This study explores the factors influencing revenue per available room (RevPAR) in the Portuguese hospitality sector across seven regions from 2017 to 2023. Using random and fixed effects panel data econometric approaches, the analysis examines variables such as average daily rate (ADR), length of stay, seasonality, proportion of foreign guests, guests per 100 inhabitants, and the effects of the COVID-19 pandemic over seven years and for seven Portuguese regions. The findings show that ADR significantly positively affects RevPAR, indicating that higher room rates contribute to increased revenue. Seasonality and the proportion of foreign guests are also positively associated with RevPAR, while the pandemic exerts a negative impact. The research underscores the complex dynamics between ADR and RevPAR, which are influenced by internal factors like pricing and external conditions such as regional economic contexts and the pandemic. Future research should explore additional variables and larger datasets to strengthen the findings.