The Square operator slips into the red
The company that runs The Square shopping centre in Tallaght slipped into the red last year to record pre-tax losses of €939,834.
New accounts filed by The Square Management Ltd show that the pre-tax loss in the 12 months to the end of September followed pre-tax profits of €3.7m in 2013.
However, the 2013 profit arose from solicitor and property developer Noel Smyth waiving €4.56m in fees that were owed to him.
Last year, the firm's revenues declined by 15pc from €7.5m to €6.39m.
The firm's operating losses increased more than four-fold to €158,628 and interest charges of €781,206 added to the firm's losses to result in a pre-tax loss of €939,834.
During the year, the firm's bank debt reduced from €17.9m to €15.5m. The firm's net liabilities at the end of September last stood at €14.99m. The firm's cash pile during the year declined from €4.2m to €1.72m.
The firm's service charge revenue decreased by 15pc to €5.58m while car park turnover fell by 14pc to €810,840.
The company owns the freehold to The Square and is responsible for its maintenance and other services to tenants, and the operation of its car park.
Nama has acquired the firm's loans and the company continues to receive financial support from Nama.
The note states: "This financial support is in the form of the periodic release of funds to enable the company to discharge its overheads."
The directors state they believe that Nama will continue to support the operations of the company for the foreseeable future.
The note adds: "Accordingly, the directors consider it appropriate to prepare the financial statements on a going concern basis. However, if Nama were to discontinue its provision of funds to the firm, the company may be unable to continue realising its assets and discharging its liabilities in the normal course of business."