Dublin's Gresham Hotel Experienced 73.5% Decrease In Revenues Last Year
New accounts have revealed that Dublin's Gresham Hotel experienced a 73.5% decrease in revenues last year.
As reported by The Irish Times, The Gresham's revenues decreased to €5.6 million last year from €21.19 million in 2019.
The new accounts reportedly also reveal that Gresham Hotel Company Ltd experienced a €1.53 million pre-tax loss in 2020, which followed a €6 million pre-tax profit the previous year.
The pre-tax loss figure for 2020 takes account of €1.64 million in non-cash depreciation costs.
The company's pre-tax loss last year reportedly would have been larger if it had not received €715,688 in government grants. While a breakdown of the grants is not provided, separate figures from the Revenue Commissioners reveal that the company has availed of the government's wage subsidy scheme.
The Gresham was closed for the majority of last due to the COVID-19 pandemic.
Additionally, the company reportedly paid a €6.1 million dividend to its parent firm, Ryan Travel Holdings Ltd, last year; its shareholder funds decreased from €54.79 million to €47.25 million, including accumulated profits of €37.8 million; its room revenues decreased from €16.8 million to €4.15 million; its bar and food sales decreased from €3.79 million to €1.33 million; the number of people employed by the company decreased from 277 to 188; its staff costs decreased from €6.4 million to €3.05 million; and its cash funds decreased from €8.08 million to €1.26 million.
The Gresham was acquired by Spanish hotel group RIU for €92 million in 2016 and RIU was subsequently granted planning permission to add 48 rooms to the venue in 2019. The new accounts reportedly reveal that the Gresham Hotel Company Ltd had committed to paying €4.4 million for building works.
The Irish Times quotes the company's directors as saying that they were satisfied "with the level of retained reserves at year end".
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