The four-star Gresham Hotel on O’Connell Street in Dublin recorded a pre-tax profit of 1.57 million euros last year.

The Gresham Hotel Company Ltd returned to profit after revenue rose 38% from €5.6m to €7.78m in the 12 months to the end of December last year.

However, in the hotel’s second year affected by Covid-19, revenue fell far short of the pre-pandemic revenue of 21.19 million euros recorded in 2019.

Pre-tax profit of 1.57 million euros last year followed pre-tax losses of 1.53 million euros in 2020.

The company only recorded pre-tax profit in 2021 after last year receiving payments from the Covid-19 wage subsidy scheme of 2.7 million euros which appear as “other operating income”. in the company’s income statement.

The company received Covid-19 wage subsidies of €715,688 in 2020.

The company did not pay a dividend last year after paying dividends of 6.1 million euros in 2020 to parent company Ryan Travel Holdings Ltd.

Non-cash amortization

Pre-tax profit for 2021 takes into account non-cash amortization charges of €1.56 million.

At the end of the financial year, the shareholders’ equity of this hotel company amounted to 48.5 million euros, including 39.13 million euros in cumulative profit.

The directors say they are satisfied “with the level of reserves retained at the end of the year”.

A breakdown of the company’s revenue shows room sales fell from €4.15m to €6.15m, while bar and restaurant sales fell from €1.33m. euros to 1.54 million euros.

The number of employees has increased from 188 to 205 while personnel costs have increased from 3 million euros to 3.3 million euros.

The hotel was bought by the Spanish group RIU for 92 million euros in 2016

Regarding the company’s capital commitments, the accounts reveal that the Gresham Hotel Company Ltd had undertaken to pay 2.8 million euros for construction work.

The net book value of the company’s fixed assets amounted last year to 51.1 million euros and included 2.23 million euros under the heading fixed assets under construction.

The company’s cash flow increased from €1.26 million to €2.3 million in 2021.