Sunday 23 October 2016

Profits dip at Clontarf Castle but owners split €1m dividend

Published 01/10/2016 | 02:30

Clontarf Castle Hotel
Clontarf Castle Hotel

The owners of the landmark Clontarf Castle hotel in Dublin split a €1m dividend last year, despite profits dipping to €2.6m from €2.8m a year earlier.

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The hotel is controlled by Gerry Houlihan and his family. He's the founder of the DID Electrical chain.

Shareholders in the business also include Enda O'Meara. He's the managing director of Irish hotel group Tifco, which also operates Clontarf Castle.

The decline in profits came despite what the directors said was a 28pc surge in turnover during the year. Newly-filed accounts for the business don't reveal the actual turnover figure, however.

The directors note that they have budgeted for a 6.5pc increase in turnover this year, and that by keeping tight control on costs, they hope to achieve similar profit levels to those in 2015.

The dividend paid to shareholders in respect of 2015 was lower than the €1.25m that was paid the previous year.

Mr Houlihan and his wife have owned Clontarf Castle for over 40 years. About €10m was spent refurbishing the property a number of years ago.

Separately, newly-filed accounts for Tifco show that underlying profits at the hotel group, which is backed by Goldman Sachs, were relatively flat last year at €5.7m, even as its occupancy levels and average room rates rose.

Its revenue per available room rose 20.4pc.

Tifco lost the race to buy Dublin's iconic Gresham Hotel this year, which was sold to Spain's Riu group for €92m.

Earlier this year, Tifco agreed to buy the Parliament Hotel in Dublin.

Last year, it bought the Kilmainham Hilton in the capital. It was also appointed to manage the Metropole hotel in Cork this year.

Irish Independent

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