Dalata revenue soars to €130m as firm secures freehold interest in Cork hotel
Published 06/09/2016 | 08:16
Ireland's largest operator Dalata has seen revenue soar by 33pc in the first half of the year to €130.1m.
The company, which has recently entered exclusive discussion to acquire the operating interest at the former Burlington Hotel, also announced it had purchased the freehold interest of the Maldron Hotel in Cork for €8.1m.
Elsewhere earnings at the company rose by 50pc to €34.3m during the period excluding the likes of acquisitions costs and revaluation gains and losses.
The firm benefited from a net upward property revaluation of €41.5m and started the construction of four new hotesl in Dublin, Belfast, and Cork.
Occupancy rates during the six months to the end of June improved to 79pc while the revenue per available room (RevPAR) increased to €74.90.
Dalata also outlined the potential threats from Brexit including a weak sterling potentially deterring UK visitors.
Chief executive Pat McCann said it had been a very busy start to the year for the firm.
"Trade has been ahead of our expectations with the Irish hotel market performing exceptionally well in the period. We have continued our acquisition and development programme as well as further developing the Clayton and Maldron brands in the UK and Ireland.
"The continued recovery of the Irish economy has allowed us to benefit strongly from the growth in RevPAR in Dublin and the other large cities in Regional Ireland," Mr McCann said.