Melia Hotels said it is preparing for a notably stronger summer in its home market as demand shifts away from areas affected by recent conflict in the Middle East. Speaking at the annual shareholders meeting, CEO Gabriel Escarrer said bookings for the summer season at the companys luxury resorts and urban hotels in Spain were growing in double digits.
Management expects high single-digit growth in revenue per room during the second quarter, which the company identified as the start of the peak summer season following Easter week. That trend, Escarrer said, has stemmed from travelers changing destinations rather than cancelling trips entirely.
"Spain and the Caribbean are far away enough from conflict zones and close enough to key source markets to offer a sort of safe-haven destination this coming summer," Escarrer told shareholders, framing those markets as beneficiaries of redirected tourism flows.
At the same meeting, Melia outlined its financial outlook for the year. The company said it expects to achieve earnings before interest, tax, depreciation and amortisation of at least 565 million euros ($665 million) this year, up from 545 million euros in 2025. The forecast is stated to be conditional on stable demand across its main markets, which the company listed as Spain and parts of Latin America and Europe.
Escarrer also offered a cautionary note on the broader economic environment. He described the short-term impact of the war that began with U.S.-Israeli airstrikes on Iran at the end of February as a mirage, and said the uncertainty surrounding international trade was higher than he had previously experienced. Those comments underscore the managements view that near-term patterns may not indicate longer-term trends.
Industry executives and travel data referenced by the company point to a surge in bookings to Mediterranean countries that are geographically removed from the instability in the Middle East. Melia attributed part of the expected outperformance in Spain to this reallocation of travel demand.
While the company projects growth driven by redirected tourism and robust summer bookings, its guidance assumes continued stability in demand across key regions, and management flagged elevated trade uncertainty as a concern.