Gross Operating Profit Per Room Calculator
Work out gross operating profit per room instantly with clear inputs, formula shown and shareable results.
About Gross Operating Profit Per Room Calculator
GOPPAR is gross operating profit divided by available room nights, and it is the measure owners care about because it captures cost control as well as revenue. A hotel can lead its market on RevPAR and still lag on GOPPAR if its cost base is heavier.
Formulas
GOPPAR
GOPPAR = Gross operating profit / (Rooms available x Nights)
GOP margin
GOP margin % = Gross operating profit / Total revenue x 100
Worked example
With the default values below, Gross Operating Profit Per Room Calculator returns Gross operating profit per available room of $3,472.22. Change any input above and every figure here is recalculated in your browser.
Inputs used
- Total revenue
- 34,000,000
- Operating expenses
- 21,500,000
- Rooms available per night
- 120
- Nights in the period
- 30
Results
- Gross operating profit per available room
- $3,472.22
- Gross operating profit
- $12,500,000.00
- GOP margin
- 36.76%
- Total revenue per available room
- $9,444.44
Step by step
- 1Values used
- 2GOPPAR
- 3GOP margin
- 4Gross operating profit per available room= 3,472.22
- 5Gross operating profit= 12,500,000.00
- 6GOP margin= 36.76
- 7Total revenue per available room= 9,444.44
Assumptions and limits
- The result is derived only from the 4 inputs listed above. Anything not among them is not part of the calculation.
- In particular, this calculator does not take inflation or tax into account.
- Figures are rounded for display to 2 decimal places, so totals built from several rounded parts can differ slightly from the unrounded arithmetic.
How these calculators are built and tested is described on the Methodology page. If a figure looks wrong, please report it.
Frequently Asked Questions
What GOP margin is good?
35-45% for full-service hotels and 45-55% for limited-service, where food and beverage cost does not dilute the margin.
Why GOPPAR rather than GOP?
Because GOPPAR normalises for hotel size, making a 90-room and a 400-room property directly comparable.
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