The four star Gresham hotel on Dublin’s O’Connell Street last year returned to pre-tax profit to record pre-tax profits of €1.57m.
The Gresham Hotel Company Ltd returned to profit after revenues increased by 38pc from €5.6m to €7.78m in the 12 months to the end of December last.
However, during the hotel’s second Covid-19 impacted year, revenues remained some way off the pre-pandemic revenues of €21.19m recorded in 2019.
The pre-tax profit of €1.57m last year followed pre-tax losses of €1.53m in 2020.
The firm only recorded the pre-tax profit in 2021 after receiving Covid-19 wage subsidy scheme payments of €2.7m last year which appear as ‘other operating income’ on the company’s profit and loss account.
The company received Covid-19 wage subsidy payments of €715,688 in 2020.
The firm did not pay out a dividend last year after paying dividends of €6.1m in 2020 to parent firm, Ryan Travel Holdings Ltd.
The pretax profit for 2021 takes account of non-cash depreciation costs of €1.56m.
At year end, that hotel firm’s shareholder funds totalled €48.5m that included accumulated profits of €39.13m. The directors state that they were satisfied “with the level of retained reserves at year end”.
A breakdown of the firm’s revenues show that room sales increased from €4.15m to €6.15, while bar and food sales increased from €1.33m. to €1.54m. Numbers employed increased from 188 to 205 as staff costs increased from €3m to €3.3m. The hotel was purchased by Spain’s RIU Group for €92m in 2016
On the company’s capital commitments, the accounts reveal that the the firm had committed to paying €2.8m for building works. The company’s cash funds increased from €1.26m to €2.3m.