Owner of Muckross Park hotel records operating profit as revenues decrease to €71.14m

Gordon Deegan

Operating profits at the hotel group, which owns the Muckross Park Hotel & Spa in Killarney, last year declined marginally to €3.93 million.

Revenues at iNua Hospitality Plc – a holding company in the group that operates some eight of iNua’s 20 venues dotted across the Republic - last year recorded a 2pc drop in revenues from €72.79 million to €71.14 million.

The operating profits of €3.93 million follow operating profits of €3.96 million in 2023.

The hotel’s portfolio of eight four- and five-star hotels include the Radisson Blu Hotels & Spas in Limerick, Cork and Sligo and the Muckross Park Hotel & Spa, Killarney, Co Kerry.

The five-star Muckross hotel has 78 bedrooms and was purchased by iNua Hospitality in 2015 for a sum in excess of €6 million.

Founded by Paul Fitzgerald and Sean O’Driscoll through a management buyout of iNua in early 2020, the directors for iNua Hospitality plc state that the “performance for 2024 was broadly in line with expectations and marked another successful year for the business”.

They state that “although cost inflation continued to exert pressure, the group effectively mitigated its impact through strong procurement practices, efficient operations, and strategic use of operational leverage”.

They state that “we remain focused on adapting to inflationary challenges by exploring new and innovative ways to deliver our services, underpinned by our ongoing investment in technology and smart operations”.

The new accounts show that reported EBITDA (Earnings Before Interest Tax Depreciation and Amortisation) of €10.71 million for 2024, down 7 per cent on EBITDA of €11.43 million in 2023.

The directors state that this decline “primarily reflects higher input costs, a portion of which could not be passed on to customers”.

They state that “nevertheless, based on current trading trends, EBITDA for the financial year 2025 is expected to be broadly consistent with 2024”.

They state that “year-to-date management accounts continue to show strong EBITDA performance, supporting the directors’ decision to prepare the financial statements on a going concern basis”.

A note attached to the accounts states that "from January 1st 2025 the Group has performed very well, exceeding expectations for the year, and management accounts to May 2025 shows the Group maintaining very strong EBITDA levels”.

The accounts show that the group recorded a pre-tax loss of €2.69 million which takes account of interest payments of €6.62 million and non-cash depreciation costs of €5.18 million.

Numbers employed decreased from 1,293 to 1,132 last year as staff costs increased slightly from €28.63 million to €28.87 million. Directors’ remuneration last year reduced from €148,000 to €112,000.

The group recorded a post tax loss of €2.88 million after incurring a corporation tax charge of €190,423.

The amount owed in loans to creditors at the end of December 2024 totalled €70.75 million.

At the end of December 2024, the group had shareholder funds of €6.09m made up of accumulated losses of €40.78 million offset by share capital of €46.87 million.