Leisure Holdings dividend up 75%

A COMPANY connected to the Coolmore Stud farm operation paid out over €1.4 million in dividends to shareholders last year.

The payment by Leisure Holdings (Ireland) plc is up 75% on the previous year.

The business is owned by John Magnier, JP McManus, Mr Brosnan, Edward Irwin, Eamonn McElroy, Denis McCarthy and Owen McGartoll.

It receives income from stallion nominations owned by the Coolmore farm. However, its income has fallen because of the deaths of leading thoroughbreds Danehill and Grand Lodge.

In the year to end September 2005, turnover from stallion nominations fell to just under €500,000 from €742,052 in 2004. Pre-tax profits slipped from €690,540 to €472,141.

The company said it is satisfied with its state of affairs. While annual income is falling, due to the death and ageing of its prize stallions, the company remains in strong financial health.

Even after paying out the €1.4m dividend, the company still had shareholders’ funds of €7.6m.

The business has no financial assets, as the value of its stallions had been written down to nil in the past.

Leisure Holdings is now focussing on returning as much cash as possible to its shareholders. In the past three years, over €10m has been paid out in dividends.

The company suffered a major blow in 2003 when Danehill suffered a fatal accident. The horse regularly topped the list of stallions whose progeny went on to major success and his offspring included Rock of Gibraltar.