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Dalata Hotel On Track To Achieve Annual Targets As Interim Earnings Up

LONDON (Alliance News) - Dalata Hotel Group PLC on Tuesday said its earnings improved in the ...

Alliance News 4 September, 2018 | 11:14AM
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LONDON (Alliance News) - Dalata Hotel Group PLC on Tuesday said its earnings improved in the first half of 2018 helped by an increase in the number of rooms and occupancy levels.

The Irish hotel operator said pretax profit grew 8.3% to EUR35.4 million in the six months to the end of June from EUR32.7 million reported for the same period a year earlier, as revenue climbed by 11% to EUR180.6 million from EUR163.3 million.

The average room rate rose 4.6% year-on-year to EUR108.88 from EUR104.12 and occupancy grew to 82.1% from 80.2%, pushing revenue per available room up 7.1% to EUR89.39 from EUR83.50.

Dalata said it opened 570 new rooms to-date in Dublin, Belfast and Galway, creating over 230 new jobs.

The total number of rooms operated by the company increased from 7,674 as at the end of 2017 to over 8,080 at period end, as a result of the opening of Maldron Hotel Belfast City and the completion of two large extensions at existing hotels in Ireland.

Meanwhile, a decline in sterling decreased revenue from the UK portfolio by EUR600,000, the company said. However, it was more than offset by EUR10.1 million gain following the disposal of the leasehold interest in the Croydon Park hotel and a reduction in the number of management contracts.

The company declared an interim dividend of 3.0 cent per share.

"2018 has been very positive to-date for Dalata through a combination of strong earnings growth and the opening of a significant number of new hotel rooms," said Chief Executive Pat McCann.

"We are on track to meet our target of announcing an additional 1,200 rooms to our pipeline," added McCann.

Dalata shares were trading 1.7% lower on Tuesday at 622.58 pence each.

By Evelina Grecenko; evelinagrecenko@alliancenews.com

Copyright 2018 Alliance News Limited. All Rights Reserved.

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Securities Mentioned in Article

Security Name Price Change (%) Morningstar
Rating
Dalata Hotel Group PLC 473.75 GBX 0.00 -
Dalata Hotel Group PLC 5.59 EUR 0.90 -

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