The biggest hotel groups keep posting record profits, but the franchisees who actually own the buildings are getting pinched by rising rates, inflation, and vanishing foreign tourists, according to a Skift investigation. The twist: brands collect 5-6% royalty fees on gross room revenue regardless of profit.

Meanwhile, in another story, the CEO of Hilton gave the hotel industry's most bullish forecast for 2026. Chris Nassetta argued that a rebound in the U.S. midmarket demand would more than offset the headwinds from the Iran war and softer-than-expected World Cup bookings.

Read both stories, below.

MEWS + SKIFT

Learn how shifting from a room-based model to a customer-centric approach can expand audiences, increase profitability, and better leverage hotel spaces.

In this clip from Good Morning Hospitality: Hotels Edition, Sarah Dandashy and Steve Turk break down how Minor Hotels is building its own AI system from scratch to personalize the guest experience.

Instead of patching together different tools, the company is creating a unified system across its 600+ hotels to better understand guest preferences and deliver more tailored stays.

The leaders reshaping Asia's hotel industry - Minor Hotels, Hilton, Accor, Marriott, Mandarin Oriental - are all on stage at Skift Asia Forum in Bangkok, April 29. Register now.

How are public accommodations companies performing around the world? The Skift Travel 200 pulls the data you need to know to understand the market. Paid subscribers get full access here.