Revenue at Michael Cotter’s Park Developments surge 43%

Pre-tax profits at Michael Cotter’s Park Developments group last year increased six-fold to €5.34m, as revenues jumped by 43%.

Park Developments (Dublin) Ltd recorded the profit increase after revenues went up by almost €5.5m, to €18m.

The company behind the Park commercial development in Carrickmines had shareholder funds last year of €65.6m, which included €57m in accumulated profits.

According to the directors’ report section of the accounts, management is satisfied that all funding conditions are being met and that the group can continue to manage its business, and pay its liabilities as they fall due, including the servicing of interest on all of the group’s external loan facilities.

The company owed €362m to its parent company, Gansu, and connected firms, while, at year end, the firm was owed €401m by group companies.

Park Developments’ loan facilities are with Nama and agreed funding arrangements are in place to December, 2018.

The business enjoyed the jump in profits after returning to residential house-building last year, with €1.3m generated, following no revenues under the heading of ‘residential — contracting’ in 2013.

The chief factor behind the increase in revenues was €5.19m recorded in land sales last year, with no land sales recorded in 2013.

The accounts disclose that the group’s cost of sales last year included a €1.8m write-down in development land.

At the end of last year, the group’s cash had increased more than nine-fold, from €253,830 to €2.3m.