Druids Glen has best year since 2001

The five-star golf resort Druids Glen had its most profitable year last year since 2001 to record profits in excess of €1m.

That is according to the chief executive of the 400-acre Druids Glen Resort in Co Wicklow, Richard Collins, who said revenues last year “were circa €11m” and he is anticipating similar revenues for 2013.

Mr Collins said: “We have had two years of sustained growth at Druids Glen in 2011 and 2012. We are very optimistic for the future.”

He said: “We have a very low debt level; we are financing our own debt and have a great relationship with our banks.”

Mr Collins was commenting on new abridged accounts lodged by Obalus Hotel Company Ltd t/a Druids Glen Resort that show that accumulated losses at the company increased from €7.4m to €7.642m in the 12 months to the end of Dec 2011.

Mr Collins said that sales at the hotel grew by 25% in 2011 and 9% in golf, with administrative costs decreasing by 17.5%.

“The only reason there is an operating loss figure showing is because of rent which is the bank interest payable on the facility and also depreciation,” he said.

Mr Collins said the resort grew its earnings before interest, tax depreciation and amortisation (EBITDA) by €2.8m in 2011.

He said: “We returned an EBITDA figure in 2011 that more than covered all interest payments and indeed facilitated capital refurbishment.”

Mr Collins said that growth continued in 2012, with hotel sales increasing by 15% and golf by 6%.

He said six years ago, Druids Glen staged 25 weddings and has 93 weddings booked for the property in 2013.

The resort employs 200 people and is owned by Irish families, the Lappins, the Hurleys and the Flinns.

Projecting profits for 2013, Mr Collins said: “I believe that this will be achieved by having made the right decisions at the right time, repositioning our property properly, re-structuring our operation properly and never failing to deliver on our service promises to our customer.”

Mr Collins said that staff costs at Druids Glen total €4m, with €1.5m spent in local economy every year.

He said: “I don’t believe resorts get the recognition they deserve for the contribution they make to local economies and sometimes feel that if an American multinational came in with a promise of 200 jobs, they would get more support over the indigenous company already providing similar employment in the area.”