Stay up to date with notifications from The Independent

Notifications can be managed in browser preferences.

Resort lifts result despite leisure slump

Topaz Amoore
Wednesday 05 August 1992 18:02 EDT
Comments

Your support helps us to tell the story

From reproductive rights to climate change to Big Tech, The Independent is on the ground when the story is developing. Whether it's investigating the financials of Elon Musk's pro-Trump PAC or producing our latest documentary, 'The A Word', which shines a light on the American women fighting for reproductive rights, we know how important it is to parse out the facts from the messaging.

At such a critical moment in US history, we need reporters on the ground. Your donation allows us to keep sending journalists to speak to both sides of the story.

The Independent is trusted by Americans across the entire political spectrum. And unlike many other quality news outlets, we choose not to lock Americans out of our reporting and analysis with paywalls. We believe quality journalism should be available to everyone, paid for by those who can afford it.

Your support makes all the difference.

RESORT HOTELS, the three- star hotelier, lifted pre-tax profits by 32 per cent to pounds 6.1m despite the slump in the leisure industry that has stripped its hotels of much local business, writes Topaz Amoore.

However Resort, which owns 14 hotels nationwide and manages 32 others on long-term contracts, has also benefited from the recession, winning several contracts to run hotels repossessed by banks or receivers.

Occupancy rates fell about 3 per cent to 60 per cent.

Robert Feld, managing director, said Resort, which has called four rights issues since flotation in 1988 and currently has no net borrowings, would not be approaching shareholders again 'within the foreseeable future'. Eighty-five per cent of the shares in April's pounds 20m rights issue were taken up.

He said management contracts reduced capital expenditure and company borrowings. Management fees contributed pounds 3m to operating profits of pounds 5.6m in the year ended 30 April, up from pounds 4.5m.

Earnings per share were 8.02p against 8.98p, largely as a result of an increased tax charge of 11.2 per cent, up from 5.7 per cent in 1991. Turnover rose 32 per cent to pounds 16.1m.

The final dividend of 2.25p gave a total of 3.45p, up from 3.4p last time. Yesterday the shares closed up 2p at 57p.

Join our commenting forum

Join thought-provoking conversations, follow other Independent readers and see their replies

Comments

Thank you for registering

Please refresh the page or navigate to another page on the site to be automatically logged inPlease refresh your browser to be logged in