Pay rise for Fitzgeralds as profits flow
LOUIS AND Helen Fitzgerald gave themselves a near five-fold pay increase last year to €2.28 million as pre-tax profits flowed once again at their Dublin-based pub and hotel group.
New accounts filed by Ocsas Holdings Ltd show that the Louis Fitzgerald pub, restaurant and hotel group recorded a pre-tax profit of €1.56 million in the year to the end of June 30th last after sustaining a pre-tax loss of €50.4 million in 2010.
The loss in 2010 occurred after the firm booked a €53.3 million write-down in fixed assets and work in progress.
The profit rise came in spite of revenues declining by 2.5 per cent to €55.5 million.
Louis and Helen Fitzgerald are the group’s only serving directors and the accounts show that their aggregate remuneration increased from €474,346 in 2010 to €2.28 million last year.
However, this is still some way off the €8.6 million the two received in aggregate remuneration in 2009.
The group owns some of the best-known pubs in Ireland: the Quays pubs in Temple Bar, Dublin, along with the Stag’s Head, Kehoes, the Big Tree, the Baggot Inn and the Grand Central Cafe Bar in Dublin.
It also operates the Poitin Stil at Rathcoole, the Arlington Hotel in Dublin and the Louis Fitzgerald Hotel at Newlands Cross.
The directors’ report states that “despite difficult trading conditions and the pressures on the licensed trade and hotel industry as a whole, the group achieved an operating profit of €6.2 million”.
This compared with an operating profit of €7.1 million in 2010.
Its Ebitda (earnings before interest, taxation, depreciation and amortisation) was €11.2 million compared with €13 million in 2010.
“The directors are of the view that despite the current difficult economic climate the actions taken to reduce cost, introduce improved work practices and efficiencies and developing new marketing strategies to generate extra business will ensure that the business will continue to be profitable,” the directors’ report adds.
The company employed 658 staff last year, including 589 bar staff, 46 bar managers and 23 people in administration.