Plans put in place to revive fallen fortunes of Lahinch seaside resorts

Plans are in place to revive a loss-making tourist amenity at one of Ireland’s best-known seaside resorts at Lahinch.

Lahinch Seaworld and Leisure Centre opened in the mid-1990s after a share membership drive across north Co Clare helped fund the venture.

However, accounts show that losses at the facility last year continued to mount with Lahinch Seaworld recording a €23,561 loss bringing accumulated losses to €771,901.

Last year, revenues continued to drop at the centre decreasing by 17% from €565,042 to €467,484.

The decline last year follows revenues dropping by 15% from €669,301 to €565,042 in 2010.

The directors’ report for 2011 states “the decrease in turnover for the year can principally be attributed to a reduction in visitor numbers”.

The report goes: “This reduction in activity had a negative impact on profitability which was mitigated to some extent by initiatives taken by the directors and management around cost containment and working capital management.”

The directors state that “as part of this strategy, the company successfully restructured its banking facilities during the year”.

The new facility in the amount of €350,000 is repayable over a 15-year period.

The directors state: “The company plans to establish a new adventure centre in order to generate further revenues for the business.

“The directors plan to revive the company into a versatile and adaptable business that caters for the entire community.

“The directors have set out a five-year plan to improve the facilities at Lahinch Seaworld. They include a new surf centre and a multi-purpose facility. The directors anticipate that the improved facilities will contribute significantly to the future growth and development of the company.”

They go on to state that they consider that the challenge for 2012 is to focus on the sales and marketing strategy as well as continuing the centre’s cost containment programme.

The loss sustained by the company last year also drew the attention of the company’s auditors, Deloitte & Touche.

They said the company incurred a loss of €23,561 to the end of the year and had net current liabilities of €137,837.

Numbers employed at the centre last year decreased from 23 to 20 with the centre’s staff costs reducing from €365,589 to €325,916.

The losses last year takes account of non-cash depreciation costs totalling €118,183.