The impact of the pandemic plunged the Celtic Collection to a pre-tax loss of £12.9m last year against a profit of £566,000 in 2019.
According to accounts filed with Companies House for the year ended 31 December 2020, sales were down from £58.7m in 2019 to £21.6m and earnings before interest, tax, depreciation and amortisation (EBITDA) fell from £7.5m to -£4.4m.
The severe impact of the pandemic saw occupancies drop across the group's hotels, with average occupancy at the flagship Celtic Manor Resort hotel (pictured) at 34% compared with 92% the year before.
Directors said it was anticipated that trading will continue to be adversely impacted by the effects of Covid-19 throughout the remainder of 2021 but expressed confidence in the continued support of lenders and satisfaction with the results given the context the business had operated within.
The report added that the group's parent company was "willing and capable of providing additional funding to the group if required" and that the directors were therefore confident that the group "will be able to operate as a going concern".
Due to the pandemic, the Celtic Collection was also forced to undergo a redundancy programme last year.
The Celtic Collection includes the five-AA-star, 330-bedroom Celtic Manor Resort; the adjoining four-AA-star Manor House with 70 bedrooms; the nearby 148-bedroom, four-AA-star Coldra Court hotel; the Tŷ hotel in Magor; the International Convention Centre (ICC) Wales; and the Newbridge on Usk Inn.
The group is also set to manage the Parkgate hotel in Cardiff when it opens in October, and has a second Tŷ hotel in Newport in the pipeline, due to open next year.
You need to create an account to read this article. It's free and only requires a few basic details.
Already subscribed? Log In