Merrion’s profits soar 29%

Pre-tax profits at the five-star Merrion Hotel soared 29% last year.

Hotel Merrion Ltd posted profits of over €4.1m as revenues climbed 10% to a record €25m in the year to the end of October 2018.

The Merrion is the hotel of choice for a host of Hollywood A-listers and music stars staying in Ireland.

With 123 rooms and 19 suites, the hotel “had a good year with revenues, room rates, and occupancy being at their highest levels, reflecting a strong performance by the Dublin market”, according to the directors.

“The near-term outlook remains strong and we believe we can maintain revenues and profitability.”

Dividends were shared between Lochlann Quinn and Martin Naughton, who jointly each own 25%, and by Belfast’s Hastings Hotels which owns the other 50%.

The company last year paid a dividend of €96,567 after paying a dividend of €85,259 in 2017.

Online advertised room rates at the hotel range from €330 for a ‘Merrion Queen’ room to €3,200 per night for the ‘Penthouse Suite’.

On risks facing the business, the directors said the hospitality Vat hike back to 13.5% could weigh on it.

Staff numbers increased from 296 to 327, with staff costs increasing from €8.8m to almost €10.3m.

A breakdown of the hotel’s revenues show that it recorded €15.8m from accommodation; €8.25m from food and beverage; €636,359 from unspecified “other income”; and €338,196 from its revamped leisure facilities.