Portugal Hotel Markets Market Dynamics, Q2 2025

Portugal's hospitality sector showed resilience and growth in H1 2025, demonstrating an overall positive performance. There was a 3.6% increase in guest numbers and a significant 7.9% YoY surge in total revenue, reaching €2,243 million euros.

Hotel guest numbers continued their upward trajectory, albeit at a more measured pace, with a 3.1% year-over-year increase. This growth pattern signals a transition into a normal growth regime, following the exceptional 5.1% surge in 2024 and the dramatic 12.4% rebound two years prior.

Both the Average Daily Rate (ADR) and Revenue per Available Room (RevPAR) recorded solid year-on-year growth in the first half of 2025, increasing by 8.2% and 8.4%, respectively, reaching €114 and €70. These gains, combined with stabilizing occupancy rates, indicate that the sector is effectively leveraging pricing strategies to drive revenue growth.