The four-star Hotel Gresham on Dublin’s O’Connell Street returned to pre-tax profit last year, posting a pre-tax profit of €1.57 million.
he Gresham Hotel Company Ltd returned to profitability after revenue rose 38% from €5.6m to €7.78m in the 12 months to the end of December last year.
However, during the hotel’s second year affected by Covid-19, revenue fell far short of the €21.19 million pre-pandemic revenue recorded in 2019.
The pre-tax profit of EUR 1.57 million last year was followed by pre-tax losses of EUR 1.53 million in 2020.
The company reported pre-tax profit in 2021 only after receiving €2.7 million in payments from the Covid-19 wage subsidy scheme last year, which are reported as “other operating income” in the company’s income statement company appear.
The company received €715,688 in Covid-19 wage subsidy payments in 2020.
The company didn’t pay a dividend last year after paying €6.1 million in dividends to parent company Ryan Travel Holdings Ltd in 2020. had paid.
Earnings before taxes for 2021 include non-cash depreciation and amortization costs of €1.56 million.
At the end of the year, the shareholder funds of this hotel company totaled 48.5 million euros, including cumulative profits of 39.13 million euros. Directors state that they were “satisfied with the level of retained reserves at year-end.”
A breakdown of the company’s earnings shows that room sales increased from €4.15 million to €6.15, while bar and grocery sales increased from €1.33 million. to €1.54 million. The number of employees increased from 188 to 205, while personnel costs increased from €3 million to €3.3 million. The hotel was bought by the Spanish RIU Group in 2016 for 92 million euros
Regarding the company’s capital commitments, the balance sheet shows that the company had committed to pay €2.8m for construction works. The company’s liquid funds increased from €1.26 million to €2.3 million.
https://www.independent.ie/business/irish/gresham-hotel-returns-to-profit-as-revenues-surge-to-778m-41813552.html Gresham Hotel returns to profitability as revenue climbs to €7.78m