Gross Operating Revenue (GOR) refers to the total revenue generated by a business from its core operational activities before deducting any operating expenses. In a hotel, GOR is the sum of revenue from all operated departments, such as rooms, food and beverage, spa and other services, plus miscellaneous income like parking fees and upselling revenue from extras. It is the starting point for calculating gross operating profit (GOP), and base management fees are often set as a percentage of it. It's a critical metric for assessing the financial health and performance of the hotel's core operations, excluding non-operational or one-time revenue.
What is Gross Operating Revenue (GOR)?
Gross Operating Revenue (GOR) refers to the total income generated by a business from its primary operational activities before accounting for any operating expenses.
How is Gross Operating Revenue calculated?
Gross Operating Revenue is calculated by summing up all the revenue generated from the core operations of a business, including sales of goods or services, rental income, and other operating revenues.
