Pre-tax profits at the firm that operates the five-star Lough Eske Castle Hotel near Donegal town declined by 25% to €738,081 in 2013.
The hotel is owned by Donegal man Pat Doherty’s Harcourt Developments which recently obtained unlimited status, meaning the property group is no longer required to file accounts.
However, the Irish Examiner reports that accounts filed by Lough Eske Developments Ltd with the Companies Office show that the hotel recorded the drop in profit after revenues fell from €6.87m to €6.75m in the 12 months to the end of December 2013.
The directors’ report says “2013 was another positive year for the hotel, turnover decreased slightly but the hotel has still been profitable”. The directors state that although conditions are still challenging in the hotel industry “the company is confident of seeing continuing improvement, with sufficient amount of business already secured”.
The profit in 2013 takes account of non-cash depreciation costs of €666,194. Numbers employed at the hotel reduced from 149 to 134 with staff costs reduced from €4.5m to €4.37m.
Accumulated losses last year reduced from €7.424m to €6.686m. The firm’s cash during the year increased from €164,223 to €307,680.