room revenue, RevPAR returned to positive territory after three consecutive quarters of decline due to "a more favorable event calendar".
Accor opened 303 hotels – approximately 51,000 rooms – in 2025, representing a net unit growth of 3.7 percent year on year. As of 31 December, the group had 5,836 hotels (881,427 rooms) in its portfolio, with an additional 1,527 properties (257,000 rooms) in the pipeline.