Profits at one of Ireland’s biggest hotel groups rose nearly five-fold last year as the tourism and hospitality industry enjoyed a strong rebound.
Dalata, the owners of the Clayton and Maldron hotel chains, reported a pre-tax profit of €28.5 million, compared with €6.1 million in 2014. It said that group revenues were €225.7 million, an increase of 185 per cent.
Pat McCann, the chief executive, described the past year as “remarkable”. “The results for 2015 highlight the momentous change that the group has undergone as a result of the acquisition of 15 hotels. We now have a strong operating platform and management capacity from which we will continue to grow and create value for our stakeholders,” he said.
Dalata invested €558.8 million in hotel acquisitions in Ireland and Britain last year. It spent €452.3 million on nine Moran Bewley hotels and €106.5 million on a further six hotels in Ireland and Northern Ireland. It invested €24.9 million in development and refurbishment projects and now has 5,484 hotel rooms available.
Mr McCann said that the new hotels had performed above expectations and that there was a “significant opportunity” for further improvement.
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Dalata raised €202.2 million in equity and €282 million in debt last year to fund further acquisitions.
Demand for hotel rooms has increased over the past three years after big downturn during the economic crisis. There is now a shortgage of hotel rooms in Dublin, according to the Irish Hotels Federation.