The directors of Alan Clancy’s expanding NolaClan hospitality group are confident of the group returning to profit after two years of Covid-19 related losses.
NolaClan operates the successful House venues on Leeson Street in Dublin, Limerick and Belfast, while the group’s portfolio include bars, restaurants, nightclubs and hotels.
Other venues include 37 Dawson Street and 9 Below in Dublin, the Oyster Tavern in Cork and Mrs Robinson’s in Greystones.
In December, Mr Clancy announced a joint venture with Open-winning golfer, Shane Lowry, to open a bar, restaurant and cafe in Tullamore, Co Offaly.
Recently filed consolidated accounts by Mr Clancy’s Capulat Ltd show the group narrowed its post-tax losses by 38 per cent to €1.72 million in 2021 from post-tax losses of €2.79 million in 2020.
A look ahead to 2023
This followed revenues increasing by 52 per cent from €4.29 million to €6.52 million in 2021 as the group benefited from easing of Covid-19 restrictions in the latter half of 2021.
Pre Covid, Capulat’s revenues in 2019 totalled €24.08 million.
In a note with the accounts, the directors said that, following the success of previous ventures, the group had opened The Gables in Foxrock in December 2021 and Beckett Locke in Point Square Village in October 2021.
The note said the 2021 loss of €1.72 million “includes a significant investment in resources to support all venues during the Covid-19 pandemic”.
“However, with the ongoing support from shareholders, the directors are confident that the group will return to profitability,” the note said.
The loss takes account of Government grants of €2.93 million offset by non-cash depreciation costs of €1.67 million.
At the end of December 2021, the group had a shareholders’ deficit of €11.4 million that includes accumulated losses of €6.6 million.
The group’s cash funds during 2021 doubled from €221,137 to €422,037.
Numbers employed during 2021 increased from 147 to 204, while staff costs increased from €2.28 million to €3.62 million.
Directors’ pay at the business was slashed during the pandemic, from €412,363 paid out in 2019 to €81,392 in 2021.
The 2021 loss takes account of exceptional costs of €139,327 concerning the write-off of loans due and interest payments of €738,587.
