BY GORDON DEEGAN
PRE-TAX profits at the operator of the exclusive Old Head of Kinsale Links golf course fell 9.5% in 2023 to €3.54m, amid higher costs.
Revenues remained flat at €12.76m despite ‘a strong performance’ for the complex during the year.
Green fees for a round of golf at the Old Head cost €450 for high season in 2024 and the golf complex attracts 20,000 visitors annually, with 50% of golfers from the USA and 80% in total from overseas.
The directors said the company targets the premium international golf market and ‘has again traded profitably in 2023 owing to the continued demand of both the domestic market and international visitors for the full year, similar to 2022’. Higher costs resulted in the company’s operating profits declining from €4.25m to €3.82m. Interest payments and similar charges of €285,705 resulted in the pre-tax profit of €3.54m.
The company recorded a post-tax profit of €2.98m following a corporation tax charge of €559,509.
In December 2020, the company received a €6.25m loan from a related party to facilitate the refurbishment and upgrade of the complex’s suites. The directors state that payments continue under the terms of the loan agreement with advance repayments on this loan in 2023.
The complex employed 99 last year and staff costs fell from €3.94m to €3.77m. The profit takes account of non-cash depreciation costs of €1.32m.
In July, Old Head owner Ashbourne Holdings failed to secure planning permission for a ‘five-star’ luxury farmhouse-style accommodation a short distance from the golf course. The An Bórd Pleanála decision overturned approval granted by Cork County Council in July of last year and the case came before An Bórd Pleanála following four third party appeals.
The scheme involved the demolition of a farmhouse dwelling, agricultural buildings and the construction of 24 guest suites in six residences on a farm property around 500m from the golf course.
The accommodation proposal is part of a series of developments planned valued at €32m. Other elements involve up to 40 suites at the Pier Road Townhouse in Kinsale with a rooftop bar, and an extension to the Old Head clubhouse that includes five additional bedroom suites.
