Moran hotel group – which was restructured last year – posted an operating profit of €24.1 million on turnover of €88 million for the 11 months to December 31st, 2013, according to accounts just filed.
When exceptional items, depreciation and amortisations costs and interest charges were taken into account, T&S Taverns Ltd closed the year with an after-tax profit of €373.5 million.
However, this was flattered by a €367.7 million exceptional gain relating to an adjustment in the valuation of its loans following a financial restructuring by the company last December.
This restructuring resulted in the group receiving a capital injection of €125 million and its net debt being cut by €490 million to €205 million.
Moran family
The hotel chain is run by Limerick-born businessman Tom Moran and his family and comprises 10 hotels in Ireland and the UK under the Moran and Bewley's brands, including the well-known Red Cow complex in Dublin. The group operates 2,627 bedrooms in its three- and four-star hotels.
The shorter period for 2013 reflects the company’s switch to reporting accounts on a calendar year basis as opposed to a January 31st year end.
In the previous reporting period, T&S Taverns made an operating profit of €25.9 million on turnover of €89.6 million for the 12 months to the end of January 2013. It recorded an after-tax loss of €8.3 million that year after interest charges and other costs.
Group finance director Pat Power said the strong trading performance last year has continued into this year.
Revenue up
He said revenues for the first three months were up 18 per cent on the same quarter of 2013 and the company was trading about 7 per cent ahead of targets set in a business plan with lenders last year.
Mr Power said the group had achieved an increase in occupancy levels, average room rate and earnings in both Ireland and the UK this year.
The latest accounts show occupancy levels across the group increased by 5 per cent in 2013 and that each of its 11 properties (10 hotels and one pub) traded profitably.
The company is also investing in a refurbishment of some properties. It has planning permission for an 81-bedroom extension to its hotel in Chiswick, England, costing about €14 million.
It is also spending more than €4 million revamping its Bewley’s properties in Ballsbridge, Leopardstown and near Dublin Airport.
