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The general manager of the five-star Dromoland Castle in Co Clare has said that the hotel lost 50,000 euros in bookings in the 48 hours after the government announced last Friday that restrictions on travel between counties would continue until December 18. .
Speaking on Monday, Nolan said: “We have had a huge loss of 50,000 euros of bookings in the last 48 hours of December.”
Mr. Nolan said the hotel was planning to open on December 2 “and will have a reasonable level of business for Christmas,” but that it will now only open on weekends through December 18.
“Until December 18, we hope that the people of Clare will stay with us, but it is difficult,” he said.
The complex is going through its second Covid-19 shutdown of 2020, and Nolan said revenue would drop “a lot” this year in 2019.
“I’ve been in this business for a long time and I hope never to have a year like this from everyone’s point of view. It is in moments like this that you realize what a fabulous team you have ”.
Roughly 60 percent of Dromoland’s business during a typical year comes from the US, and Nolan said the hotel achieved 40 percent occupancy during August as a result of the holidays.
“We got a pretty high room rate, around € 400 per room per night during August. It’s good to see that there is that ability in the Irish market to pay that for good quality accommodation. “
Operating profit
Nolan was commenting on the new accounts showing that Dromoland Castle Holdings Ltd and its subsidiaries last year posted an operating profit of € 498,269, after non-cash depreciation costs of € 2.18 million. Revenue increased 2 percent to 23 million euros.
Last year the business registered 11.7 million euros for rooms, 8.9 million euros for food and beverages; 2.1 million euros from golf, leisure and spa, and 227,942 euros from other activities. Personnel expenses for the year amounted to 9.6 million euros, as the number of employees amounted to 395 and the hotel paid dividends last year of 247,785 euros.
The accounts include the performance of the nearby Inn at Dromoland hotel, and the group posted a pre-tax profit of € 7,558 after interest payments of € 490,711.
Mr Nolan stated that the return came after a four-year € 20 million investment program that made the ‘product much stronger, and we can produce higher room rates and that was the key to the year past”.
Mr. Nolan revealed that the hotel was projecting growth that would return in the second half of next year, and will present its plans to the board on Friday with “about 14 caveats.”
“Nobody has a crystal ball here. We are realistic. We will try to do our best and be as creative as possible to move forward. We are reasonably optimistic and believe that we have overcome the worst. We will get through this, there are better days ahead. “
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