Parknasilla Hotel revenues likely to rise by 6%

The managing director and co-owner of the four-star Parknasilla Hotel in Kerry has forecast that revenues will likely be up as much as 6% this year.

Tony Daly said that in 2016 the resort, which includes the hotel, as well as villas and lodges, generated revenues of over €7m.

That represented an increase of 16% on 2015.

He also revealed that 2016 produced earnings before interest, taxation, depreciation and amortisation (Ebitda) of €1m.

He said: “This has been re-invested into the resort.”

“Expectations are more modest for 2017, revenue growth in the region of 3% to 6% and Ebitda similar to 2016.”

He was commenting on the accounts for 2015 which were recently filed by the hotel owner, Silork Ltd.

Operating profits in 2015 almost doubled to €821,371 and gross profits rose 21% to €6.49m. However, large foreign exchange losses of €1.2m along with interest payments totalling €833,777 meant the business booked a pre-tax loss of €1.2m in 2015. Staff costs rose from €1.95m to €2.13m in that year.

In the high season, the resort employs 120 people.

It was bought in late 2012 for €11m by a consortium of investors led by Mr Daly and Swiss financier Jacqui Safra, who has owned neighbouring Garinish Island since the 1990s.

Property developer Bernard McNamara paid €40m for the hotel in 2006 and invested €10m more in upgrading the property.

A receiver was appointed six years later.