How much profit should my hotel be making?

Most Indian hotel owners know their room rates but not their actual margins. This tool calculates gross revenue, OTA commission costs, operating expenses, and net profit — so you know exactly where your money is going.

Full Monthly P&L OTA Cost Breakdown Net Margin % Actionable Tips
Your Hotel Details
Room & Revenue
Number of sellable rooms
Monthly average
Per room per night
F&B, laundry, transfers, etc.
OTA & Distribution
% of bookings via OTAs
Avg. commission % across platforms
Monthly Operating Expenses (₹)
All staff, including housekeeping
Monthly electricity + water bill
Repairs, amenities, housekeeping supplies
Fixed monthly rent or EMI
Advertising, software, misc.
Gross Revenue
per month
Total Expenses
per month
Net Profit
per month
Annual Projection
estimated
RevPAR
Revenue Per Available Room
OTA Commission Cost
Monthly OTA fees paid
Room Nights Sold
Per month (30 days)
GOP Margin
Gross Operating Profit %
Monthly P&L Breakdown
Revenue
Room Revenue (Gross)
Ancillary Revenue
Total Revenue
Expenses
OTA Commissions
Staff Salaries
Utilities
Maintenance & Supplies
Rent / Loan EMI
Marketing & Other
Total Expenses
Net Profit
Net Profit Margin
Budget Hotels: 15–25% Mid-scale: 25–35% Upscale: 30–45%
Opportunities to Improve Profit
Frequently Asked Questions
What is a good profit margin for Indian hotels?
Budget hotels typically see 15–25% net margin, mid-scale 25–35%, and upscale properties 30–45%. Margins vary by city — Goa and hill stations can run higher during peak season. See our RevPAR guide for benchmarks by category.
How do I increase hotel revenue without raising room rates?
Improve occupancy via better OTA visibility and direct bookings, add ancillary revenue (F&B, laundry, airport transfers), and reduce OTA dependency with a booking engine. Even a 5% occupancy gain at the same ADR can meaningfully improve net profit.
What percentage of hotel revenue goes to OTA commissions?
If 60–70% of bookings come through OTAs at 15–20% commission, you lose 9–14% of total room revenue to commissions. Use our OTA Commission Calculator to see the exact rupee impact.
What are typical hotel operating expenses in India?
Staff costs: 25–35% of revenue. OTA commissions: 10–15% of revenue. Utilities: 8–12%. Maintenance & supplies: 5–8%. These vary significantly by property type and location.