Macdonald builds on half-year profits
Lothian-based Macdonald Hotels is ploughing £7.6m into developments at four of its existing hotels to add 129 bedrooms and a function suite.
The company also has planning consent to add a further 142 bedrooms, two function suites and a leisure club at various properties.
Donald Macdonald, chief executive of the company, said: "It's a balanced way of extending the business, but acquisitions are still important."
During the 26 weeks ended 29 September this year, Macdonald achieved a 68% rise in pre-tax profits to £4.56m from sales ahead by 25% to £19.2m.
Bedroom occupancy in the 22 owned hotels was 68%, with an average room rate of £42.64, giving a 4% rise in room yield to £29.04. Excluding the five hotels acquired over the period, bedroom occupancy was 71%.