FBD Hotels earnings boosted after sale
The hotel business that FBD Insurance was forced to sell out of last year is targeting annual profits of €50m by 2020.
FBD Hotels & Resorts has reported €9.2m of earnings before interest, taxes, depreciation and amortisation (ebitda) this morning, beating forecasts and up 48pc compared with the same period in 2014.
The company has also appointed two non-executive directors to its board.
FBD Hotels & Resorts is the hotel and property group owned by Farmer Business Developments, which is also the biggest shareholder in stock market -listed FBD Insurance.
Since last year, the hotel business has been entirely owned by Farmers Business Developments, after FBD Insurance was forced to sell its share in the business for €48.5m last year as part of a major effort to bolster its capital levels.
FBD Hotels is spending €40m developing its La Cala resort near Malaga in Spain, and also owns the Castleknock Hotel and Golf Club in Dublin, and the Faithlegg House and Tower Hotels in Waterford, along with the Sunset Beach Club in Spain. The business employs 700 staff.
The company held its annual shareholder meeting last Friday, though with a single significant shareholder that closed meeting is close to a formality.
At the agm, FBD Hotels & Resorts appointed Ian Graham and Peter Nugent as non-executive directors to its company board.
Mr Graham, a chartered accountant, is an independent advisor to the international hotel industry, and previously worked with Bass Hotels & Resorts and ITT Sheraton. Mr Graham was also formerly a director in the travel, tourism and leisure practice at Deloitte.