Noonan Group reports €16.3m pre-tax losses

PRE-TAX losses at Dublin-based construction group, the Noonan Group, last year totalled €16.3 million following an impairment charge of €10.7m.

According to accounts recently filed with the Companies Office, they show that Noonan Group Holdings Ltd’s losses increased sharply from €97,078 in 2009 to €16.3m in the 12 months to the end of September 30 last year.

The directors’ report confirms that in October of last year the group’s loans were transferred to the National Assets Management Agency (NAMA). The Dun Laoghaire based-group recorded the losses after its revenues plunged from €10.6m to €2.7m. It has bank loans totalling €40.7m.

The returns confirm that a subsidiary of Noonan Group Holdings Ltd, Worldview Investment Ltd owns 34.9% of the share capital of Griffin Group Hotels Ltd.

The Griffin Hotel Group, which operates Hotel Kilkenny and Monart House Hotel, is led by former All-Ireland winning hurling manager, Liam Griffin.

According to the directors’ report for Noonan Group Holdings Ltd, the group’s house building subsidiaries completed 15 sales in Ireland with turnover of €2.75m, generated an operating loss of €7.8m They state: “The comparative figures for the previous year were 45 sales in Ireland with turnover of €10.6m generating an operating profit of €1.3m.”

They add: “The result has been materially impacted by an impairment charge of €10.7m reflecting the fall in value of land and a significant diminution in market value of our investment in each Polish subsidiary reflecting the fall in value of their land.

“During the year, we achieved low sales volumes in a difficult selling market. Although sale prices fell throughout the period, we have introduced further discounts since the year end. There are some signs that the exceptional value now on offer is attracting interest.

In October 2010, the group successfully renewed its bank loan facilities for a two year period.

The directors state that given those factors, the directors are confident that the company — and the group — have adequate resources to continue in operational existence for the foreseeable future.

The losses last year resulted in accumulated profits of €14.9m at the end of last year.