Hotels in Lanzarote are the most profitable in the Canary Islands, recording a 10.2 percent surge in profitability per available room during 2025. This growth brought the island’s average room profitability to 127.8 euros.
This performance not only leads the Canaries but also surpasses that of major urban destinations across Spain. With the sole exceptions of Barcelona and San Sebastian, Lanzarote’s hotel profitability exceeds all city markets, including the capital. Hotels in Madrid achieved a 9.1 percent increase to 127.2 euros per room.
The island’s success is part of a broader national trend which saw coastal holiday destinations close 2025 with a 3.9 percent higher profitability margin than urban destinations, according to the latest Tourism Outlook report from Exceltur.
Among Spanish beach destinations, Lanzarote now ranks as the sixth most profitable. It sits behind Ibiza-Formentera (170.3 euros), the Barcelona coast (146.5 euros), Menorca (135.6 euros), Gipuzkoa (129.6 euros), and Gran Canaria, where profitability grew 7.8 percent to 128.9 euros.
Within the islands, Menorca was the only destination to record stronger growth, with a 13 percent rise to 135.6 euros. Elsewhere in the Canaries, hotels in Tenerife increased profitability by 3.8 percent to 124 euros per room, while those in Fuerteventura saw a 2.9 percent rise to 96.9 euros.
The report also highlighted notable increases in emerging northern destinations, albeit from a lower price base. The Costa de Bizkaia (up 21.2 percent) and Gipuzkoa (up 9.6 percent) in the Basque Country, along with the Rías Altas in Galicia (up 14.5 percent), all recorded significant growth in 2025.
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