Dalata Hotel Group plc (“Dalata” or the “Group”), the largest hotel operator in Ireland with a growing presence in the United Kingdom, provides a trading update for the second quarter of 2021 in light of the on-going impact from Covid-19. Trade at the Group’s hotels improved in the second quarter as non-essential customers were allowed to return to hotels on 17 May (England & Wales), 24 May (Northern Ireland) and 2 June (Republic of Ireland). Occupancies for the second quarter were 24% in Dublin, 32% in Regional Ireland and 30% in the UK. The Group is mitigating the impact of reduced trading levels through pro-active cost control and the utilisation of available Government supports. As a result, the Group expects to be close to break-even at Adjusted EBITDA for the first six months of 2021.
Prior to re-opening, the Group repeated the audit of its health and safety practises at all hotels with independent accreditation from Bureau Veritas to provide further comfort to our people, our guests and our suppliers. Throughout the pandemic, we kept our core management teams in place and maintained strong engagement with our people. The retention of our core teams ensured a smooth re-opening of the hotels for non-essential customers. Since re-opening, trading has been better than expected and while the lead time on bookings remains short, the Group’s forward bookings continue to improve. Occupancies for June were 37% in Dublin, 60% in Regional Ireland and 44% in the UK. As seen in July and August 2020 when restrictions were relaxed, there has been a bounce in leisure demand at our hotels in Regional Ireland and Regional UK driven by staycations during the summer months. Demand for our Dublin and London hotels in the summer months is expected to be ahead of the level achieved in 2020 but will remain significantly below 2019 levels. Both cities require the return of international travel for occupancies to recover more substantially. Comments are closed.
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