Rising costs drag Citywest Hotel profits down 79%

Profits before tax at the country’s largest hotel, the Citywest in Dublin, last year declined sharply by 79% to €316,634.

A trebling of non-cash depreciation costs to €1m and a similar scale increase in operating lease costs to a related entity led to the hotel’s drop in profits. However, its revenues rose 11% to €25.33m, according to newly-filed accounts for operating company Cape Wrath Hotel Ltd.

Post-tax profits amounted to €218,066 after the company paid €98,568 in corporation tax. Brehon Capital has since rebranded as Tetrarch Capital. It paid €29m for the Citywest in 2014 and it remains Ireland’s largest hotel with 789 rooms. The company also owns the Marker Hotel in Dublin, the Powerscourt Hotel in Wicklow and Mount Juliet in Kilkenny.