Working paperThis study examines the financial analysis of the hotel sector in Greece and specifically the evaluation of Viability and Efficiency of hotels belonging to all categories, which are compelled to keep tax books of C’ category.
The Viability and Efficiency of the hotels in Greece are estimated for the financial years 2005, 2006 and 2007. The study is grounded entirely on primary data collected from the financial statements of hotel enterprises, of 2, 3, 4 and 5 stars, from the entire territory of the country. The sample selected is 146 hotel enterprises allowing the procession of 438 financial statements in total, since the research included statements from three consecutive economic years.
The relation of the indices’ means for the four categories of hotels was investigated, in order to reveal whether probable differences in the results attributed to the categorization of the hotels. Besides, an examination was realized between the Means of the indices within the same categories of hotels. The statistical method of fluctuation analysis that was applied for the control in the Means’ differences is the “one way analysis of variance”, abbreviated “one way anova”.
The research reveals useful conclusions concerning the Viability and the Profitability of the Greek hotels by category in stars. The results indicated that between the Means of almost all financial indices which were examined, excluding those of Gross Profit Margin and Net Profit Margin, there is statistically a significant difference.
Additionally, a large percentage of lending capital by 5* hotels is resulted in relation to the rest of the categories for all the years under investigation, while short-term liabilities decrease as the hotel category gets higher. 5* hotels show larger Net profits than the hotels of the other categories, while 4* hotels show a higher Operational cost than hotels of 2 and 3*. With the exception of 5* hotels, the Financia
