THOMAS READ Holdings, the group behind the Morrison and Kilternan hotels, reported a loss of €3 million in the year to May 31st, 2007.
Combined losses before taxation at the group grew by 60.9 per cent during the period, according to accounts filed with the Companies Registration Office, despite an increase in gross profits of 21.9 per cent to €8.3 million.
According to the accounts, the directors “recognise that the group is making losses but are confident that both turnover and profitability can be increased in the future”.
The principal activities of Thomas Read Holdings are the operation of hotels, including the Morrison in Dublin, and property development. Its subsidiary Bow International Limited has been contracted to complete the development of Kilternan Hotel and Country Club. The Thomas Read group of bars is no longer a part of the holding company, as this was sold by founder Hugh O’Regan in 2005 to a consortium involving Mark Leavey and Paddy Kelly. Mr O’Regan holds 92 per cent of Thomas Read Holdings, with Martin Conroy holding the remaining 8 per cent.
Gross profits were boosted by a rise in turnover of 16.8 per cent to €9.6 million and a decline in the cost of sales of almost 8 per cent to €1.3 million. However, soaring administrative expenses led the company into the red, as expenses increased by 36.6 per cent to €11.2 million.
The holding company’s freehold land and buildings were valued by CB Richard Ellis on May 31st, 2007, at €3 million
Employment remained steady at 136 people, but employment costs rose 11.4 per cent to €3.7 million. The directors did not recommend the payment of a dividend.
