The hotel sector in the Azores had a stable summer, with occupancy rates marked by some slight declines, longer stays, and growing revenues. According to the Portuguese Hotel Association (AHP), which presented its summer results on Wednesday, the Algarve was the “star” region during the summer months (June, July, August, and September), standing out with an average occupancy rate of 88% and an average price (ARR) of €206, above the national average (81% and €161, respectively). In the Azores, the results point to a general decline in occupancy rates, falling to 88%, which was particularly noticeable in August, when the decline was 4%. In contrast, average stays showed an upward trend. A direct consequence of lower occupancy is the decrease in revenue, reflected in a drop in RevPAR (a measure of the ratio between the inventory of rooms being sold and the revenue being generated from those reservations), which, for example, fell to €123 in July and from €132 to €129 in September.

During the period under review, the average room price rose to €143. By month, June was positive across the country, with an average occupancy rate of 77%, up from 76% in the same month of 2024. Average stays tended to decrease in almost all regions, except for the north (2.0 to 2.2), the west and the Tagus Valley (1.8 to 2.1), the Alentejo (1.9 to 2.1), and the Azores (3.3 to 3.4). That month, the Azores had one of the highest increases in average price in the country (+17%, to €142). In July, the national rate grew by two percentage points to 80%, and although some regions, such as Greater Lisbon with 84%, the Setúbal Peninsula with 85%, the Algarve with 87%, the Azores with 87%, and Madeira with 91%, were above average. Moving on to August, in the Azores, the occupancy rate fell by 4% (from 94% to 90%). This was one of the few exceptions observed at the time, along with the Central region (which fell from 78% to 66%), meaning that the occupancy rate remained stable across the country at 85%, with the remaining decreases being “residual,” as was the case with the decline from 80% to 79% in the West and Tagus Valley region. The Algarve stands out, with a rate of 93%.

In September, the occupancy rate fell by two percentage points, from 84% to 82%. The regions that saw declines were the Center (55% occupancy), West and Tagus Valley (72%), Greater Lisbon (88%), Setúbal Peninsula (86%), and the Azores (85%). Only the North (from 77% to 79%), Alentejo (from 86% to 87%), and Madeira (from 91% to 92%) saw growth. The AHP’s summer balance sheet is the result of a survey conducted between September 25 and October 10 among 394 tourist developments.

Translated into English as a community outreach program by the Portuguese Beyond Borders Institute (PBBI) and the Modern and Classical Languages and Literatures Department (MCLL), in collaboration with Bruma Publication and ADMA (Azores-Diaspora Media Alliance) at California State University, Fresno. PBBI thanks Luso Financial for sponsoring NOVIDADES.