The Denis O’Brien-owned Ballynahinch Castle hotel in Co Galway reported a loss of €288,432 last year to bring its accumulated losses to €5.7 million at the end of December 2023, latest accounts show.
The deficit for last year was more than three times the loss (€78,300) recorded by the hotel in 2022. Turnover rose by 1 per cent to just under €8.5 million, while the hotel posted an operating profit of €440,434, down 23 per cent on the previous year. It was dragged into the red by interest costs and the amortisation of finance expenses amounting to €727,427.
A going concern note in the accounts for Yelsea Ltd, which operates the four-star property near Recess in Co Galway, notes that Mr O’Brien had agreed to provide financial support to the company and would not call in a shareholder loan for a minimum 12 months from when the accounts were signed off.
The accounts were signed off on August 26th, 2024, by Catherine O’Brien, Mr O’Brien’s wife, and fellow director Niall Geoghegan. Mr O’Brien’s loan amounted to €15.4 million at the year end, and carries an interest rate of 3 per cent a year. The company also had a secured bank loan of more than €4 million.
Yelsea is a wholly-owned subsidiary of DNA Event Design Ltd, a company registered in Cyprus. DNA is controlled by Mr O’Brien.
The number of staff employed at the hotel declined from 101 to 97, with payroll costs rising to just more than €3.3 million last year from just under €3.2 million in 2022. A consultancy fee of €50,000 was charged under directors, remuneration.
The hotel is a member of Relais & Chateaux group and is part of a 700-acre estate of woodland, rivers and walks, with salmon fishery and the 12 Bens Mountain range as a backdrop. It has 48 bedrooms and suites.
The company was contacted for comment.
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