CROWE Horwath, leading advisors to the Irish Hotel sector, has launched its 18th Annual Irish Hotel Survey. The 2012 report provides the most comprehensive analysis available of the financial performance of Irish hotels and is the only published report which provides details of profitability in the sector.
The report breaks down the performance of Irish hotels both by region (Western Seaboard, Dublin, Midlands & East, and the South West) and by classification (Luxury, First Class, Mid-Price and Economy).
The analysis includes: room occupancy average; average daily room rate; revenue per room and profit before tax per available room.
Among the key findings of the 2012 survey for the Western Seaboard region which includes data from Donegal hotels are as follows;
Room rates rose from €58.93 to €61.87, an increase of 5%, the highest outside Dublin and well above the national average increase of 2.8%
Occupancy levels increased from 59.0% to 62.9%, a rise of 3.9% from 2011 levels
Profits before tax grew from €4,278 to €5,471, an increase of 28%.
Other counties included in the Western Seaboard region are; Clare, Galway, Leitrim, Mayo, Roscommon and Sligo.
The Crowe Horwath Annual Irish Hotel Survey reveals that during 2012 the Irish hotel market experienced a further increase in occupancy levels to reach 63.8%, a 2.4 percentage points increase on 2011, while average room rates increased by €2.05 to €74.72, a 2.8% increase on 2011 levels.
Although the Western Seaboard region which includes Donegal did well in 2012, the pace of recovery in room occupancy levels is behind that of the Midlands & East region (+3.9 in comparison to +5.3%) and behind the Dublin region in annual room rates (+5.0% in comparison to +6.2%). However, in room occupancy levels the Western Seaboard region is above that of South West and Dublin at +3.9%.