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Monday 5 December 2016

Profits rise at Clontarf Castle to over €9m

Clontarf Castle
Clontarf Castle

Gerry Houlihan, who controls the well-known Clontarf Castle Hotel in Dublin, was among the beneficiaries of a €1.25m dividend paid by the company behind the property last year, as profits continued to surge on the back of an economic recovery.

That's €500,000 more than owners received as a dividend in 2013.

Mr Houlihan also founded the DID Electrical business and acquired Clontarf Castle more than 40 years ago.

Together with his family, he controls the popular hotel in the north of the city.

Among the other shareholders in the hotel is Enda O'Meara, the managing director of hotel operator Tifco.

Newly filed accounts for the four-star hotel show that it reported a gross profit of just over €9m in the 14 months to the end of last December.

That compares with a €7.2m gross profit in the previous 12-month period.

The latest accounts show that it made a €2.8m operating profit in the latest period, and €2.1m after tax.

"Room revenue has increased from the previous year, and this, combined with tight control over costs, has contributed to the positive financial results in the current year," the directors of the company note.

The accounts also show that the company behind the hotel has continued to cut its debt.

Its net debt at the end of October 2013 was €9.6m. But this had fallen to €8.9m by the end of last December.

The company had an €8m bank loan outstanding at the end of 2014, with the facility held with Bank of Ireland and Ulster Bank.

The facility was used to purchase the additions to fixed assets which relate to part of the property at Clontarf Castle.

Over €30m has been spent on the hotel since 1998.

Last year, the accounts show that an additional €350,000 in capital expenditure was notched up.

The hotel was valued in 2013 at about €16.2m, which was more than the €15.9m carrying value of the property on the books.

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