The Conrad Hotel in Dublin experienced a revenue surge of 14.5%, growing from €18.68 million to €21.39 million in 2023. This significant rise was partly due to the visit of US President Joe Biden and his team in April of that year. But, despite this increase in revenue, the annual figures up to September’s end revealed a decline in pretax profits by 18% to €2.42 million. The hotel’s parent company, Earlsfort Centre Hotel Proprietors (ECHP) Ltd, attributed this dip to rising wage and supplier costs caused by high inflation.
The directors’ note in the company’s accounts records highlighted a continued growth throughout 2022, with both the average rate and occupancy increasing due to enhancements in the Dublin market. For 2024, their forecast is of modest room rate growth, following a robust year in 2023, and a slight occupancy increase throughout the year.
The impact of Covid-19 has significantly lessened compared with the previous year, leaving the company in a stronger place, as per the directors’ note. In 2019, Archer Hotel Capital, a Dutch hotel investor, acquired the hotel for approximately €118 million. The hotel reported an operating profit of €3.03 million for the last year. However, interest payments totalling €616,966 resulted in pretax profits of only €2.42 million.
After settling a corporation tax bill of €578,554, the company documented post-tax profits of €1.84 million. Under a long-term management deal, Hilton Hotels (Ireland) Ltd operates the hotel under the Conrad brand. The staff count rose slightly from 175 to 179 in 2023, increasing staff costs from €6.04 million to €7.18 million. Further, a decrease in temporary business energy support scheme credits, from €528,591 in 2022 to €65,350 in 2023, together with non-cash depreciation costs of €2.03 million affected the company’s profits.
Finally, by the end of September 2023, the company held shareholder funds of €10.96m and cash reserves amounted to €12.6 million.
The directors identify “the decline in global travel due to environmental worries impacting corporate and recreational voyages” as among the key risks and uncertainties the firm is confronted with.