Hotel group Jurys Doyle said today trading is in line with expectations mainly due to a strong performance of its budget Jurys Inn chain.
The hotel group said profits have recovered from last year's slump after the US terror attacks.
Occupancy levels at Jurys Inn remain strong, the group said. Within the Jurys Hotel division, the five-star Berkeley Court and Westbury hotels in Dublin are trading ahead of last year.
"The trading environment in the Dublin and London markets continues to be challenging," Jurys said. Both markets are continuing to be hit by reduced corporate conference and incentive business and reduced tourist activity.
Jurys said an improvement in the Dublin and London markets will depend on the timing and extent of economic recovery - which is not now expected in the short term.
Jurys are going ahead with new inns in Newcastle, Glasgow, Leeds and Chelsea in Britain, and Boston in the United States. These new developments are scheduled to open between early 2003 and early 2004.
