There is a negative view on current profitability despite higher room rates.

Generally, there is a positive outlook in the hotel industry, with an improved view on future demand and future room rates. The seasonally adjusted and smoothed net value for future demand is at a historically high level. However, the view on current profitability has remained negative for more than a year, both among hotel companies and within the service sector. The economic downturn and high inflation have reduced the growth in demand for hotel rooms in Sweden, while inflation simultaneously has driven up costs and weakened profitability. Given the hotel companies’ increasingly positive expectations regarding future demand and room rates, profitability is expected to improve going forward.

Staff shortages remained low, as 95 percent of the hotel companies and 84 percent of the companies in the service sector reported no lack of personnel. Most companies in both sectors do not expect any significant changes in the coming three months.

The report is in Swedish, please download here:
Hotellmarknadens Konjunkturbarometer februari 2025.pdf