Dalata’s revenue per available room has remained static despite decreasing visitor numbers in Ireland.
The company is facing challenges in the English market with a 3.5pc reduction in RevPAR performance. Dalata reported a slight revenue increase of 1pc to €306.5m in the first half of the year despite a decline in visitor numbers.
Adjusted earnings before interest, tax, depreciation and amortisation fell 5pc to €102.5m, with profits after tax down 45pc to €19.6m. The group’s occupancy rate in Dublin rose by 1.6 percentage points despite the challenges in the tourism sector.
The group is set to expand with new hotels opening in Madrid and Berlin, while undergoing a €1.4bn acquisition.
Dermot Crowley shared, “Notwithstanding the external commentary of a challenging year for tourism in Ireland, on a like-for-like basis, our RevPAR in Dublin and regional Ireland is at the same level as the same period last year. However, continued increases in costs and especially pay rates puts downward pressure on our margins. The acquisition will also be a very positive outcome for the people working within Dalata.”
