Archived article
Please note that tax, investment, pension and ISA rules can change and the information and any views contained in this article may now be inaccurate.
Ireland-based hotel operator Dalata Hotel said it expected to breakeven in the first half of the year, but said summer demand would remain below pre-pandemic levels until the return of the international travel.
'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,' the company said.
Since re-opening, trading had been better than expected and while the lead time on bookings remains short, the group's forward bookings continue to improve.
Occupancies for the second quarter were 24% in Dublin, 32% in Regional Ireland and 30% in the UK.
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.
Looking ahead, the company said demand for its 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,' it added.