Pre-tax losses narrowed at the group that operates the K Club resort in Co Kildare by 41pc to €1.94m in 2021.

New consolidated accounts filed by Bishopscourt Investments Ltd and subsidiaries show losses reduced sharply after revenues surged by €6m, or 71pc, from €8.48m to €14.5m.

The pre-tax losses of €1.94m for 2021 follow pre-tax losses of €3.3m for 2020.

The 2021 pre-tax losses of €1.94m take into account non-cash depreciation costs of €3.25m.  

The business’s revenues recovered in 2021 as Covid-19 restrictions were eased but revenues were still off pre-Covid-19 revenues of €17.99m – the business being shut for the first five months of 2021 due to government pandemic guidelines.

The directors state they are satisfied with the performance of the business during 2021. They said the group recorded a profit of €1.3m before interest, depreciation and amortisation charges.

Nursing homes investor Michael Fetherston purchased the resort – made up of a hotel, country club and two golf courses – from previous owner Michael Smurfit for around €65m in February 2020.

However, the business remained affected by Covid-19 for more than two-and-a-half years of Mr Fetherston’s ownership.

On the risks facing the ­business, the directors state that “the company must continue to compete successfully to maintain and develop a strong market position as it continues to face strong competition”.

As Covid-19 restrictions eased with the opening of hotels in June 2021, the numbers employed increased from 105 to 155 and staff costs rose from €3.85m to €6m.

The accounts show that the group’s net liabilities stood at €25.9m at the end of 2021.

Addressing the business’s going concern status, a note states that the ultimate controlling party has indicated that for at least 12 months from the date of approval of these financial statements, he will continue to make available such funds as are needed by the company.

The directors state that at the time of signing the financial statements, on January 10 this year, the directors are reviewing increasing inflation and the general economic climate.

The group’s cash funds during 2021 increased from €1.55m to €3.6m.

The group’s tangible assets have a book value of €60.09m.