Old Course hotel reports drop in profits
Scotland's iconic Old Course hotel saw falling profits last year as the economic slowdown continued to bite, newly released records show.
Sales for the full year ended 31 December 2009, just filed at Companies House, reveal a 15.9% fall in sales with turnover down to £9.9m (2008: £11.7m) as the tough economic environment depressed occupancy rates at the golf resort hotel in St Andrews.
Although the hotel said it had reduced staff costs (down 8.6%), gross profit fell 34% to £736,995 (2008: £1.13m).
Parent company Old Course Ltd, which is owned by US manufacturing company Kohler, purchased Hamilton Hall further to its existing development at Dukes Residence in the year.
The plan is to develop both sites into luxury residences to complement the Old Course hotel but with the bottom falling out of the property market, Old Course Ltd was forced to take a £4.9m impairment charge to reflect the fall in values.
This saw Old Course Ltd register a loss before tax for 2009 of £7m, up from a loss of £2.6m in 2008.
Old Course hotel owner eyes up Hamilton Hall >>
Old Course hotel named Scottish Hotel of the Year >>
Old Course hotel sold to US firm >>
By Chris Druce
E-mail your comments to Caterer News here.
Caterersearch.com jobs
Looking for a new job? Find your next job here with Caterersearch.com jobs
|
