Ashford Castle Records €4M Loss After Restoration
Five-star resort Ashford Castle recorded a €4 million loss in 2014, after the hotel was closed for three months for restorations.
Owners of the hotel, Red Carnation, said the €1 million in wages the hotel paid out to its staff while the hotel was closed was a major reason for the loss.
Speaking about paying the staff during the upgrade, Red Carnation managing director Jonathan Raggett said: “These people have got livelihoods and families. Clearly, paying the salaries was damaging to any profits or losses we were going to make but it was the right thing to do,” he said.
Acording to the Irish Examiner, staff costs rose last year from €2.4 million to €5.4 million. Revenues increased by 40 per cent to €9 million.
The luxury resort in Cong, Co. Mayo is eyeing a return to profit in 2016 now that the €50 million upgrade is complete and occupancy rates have been strong in 2015.
Raggett added: “This year for the business was better than last year and the following year will be even better. We are really in a good place and excited about the business."