Ireland’s largest hotel group, Dalata, has warned its outlook for the remainder of the year remains “uncertain” due to current restrictions on travel and movement.
The group operates almost 9,000 owned and leased rooms across about 30 hotels in Ireland and the UK. It owns the Clayton and Maldron brands.
The sudden onset of Covid-19 has had “a very significant impact” on its business, according to a trading update from the group ahead of its AGM today.
As it is not known when the current restrictions on travel and movement will be lifted in Ireland and the UK, Dalata said its outlook for 2020 “remains uncertain.”
In the first three months of this year revenue per available room at the group decreased by 24.3pc on a like-for-like basis at its Dublin hotels and 14pc at its regional Ireland hotels.
In the UK revenue per available room fell by 18.6pc.
Adjusted earnings for the three month period came to €17.7m
Dalata said the figures include two months of normal trading before the effects of the global pandemic were first felt in its business.
“Our results for subsequent periods will reflect the fact that currently our hotels are either temporarily closed or operating at significantly reduced capacities in line with guidelines issued by the Irish and UK Governments,” it said.
Despite the fall off in trade, Dalata said it has “significant financial headroom” and will be in compliance with covenants in June.