Sean Lally was yesterday commenting on new figures that show that pre-tax profits at Limerick Strand Hotel Ltd more than doubled in 2011 from €27,718 to €78,240. Mr Lally said: “In 2012, the hotel managed to grow its sales year-on-year in a tough trading environment.”
He said the hotel also had increased profits last year. “We approach 2013 with cautious optimism. There are a number of drivers locally which are very positive, such as an independent Shannon Airport; the combination of Limerick City Council and Limerick County Council with a renewed focus on tourism and festivals in Limerick which will benefit the hotel and the increased number of festivals and events in Limerick.”
The hotel, overlooking the River Shannon is a 10 minute walk from Thomond Park and benefits from the 10 or so Munster fixtures at Thomond Park each year. Mr Lally said Munster rugby and Thomond Park “is very important for the hotel”.
This year Bruce Springsteen plays the venue in July. Mr Lally said the hotel has taken on additional 10 staff to deal with the increased business.
Accounts recently filed to the Companies Office disclose that the 184 bedroom hotel, which opened in 2007 under the Hilton brand (that association ended in 2008) increased revenues by 9% from €7.7m €8.4m in 2011.
The hotel is owned by Galway man, John Lally (no relation to Sean Lally). In 2011 it recorded an operating profit of €131,648 and interest payments of €53,408 reduced the profits to €78,240.
According to the directors’ report “the state of the affairs of the company at the balance sheet date is satisfactory”. The report continued: “While the Limerick hotel market remains weak, the Strand Hotel traded well in 2011 and revenues have continued to grow in 2012. The directors remain confident in the hotel’s prospects. The company has no bank debt.”
Numbers employed at the hotel increased from 142 to 155 and staff costs increased from €3.1m to €3.2m.