Lyrath Estate Hotel shrugs off pre-tax loss of €278,278

The company that operates the €40 million Lyrath Hotel in Co Kilkenny recorded a pre-tax loss of €278,278 in 2010.

According to an auditor’s report filed with the Companies Office the Lyrath Estate Hotel recorded a cash profit of €31,373 in the 12 months to the end of December 2010.

The auditor’s report states that the company incurred a pre-tax loss of €278,278 but after taking a non-cash depreciation charge of €309,651 into account, the company made a cash profit of €31,373.

Xavier McAuliffe the Co Kerry self-made multi-millionaire and owner of the Spectra Group, opened the 137-bed resort and spa hotel in June 2006.

The lead-up to the hotel’s opening was the subject of a reality TV programme on RTÉ and Mr McAuliffe criticised the then taoiseach, Bertie Ahern, when Mr Ahern pulled out of opening the hotel over a planning issue at the site.

Lyrath Estate Hotel is an unlimited company and is not required to lodge detailed accounts with the Companies Office.

General manager of the Lyrath, Patrick Joyce, said yesterday that the cash profit recorded in 2010 is a good result given the market. “We view it very positively.”

Mr Joyce said the hotel is anticipating a similar result in terms of profit in 2011 where he said that revenues increased by 7%.

Mr Joyce said that the hotel has to generate €670,000 a month to meet its costs, which include an annual rates bill of €250,000.

He declined to state what the hotel’s revenues were in 2010 or 2011.

Mr Joyce said that the hotel staged 80 weddings last year, which represented a 9% increase on 2010.

He said: “The corporate business also showed a steady rate of increase in 2011.”

Mr Joyce said that 2010 and 2011 “have not been a sparkling performance, but they have been good steady years”.

He added that the first nine months of 2012 will on the same level as last year.

Mr Joyce attributed part of the hotel’s success in the past two years “to the great bunch of people working here. They have remained focused on the business and risen to the challenges.” He added that the hotel employs between 170 and 180 people.

The general manager said that the M9 motorway close to the hotel has been good for business and facilitated British business via the improved access route.

Mr Joyce expressed concerns that energy costs “appear to be on an upward trend and they put businesses under a lot of pressure”.

Mr Joyce said that Mr McAuliffe “is pleased with how the hotel has performed. He is a very visible owner and supports the team hugely”, he said.