Revenue growth and strong Free Cashflow delivered in H1 2025

Continued Portfolio Expansion and recommended cash offer of €6.45 per share following rigorous Strategic Review

ISE: DHG LSE: DAL

 

Dublin and London | 27 August 2025: Dalata Hotel Group plc (‘Dalata’ or the ‘Group’), the UK and Ireland's largest independent four-star hotel operator, with a growing presence in Continental Europe, announces its results for the six-month period ended 30 June 2025.

€million	H1 2025		H1 2024		Variance*
Revenue	306.5		302.3		+1%
Adjusted EBITDA1	102.5		107.6		(5%)
Profit after tax	19.6		35.8		(45%)
Basic earnings per share (cents)	9.3c		16.0c		(42%)
Adjusted basic earnings per share1 (cents)	12.7c		16.9c		(25%)
Free Cashflow1	45.7		48.1		(5%)
Free Cashflow per Share1 (cents)	21.6c		21.5c		-
Group key performance indicators (as reported)
RevPAR (€)1	108.61		110.77		(2%)
Average room rate (ARR) (€)1	140.75		142.67		(1%)
Occupancy %	77.2%		77.6%		(40bps)
Group key performance indicators (‘like for like’ or ‘LFL’)
‘Like for like’ or ‘LFL’ RevPAR (€)1	109.78		111.69		(2%)

*Throughout this release, all percentage variance comparisons are made comparing the performance for the six-month period ended 30 June 2025 (H1 2025) to the six-month period ended 30 June 2024 (H1 2024), unless otherwise stated. 

Dermot Crowley, Dalata Hotel Group CEO, commented: 

“The first half of 2025 has certainly been a busy one for everyone in Dalata. After announcing a strategic review on March 6th, the Board and executive team worked tirelessly in ensuring that the best result was achieved for shareholders. On July 15th, the Board recommended an all-cash offer of €6.45 per share from the Pandox Consortium which represents a 49.7% premium to the twelve-month volume-weighted average share price up to March 6th. I believe that this represents a very positive outcome for shareholders which is why the Board is unanimously recommending the offer.

 

Having met with Pandox and Scandic on a number of occasions, I am confident that the acquisition will also be a very positive outcome for the people working within Dalata.  I look forward to working in close partnership with our new owners to enable Dalata and its people to continue to grow and prosper within a larger international hotel company.

 

Despite the potential for distraction by the strategic review, our team remained focused and delivered a very strong operational performance as well as continuing to grow our development pipeline. Notwithstanding the external commentary of a challenging year for tourism in Ireland, on a ‘like for like’ basis, our RevPAR in Dublin and Regional Ireland is at the same level as the same period last year. However, continued increases in costs and especially pay rates puts downward pressure on our margins. The UK market has been more challenging, and this has impacted on our RevPAR performance with a 3.5% reduction versus last year. Our focus on innovation and looking for smarter ways to do things has helped to protect our margins across all geographies.

 

Growing a development pipeline whilst in the midst of a strategic review and ‘formal sales process’ is challenging and in that respect, I am especially pleased that we secured a second hotel opportunity in Edinburgh and our first hotels in Berlin and Madrid. We also completed the purchase of the Radisson Blu hotel in Dublin Airport which will be rebranded Clayton next year. Construction continues at our new Maldron hotel in Croke Park, our new Clayton hotel in Edinburgh and the extension at our Clayton hotel in Cardiff Lane. For the first time in the history of Dalata, when you include the pipeline rooms, we will have more rooms outside the Republic of Ireland than within it – we truly have become an international hotel company.

 

Since I took over as CEO, I have placed our people and our customers amongst my highest priorities. I am delighted to report that both our employee engagement scores, and customer satisfaction scores are at the highest levels in the history of Dalata. Innovation has also been a high priority and this year alone, we have rolled out a new CRM, a customer experience platform, a new revenue management system and a new recruitment tool. Our focus on sustainability continues to be recognised with industry leading scores across a range of third-party measurement platforms.

 

I passionately believe in the potential of our Clayton and Maldron brands. The digital transformation of our marketing activities together with the brands refresh that we carried out last year are contributing to the ongoing growth in direct bookings – up 8% on a ‘like for like’ basis versus the same period last year.

 

If shareholders approve the recommended offer on September 11th, and the other regulatory conditions are satisfied, this is likely to be our last financial results announcement as a PLC. While in some ways that is a sad occasion, I am happy that the Board is recommending a strategy that is in the best interests of shareholders. This strategy will also allow the people within Dalata to continue to deliver the ‘heart of hospitality’ to our guests whilst growing the Clayton and Maldron brands within a powerful international hotel company”.

Attractive portfolio delivers resilient operational performance

• Revenue of €306.5 million, up 1%, supported by new additions to the portfolio.
• Adjusted EBITDA1 of €102.5 million, down 5% due to lower RevPAR and the impact of cost inflation.
• Free Cashflow1 generation remains strong; €45.7 million (21.6 cent per share) for the first six months of 2025 after refurbishment capex and finance costs.
• Profit after tax decreased to €19.6 million primarily driven by Strategic Review related costs and an increase in non-cash accounting charges.
• ‘Like for like’ RevPAR1 of €109.78, down 2% versus H1 2024, with Dalata Dublin hotels outperforming the Dublin market.
• ‘Like for like’ Hotel EBITDAR margin1 down 210 bps to 37.5% (H1 2024: 39.6%). In a lower RevPAR environment, meaningful progress has been achieved in offsetting general cost rises and payroll inflation through new systems and technologies, operational efficiencies and innovation, further supported by a reduction in energy costs.
• Continued focus on people and service, with strong employee engagement scores (H1 2025: 9.0; H1 2024: 8.9) and consistently high customer satisfaction ratings (H1 2025: 87%; H1 2024: 85%).
• Continued growth in direct bookings (+8% on ‘like for like’ basis versus H1 2024), and brand share of online transient room nights.

Portfolio Growth

• Dalata has delivered strong execution of its expansion strategy, securing four hotels in prime capital city locations during the period, which will add over 1,000 rooms to the portfolio with an additional extension potential of 250+ rooms at Dublin Airport.
  • Clayton Hotel Tiergarten, Berlin: a 274-bedroom hotel centrally located between the Kurfürstendamm and the Brandenburg Gate under a 25-year operating lease with an 18-month refurbishment programme due to open in H2 2026.
  • Clayton Hotel Valdebebas, Madrid: a 243-bedroom hotel near Madrid International Airport under a 15-year operating lease due to open in H1 2029, with two 5-year tenant extension options.
  • Radisson Blu Hotel Dublin Airport: a 229-bedroom existing property located within 600m of Terminal 2 Dublin Airport, acquired for €83 million and completed in June 2025 (extension potential of 250+ rooms). To be rebranded Clayton next year.
  • Clayton Hotel Morrison Street, Edinburgh: a 256-bedroom development ideally located next to the Edinburgh International Conference Centre, expected to open in H1 2028.
  • Excellent progress on the construction development works at Maldron Hotel Croke Park, Dublin (Q2 2026), Clayton Hotel St. Andrew Square, Edinburgh (Q4 2026) and Clayton Hotel Cardiff Lane, Dublin extension (Q2 2027).
  • Capex requirements for projects currently under development estimated to be in excess of €70 million.

Robust financial position

Dalata continued to apply a disciplined, capital allocation strategy, pursuing acquisitions, developments and lease arrangements that meet its strict financial and operational criteria.

• Hotel assets valued at approximately €1.8 billion as of 30 June 2025, with 74% of the portfolio value located in key urban markets of Dublin and London, positioning the business to drive future performance and growth.
• Portfolio remains well-maintained, supported by €11.4 million in refurbishment investment during H1 2025, including the upgrade of 135 bedrooms.
• Long-term, stable lease profile with a weighted average unexpired lease term 27.3 years, (excluding land leases with a lease term of 100 years and over) and predominantly fixed rent structures until 2026.
• Net Debt to EBITDA after rent¹ of 1.7x.
• Normalised Return on Invested Capital¹ of 11.7% for the 12 months ended 30 June 2025 (year ended 31 December 2024: 12.5%).

Continue to progress sustainability strategy

• Achieved a 37% reduction in scope 1 and 2 carbon emissions per room sold in H1 2025 versus H1 2019.
• Received the top industry rating from Sustainalytics (Low Risk - 16.4) and maintained our AAA (Leader) rating from MSCI, recognising Dalata as a leading industry performer.
• Attained the ‘Gold’ standard from Green Tourism for all hotels.
• The Group published its first sustainability report in March in line with CSRD reporting obligations and is working to establish new near-term reduction targets.

Successful conclusion to rigorous Strategic Review

On 6 March 2025, Dalata announced its intention to explore strategic options aimed at optimising capital opportunities and enhancing shareholder value.

• A comprehensive sales process followed, attracting strong interest from trade buyers, strategic investors, financial institutions and financial sponsors. In parallel, the Board also evaluated additional strategic alternatives, including extending on-market share buy-back programmes, larger capital returns to shareholders, and considering asset disposals or significant sale and leaseback arrangements.
• On 15 July 2025, the Board unanimously recommended a cash offer by Pandox Ireland Tuck Limited (Bidco) a newly-incorporated company wholly-owned by Pandox AB (“Pandox”) and Eiendomsspar AS (“Eiendomsspar”, and together with Pandox and Bidco, the “Consortium”) for the entire issued and to be issued share capital of Dalata (other than Dalata Shares in the beneficial ownership of Bidco) (the Acquisition), to be implemented by way of a Scheme of Arrangement under Chapter 1 of Part 9 of the Irish Companies Act 2014 (the Scheme).
• Under the terms of the Acquisition, Dalata Shareholders will be entitled to receive €6.45 in cash per Dalata Share. The offer represents a 35.5% premium to the closing price of €4.76 per Dalata Share on 5 March 2025 (being the last business day prior to the launch of the Strategic Review and Formal Sale Process) and a 49.7% premium to the volume-weighted average price of €4.31 per Dalata Share for the twelve-month period ended on 5 March 2025 and an equity value of approximately €1.4 billion on a fully diluted basis.
• The consortium of Pandox and Eiendomsspar are established hotel investors, well positioned to support Dalata’s long-term growth ambition.
• Framework agreement with Pandox’s long-term operating partner, Scandic Hotels Group AB, to be an operating partner for the existing Dalata portfolio.
• The Dalata Board believes that the Acquisition is in the best interests of Dalata Shareholders and represents the most effective route to enhance value for shareholders, relative to Dalata’s other strategic options which have been considered as part of the Strategic Review. As publicly announced, the Board posted a scheme document to Dalata Shareholders on 12 August 2025 (the Scheme Document) and has convened Scheme Meetings and an EGM to be held at Clayton Hotel Dublin Airport, Stockhole Lane, Clonshagh, Swords, Co. Dublin, K67 X3H5 on 11 September 2025.
• The Acquisition is conditional on, among other things, (i) the approval by Dalata Shareholders of the Scheme Meeting Resolution and the EGM Resolutions (other than the Rule 16 Resolution) (as such terms are defined in the Scheme Document); (ii) the receipt of any necessary regulatory or other approvals, in particular from the European Commission; and (iii) the sanction of the Scheme by the High Court. If the Scheme is approved and becomes effective it will be binding on all scheme shareholders, irrespective of whether or not they attended or voted in favour or at all at the Scheme Meetings or the EGM. The Scheme is expected to become Effective in November 2025.
• Having regard to the Acquisition and its expected timetable, the Board has resolved not to propose an interim dividend for the first half of 2025. This is consistent with the terms of the recommended offer and means the offer price is not reduced by the amount of any dividend distribution.

Outlook

The Group’s ‘like for like’ RevPAR1 for July/August is expected to be c. 2.5% behind on 2024 levels. RevPAR for the ‘like for like’ Dublin and UK portfolios are expected to be 2.5% and 2.3% behind for the same period respectively, while RevPAR for the ‘like for like’ Regional Ireland portfolio is expected to be 2.4% ahead.

 

We continue to monitor the economic backdrop and market uncertainty, demand levels are supported by strong levels of flight volumes and an event schedule that will drive international interest particularly in Dublin. The second half of the year will also benefit from the acquisition of Radisson Blu Hotel Dublin Airport and the full year impact of the four UK openings in mid-2024.

 

The business benefits from its exceptional portfolio of modern, centrally located hotels, its access to a pool of talented staff supported in their learning and development by the Dalata Academy and the growing customer awareness of the Clayton and Maldron brand in its core markets. Looking ahead to the rest of the year we remain confident in our ability to continue to perform strongly as a business.

ENDS

About Dalata

Dalata Hotel Group plc is the UK and Ireland's largest independent four-star hotel operator, with a growing presence in Continental Europe. Established in 2007, Dalata is backed by €1.8bn in hotel assets with a portfolio of 56 hotels, primarily comprising a mix of owned and leased hotels operating through its two main brands, Clayton and Maldron hotels. For the six-month period ended 30 June 2025, Dalata reported revenue of €306.5 million, basic earnings per share of 9.3 cent and Free Cashflow per Share of 21.6 cent. Dalata is listed on the Main Market of Euronext Dublin (DHG) and the London Stock Exchange (DAL). For further information visit: www.dalatahotelgroup.com

 

Conference Call

There will be no conference call accompanying this results release. Any questions can be directed to the contacts below.

 

Contacts

Dalata Hotel Group plc	investorrelations@dalatahotelgroup.com
Dermot Crowley, CEO	Tel +353 1 206 9400
Carol Phelan, CFO
Graham White, Head of Investor Relations and Strategic Forecasting
Joint Group Brokers
Davy: Anthony Farrell	Tel +353 1 679 6363
Berenberg: Ben Wright / Clayton Bush	Tel +44 203 753 3069
Investor Relations and PR | FTI Consulting	Tel +353 87 737 9089
Declan Kearney/Sam Moore / Rugile Nenortaite	dalata@fticonsulting.com

 

Note on forward-looking information

This Announcement contains forward-looking statements, which are subject to risks and uncertainties because they relate to expectations, beliefs, projections, future plans and strategies, anticipated events or trends, and similar expressions concerning matters that are not historical facts. Such forward-looking statements involve known and unknown risks, uncertainties and other factors, which may cause the actual results, performance or achievements of the Group or the industry in which it operates, to be materially different from any future results, performance or achievements expressed or implied by such forward-looking statements. The forward-looking statements referred to in this paragraph speak only as at the date of this Announcement. The Group will not undertake any obligation to release publicly any revision or updates to these forward-looking statements to reflect future events, circumstances, unanticipated events, new information or otherwise except as required by law or by any appropriate regulatory authority.

Half Year 2025 financial performance

€million	Six months ended 30 June 2025	Six months ended 30 June 2024
Revenue	306.5	302.3
Hotel EBITDAR1	113.5	117.9
Hotel variable lease costs	(0.9)	(1.5)
Hotel EBITDA1	112.6	116.4
Other income (excluding gain on disposal of property, plant and equipment)	0.7	0.7
Central costs	(8.0)	(7.9)
Share-based payments expense	(2.8)	(1.6)
Adjusted EBITDA1	102.5	107.6
Adjusting items1,2	(7.6)	(2.8)
Group EBITDA1	94.9	104.8
Depreciation of property, plant and equipment and amortisation	(20.4)	(19.1)
Depreciation of right-of-use assets	(17.8)	(16.1)
Operating profit	56.7	69.6
Interest on lease liabilities	(26.5)	(23.3)
Other interest and finance costs	(6.9)	(4.4)
Profit before tax	23.3	41.9
Tax charge	(3.7)	(6.1)
Profit for the period	19.6	35.8
Earnings per share (cents) – basic	9.3c	16.0
Adjusted earnings per share1 (cents) – basic	12.7c	16.9
Hotel EBITDAR margin1	37.0%	39.0%

 

Group KPIs (as reported)
RevPAR1 (€)	108.61	110.77
Occupancy	77.2%	77.6%
Average room rate (ARR) (€)	140.75	142.67
‘Like for like’ Group KPIs1
RevPAR (€)	109.78	111.69
Occupancy	77.9%	77.9%
Average room rate (ARR) (€)	140.93	143.38

 

Summary of hotel performance

 

The Group delivered revenue of €306.5 million in the first six months of 2025, representing an increase of 1.4% versus H1 2024. The growth is driven primarily by contributions from new openings and additions, which added €16.4 million to revenue. This was partially offset by the sale of two hotels, Maldron Hotel Wexford (Nov 2024) and Clayton Whites Hotel, Wexford (Jan 2025), which resulted in a €6.9 million revenue reduction period on period. Revenue at ‘like for like’ hotels decreased by €6.6 million, primarily driven by the Continental Europe and UK portfolios.

 

Reported Group RevPAR1 of €108.61 for H1 2025 was 2.0% below H1 2024, primarily due to a UK RevPAR reduction. Group ‘LFL’ RevPAR1 of €109.78 was 1.7% behind H1 2024 with an increase of 1.0% for the first three months of the year, offset by a 3.6% decrease in Q2 2025.

 

Dublin portfolio ‘LFL’ RevPAR1 experienced growth of 0.1% in the first six months of the year compared to H1 2024, a positive result given the strong events calendar in 2024. RevPAR1 at the ‘LFL’ Regional Ireland hotels increased by 0.2% in comparison to 2024 levels.

 

UK portfolio ‘LFL’ RevPAR1 was 3.5% down in the first six months of the year compared to H1 2024 with a reduction in London hotels and some regional UK locations.

 

There has been a general softening in demand in the Continental Europe portfolio. In addition, Düsseldorf was a host city of Euro 2024 and there was an absence of large fair events in H1 this year.

 

The Group’s food and beverage (‘F&B’) revenue declined by 2.7% in H1 2025 to €57.2 million (H1 2024: €58.8 million), driven by disposals in the portfolio of two Wexford hotels and softer demand in Continental Europe. ‘Like for like’ F&B revenue decreased by 2.1%. However, ongoing initiatives including refreshed menus, enhanced service training and new digital ordering solutions are enhancing customer engagement and upselling to support margin preservation and future growth.

 

Overall, the Group delivered Hotel EBITDAR1 of €113.5 million, representing a 3.7% decrease (H1 2024: €117.9 million). On a ‘like for like’ basis Hotel EBITDAR1 decreased by €8.0 million (down 6.8%) to €108.6 million. The Group managed payroll costs well on the back of innovation initiatives which limited the overall payroll increase to 2.4%, €1.8 million, despite minimum wage increases of 6.3% in Ireland from January 2025 (12.4% in January 2024), National Living Wage increases of 6.7% in the UK from April 2025 (9.8% in April 2024) and significant increases to National Insurance contributions in the UK from April 2025.

 

‘Like for like’1 gas and electricity costs decreased by €0.8 million (7%) from H1 2024 to €10.8 million primarily due to improved unit pricing, in addition to further consumption savings.

 

The Group achieved a ‘like-for-like’ Hotel EBITDAR margin of 37.5% in H1 2025, 210bps below the 2024 figure of 39.6%, despite cost pressures and a more challenging RevPAR environment. The underlying performance was supported by the Group’s decentralised structure, where on-the-ground operations teams respond dynamically to shifting market conditions.

 

€million	Revenue	Operating costs	Adjusted EBITDA1
Six months ended 30 June 2024	302.3	(194.7)	107.6
Movement at ‘like for like’ hotels1	(6.6)	(1.1)	(7.7)
Hotels added to the portfolio during either period3	16.4	(11.4)	5.0
Hotel disposals3	(6.9)	5.5	(1.4)
Movement in other income and Group expenses	-	(1.4)	(1.4)
Effect of FX	1.3	(0.9)	0.4
Six months ended 30 June 2025	306.5	(204.0)	102.5

 

Performance review | Segmental analysis

The following section analyses the results from the Group’s portfolio of hotels in Dublin, Regional Ireland, the UK and Continental Europe.

 

1. Dublin Hotel Portfolio

€million	Six months ended 30 June 2025	Six months ended 30 June 2024
As reported
Room revenue	101.7	102.0
Food and beverage revenue	25.4	25.1
Other revenue	9.2	8.7
Revenue	136.3	135.8
Hotel EBITDAR1	60.5	62.6
Hotel EBITDAR margin %1	44.3%	46.0%
Performance statistics (‘like for like’3)	Six months ended 30 June 2025	Six months ended 30 June 2024
RevPAR1 (€)	126.19	126.11
Occupancy	82.5%	80.9%
Average room rate (ARR) (€)	153.05	155.87
Dublin owned and leased portfolio	30 June 2025	30 June 2024
Hotels at period end	18	17
Room numbers at period end	4,675	4,446

 

The Dublin portfolio consists of eight Maldron hotels and seven Clayton hotels, The Gibson Hotel, The Samuel Hotel and Radisson Blu Hotel Dublin Airport. 11 hotels are owned, and seven hotels are operated under leases. The acquisition of the Radisson Dublin Blu Hotel Dublin Airport for €83 million completed in June 2025, adding 229 rooms to the Dublin portfolio.

 

Like for Like RevPAR1 for the first six months of 2025 has marginally increased at 0.1% versus the 2024 comparative outperforming the 0.2% decline in the wider Dublin market as reported by STR (Smith Travel Research). The January and February period started strongly, outperforming 2024 comparative RevPAR by 5.7%. Dalata’s Dublin portfolio achieved occupancy above 82% for the first six months of the year with 32 compression nights where occupancy exceeded approximately 95%, versus 26 in the wider market, and limited ARR1 decline to 1.8%. The Dublin market continues to absorb additional room supply, driven by new hotel openings and the return of government-contracted room stock, adding roughly 400 rooms in H1 2025.

 

Total revenue for H1 2025 was €136.3 million, marginally above H1 2024 levels, driven by 1% growth in F&B revenues to €25.4 million and a €0.5 million increase in other revenue. The Dublin portfolio delivered Hotel EBITDAR1 of €60.5 million for the six-month period ended 30 June 2025, representing a 3% decline versus H1 2024 impacted by a 6.3% increase in the National Minimum Wage from January 2025. The portfolio achieved Hotel EBITDAR margin1 of 44.3% for the first six months of 2025 (2024: 46.0%). Ongoing efficiency and innovation projects continue to mitigate the impact of payroll inflation on Hotel EBITDAR margins.

 

2. Regional Ireland Hotel Portfolio

€million	Six months ended 30 June 2025	Six months ended 30 June 2024
As reported
Room revenue	29.3	33.2
Food and beverage revenue	10.6	13.5
Other revenue	4.2	4.5
Revenue	44.1	51.2
Hotel EBITDAR1	12.8	15.0
Hotel EBITDAR margin %1	29.0%	29.4%
Performance statistics (‘like for like’3)	Six months ended 30 June 2025	Six months ended 30 June 2024
RevPAR1 (€)	100.96	100.76
Occupancy	73.7%	74.6%
Average room rate (ARR) (€)	137.02	135.00
Regional Ireland owned and leased portfolio	30 June 2025	30 June 2024
Hotels at period end	11	13
Room numbers at period end	1,599	1,867

 

The Regional Ireland hotel portfolio comprises six Maldron hotels and five Clayton hotels located in Cork (x4), Galway (x3), Limerick (x2), Portlaoise and Sligo. 10 hotels are owned, and one is operated under a lease.

 

LFL RevPAR1 for the first six months of 2025 increased by 0.2% versus 2024 levels. LFL ARR rose 1.5% to €137.02, occupancy of 73.7% was 90 bps below H1 2024 with January affected by adverse weather which disrupted travel and short-stay activity.

 

Total revenue for the six months ended 30 June 2025 was €44.1 million, €7.1 million (14%) behind H1 2024 levels, primarily due to the disposal of two Wexford hotels.

 

The region delivered LFL Hotel EBITDAR1 of €12.9 million for the six-month period ended 30 June 2025, a 6% reduction on H1 2024 ‘like for like’ levels. The ‘like for like’ portfolio achieved an EBITDAR margin1 of 29.4% for the first six months of 2025, 190 bps lower than 2024 due to a lower RevPAR environment and increasing costs, particularly wage increases despite ongoing innovations and efficiencies.

 

3. UK Hotel Portfolio

Local currency - £million	Six months ended 30 June 2025	Six months ended 30 June 2024
As reported
Room revenue	73.9	64.9
Food and beverage revenue	14.7	13.4
Other revenue	4.4	3.8
Revenue	93.0	82.1
Hotel EBITDAR1	30.3	29.4
Hotel EBITDAR margin %1	32.6%	35.8%
Performance statistics (‘like for like’3)	Six months ended 30 June 2025	Six months ended 30 June 2024
RevPAR1 (£)	80.72	83.63
Occupancy	76.1%	76.9%
Average room rate (ARR) (£)	106.08	108.80
UK owned and leased portfolio	30 June 2025	30 June 2024
Hotels at period end	22	19
Room numbers at period end	5,080	4,430

 

At 30 June 2025, the UK hotel portfolio comprised 12 Clayton hotels and 10 Maldron hotels. Five hotels are situated in London, four in Manchester following the opening of Maldron Hotel Manchester Cathedral Quarter in May 2024, 10 in other large regional UK cities and three in Northern Ireland. 10 hotels are owned, 10 are operated under long-term leases and two hotels are effectively owned through a 122-year lease and a 200-year lease.

 

‘LFL’ RevPAR1 for the UK portfolio decreased by 3.5% for the first six months of 2025 versus 2024 levels, with decreases across both occupancy (-80 bps) and average room rate (-2.5%). Four hotels added in 2024 continue to ramp up and have increased EBITDAR by £4.1 million during the period.

 

Overall, total revenue for the six months ended 30 June 2025 was £93.0 million, £10.9 million (13%) ahead of H1 2024 levels, with hotels added to the portfolio during 2024 contributing the £13.6 million of uplift offset by the ‘LFL’ hotels contributing to a decrease of £2.7 million.

 

The UK portfolio delivered Hotel EBITDAR1 of £30.3 million, 3% ahead of H1 2024 levels. Food and beverage revenue of £14.7 million performed 10% ahead of H1 2024 levels (£13.4 million). The uplift is primarily driven by hotels added to the portfolio during 2024.

 

‘Like for like’ Hotel EBITDAR margin1 of 33.1% decreased by 270 bps period on period, reflecting the lower revenues and the increased cost environment, particularly the 6.7% increase in the National Living Wage from April 2025 which followed an April 2024 increase of 9.8%.

 

4. Continental Europe Hotel Portfolio

€million	Six months ended 30 June 2025	Six months ended 30 June 2024
As reported
Room revenue	11.4	13.7
Food and beverage revenue	3.7	4.5
Other revenue	0.6	0.9
Revenue	15.7	19.1
Hotel EBITDAR1	4.4	5.9
Hotel EBITDAR margin %1	27.9%	30.9%
Performance statistics (as reported)	Six months ended 30 June 2025	Six months ended 30 June 2024
RevPAR1 (€)	110.98	132.58
Occupancy	67.6%	71.2%
Average room rate (ARR) (€)	164.10	186.15
Continental Europe leased portfolio	30 June 2025	30 June 2024
Hotels at period end	2	2
Room numbers at period end	566	566

 

The Continental Europe hotel portfolio includes Clayton Hotel Düsseldorf (393 rooms) which was added to the portfolio in February 2022 and Clayton Hotel Amsterdam American (173 rooms) which was added in October 2023.

 

The portfolio’s current performance is back in H1 2025 when compared to a very strong H1 2024. Düsseldorf was a host city for Euro 2024 benefitting from high occupancy levels which contributed to higher revenue levels in H1 2024. Clayton Hotel Amsterdam American was partially impacted by refurbishment works ongoing until May 2025 (capital expenditure of €1.3 million incurred during the period). A new meeting and events space (M&E) is now open, and the reception area of the hotel has been completely refurbished.

 

Central costs and share-based payment expense

 

Central costs totalled €8.0 million for the six months ended 30 June 2025, broadly in line with the prior period (H1 2024: €7.9 million).

 

Adjusting items to EBITDA

 

	€million	Six months ended 30 June 2025	Six months ended 30 June 2024
	Reversal of previous impairment charges	-	1.7
	Impairment charges	(0.5)	(3.2)
Hotel pre-opening expenses		(0.2)	(1.3)
	Disposal-related costs	(0.1)	-
	Acquisition-related costs	(0.6)	-
	Strategic review transaction costs	(6.2)	-
	Adjusting items1	(7.6)	(2.8)

 

Strategic review transaction costs of €6.2 million were incurred during the period in connection with the Strategic Review and Formal Sale Process.

 

In November 2024, it was announced that Dalata had exchanged contracts for the purchase of the entire issued share capital of CG Hotels Dublin Airport Limited, which holds the long leasehold interest in The Radisson Blu Hotel, Dublin Airport, for a consideration of €83.1 million. On 19 June 2025, the Group received approval from the Competition and Consumer Protection Commission and subsequently completed the acquisition on 26 June 2025. Further detail can be found in note 10 to the interim financial statements. €0.6 million of acquisition-related costs were incurred in relation to this transaction during the period ended 30 June 2025.

 

Disposal-related costs relate to the completion of the sale of the Clayton Whites Hotel Wexford in January 2025.

 

In line with accounting standards, impairment tests and reversal assessments were carried out on the Group’s cash-generating units (‘CGUs’) at 30 June 2025. Each individual hotel is deemed to be a CGU for the purposes of impairment testing, as the cash flows generated are independent of other hotels in the Group. As at 30 June 2025, the carrying value of each CGU did not exceed its respective recoverable amount, and no impairment provisions were required.

The Group’s property assets were revalued at 30 June 2025, resulting in unrealised revaluation gains of €4.0 million which were reflected in full through other comprehensive income and the revaluation reserve; (H1 2024: €11.5 million), there was no impact to the profit or loss. Further detail is provided in the ‘Property, plant and equipment’ section of the consolidated interim financial statements.

 

Depreciation of right-of-use assets

 

Under IFRS 16, the right-of-use assets are depreciated on a straight-line basis to the end of their estimated useful life, typically the end of the lease term. The depreciation of right-of-use assets increased by €1.7 million to €17.8 million for the six-months ended 30 June 2025, primarily due to the full year impact of three leased hotels which opened in the summer of 2024 and a lease amendment made to Clayton Hotel Manchester Airport in October 2024.

 

Depreciation of property, plant and equipment and amortisation

 

Depreciation of property, plant and equipment and amortisation increased by €1.3 million to €20.4 million for the six-month period ended 30 June 2025. The increase is due to an acceleration of depreciation on fixtures and fittings at Maldron Hotel Dublin Airport that cannot be transferred on expiry of the licensing agreement in January 2026 and also relates to the additional depreciation of the Maldron Hotel Shoreditch from August 2024.

 

Finance costs

€million	Six months ended 30 June 2025	Six months ended 30 June 2024
Interest expense on bank loans and borrowings	6.1	10.0
Impact of interest rate swaps	-	(4.5)
Net foreign exchange loss on financing activities	0.8	-
Other finance costs	0.8	0.5
Finance costs before capitalised interest and excluding lease liability interest	7.7	6.0
Capitalised interest	(0.8)	(1.6)
Finance costs excluding lease liability interest	6.9	4.4
Interest on lease liabilities	26.5	23.3
Finance costs	33.4	27.7
Weighted average interest cost, including the impact of hedges
- Sterling denominated borrowings	6.2%	3.3%
- Euro denominated borrowings	4.0%	5.0%

 

Finance costs related to the Group’s loans and borrowings (before capitalised interest) amounted to €7.7 million in H1 2025, increasing by €1.7 million from H1 2024 (€6.0 million). The increase is due to a €0.8 million net foreign exchange loss on financing activities, higher weighted average interest rates, and higher commitment fee charges that reflect the increased debt package from the October 2024 refinancing.

 

Interest on loans and borrowings of €0.8 million (H1 2024: €1.6 million) was capitalised to assets under construction, as this cost was directly attributable to the construction of qualifying assets.

 

Interest on lease liabilities for the six-month period increased by €3.2 million to €26.5 million in H1 2025 primarily due to the full period impact of the lease of three new leased hotels opened in the summer of 2024 as well as the lease remeasurement of Clayton Hotel Manchester Airport in October 2024.

 

Tax charge

 

The tax charge for the six-month period ended 30 June 2025 of €3.7 million mainly relates to current tax in respect of profits earned in Ireland during the period. The Group’s effective tax rate of 15.8% in H1 2025 has increased from 14.6% in the comparative H1 2024.

 

At 30 June 2025, deferred tax assets of €33.1 million (31 December 2024: €33.1 million) have been recognised. The majority of the deferred tax assets relate to corporation tax losses and interest expense carried forward of €25.1 million (31 December 2024: €25.0 million).

 

Earnings per share (EPS)

 

The Group’s profit after tax of €19.6 million for H1 2025 (H1 2024: €35.8 million) represents basic earnings per share of 9.3 cents (H1 2024: 16.0 cents). The Group’s profit after tax declined by €16.2 million (45%) to €19.6 million due primarily to the impact of adjusting items2 in the period (€7.6 million) and increases in non-cash accounting charges (depreciation of property, plant and equipment and IFRS 16 charges), in addition to the underlying performance at ‘like for like’ hotels. Adjusting items2 in H1 2025 primarily related to the transaction costs for the Strategic Review and Formal Sale Process of €6.2 million. Excluding the impact of adjusting items1, adjusted basic earnings per share1 decreased by 25% to 12.7 cents.

 

Strong cashflow generation

 

The Group continues to generate strong Free Cashflow1. Free Cashflow1 for the first six months of 2025 totalled €45.7 million, a reduction of €2.4 million from H1 2024, driven primarily by lower after-rent earnings from the ‘like for like’ portfolio and a rise in net interest and finance costs reflecting the impact of higher debt servicing costs. Net cash from operating activities increased by €4.5 million mainly driven by working capital movements. Free Cashflow per Share1 was 21.6 cent in H1 2025, marginally ahead of 2024 levels.

 

At 30 June 2025, the Group’s Debt and Lease Service Cover1 remains strong at 2.5x (30 June 2024: 2.7x) with cash and undrawn committed debt facilities of €301.7 million (30 June 2024: cash and undrawn debt facilities of €282.4 million).

 

Free Cashflow1	Six months ended 30 June 2025	Six months ended 30 June 2024
Net cash from operating activities	96.0	91.5
Add back acquisition-related costs paid	0.3	-
Add back refinancing costs paid	1.7	-
Add back strategic review costs paid	0.4	-
Add back pre-opening costs	0.2	1.4
Fixed lease payments	(33.6)	(29.1)
Refurbishment capital expenditure paid1	(11.2)	(10.8)
Other interest and finance costs paid	(8.1)	(4.8)
Free Cashflow1	45.7	48.1
Weighted average shares outstanding - basic (million)	211.4	223.9
Free Cashflow per Share1 (cent)	21.6c	21.5c

 

The Group made fixed lease payments of €33.6 million in the first six months of 2025, a €4.5 million increase on H1 2024, driven primarily by the addition of three new leases to the portfolio along with impacts from rent reviews. Lease payments payable under lease contracts as at 30 June 2025 are projected to be €33.5 million for the six months ending 31 December 2025 and €64.6 million for the year ending 31 December 2026. The Group has also committed to non-cancellable lease rentals and other contractual obligations payable under agreements for leases which have not yet commenced at 30 June 2025. Further detail is included in note 12 to the consolidated interim financial statements.

 

The Group made refurbishment capital expenditure payments totalling €11.2 million during the six months ended 30 June 2025 (€10.8 million in H1 2024). The expenditure is primarily related to enhancements to hotel public areas, upgrades to plant and machinery infrastructure, and improvements to health and safety systems across the portfolio and to the refurbishment of 135 bedrooms across the Irish portfolio.

 

The Group spent €88.4 million on growth capital expenditure during the first six months of 2025, relating to the acquisition of the Radisson Blu Hotel Dublin Airport, and the ongoing development works at Clayton Hotel St. Andrew Square, Edinburgh and Clayton Hotel Cardiff Lane, Dublin. At 30 June 2025, the Group has future capital expenditure commitments under its contractual agreements totalling €47.3 million, of which €35.5 million relates to the development of Clayton Hotel St. Andrew Square, Edinburgh. It also includes committed capital expenditure at other hotels in the Group.

 

During the six-month period ended 30 June 2025, a final dividend for 2024 of 8.4 cents per share was paid on 8 May 2025 at a total cost of €17.8 million (year ended 31 December 2024: €18.0 million). The Board is not proposing an interim dividend for the first half of 2025.

 

During the period, 1.2 million shares were repurchased by the Employee Benefit Trust (‘the Trust’), which were used to satisfy the exercise of vested options under the 2017 Long Term Incentive Plan award. At 30 June 2025, 6,654 ordinary shares were held by the Trust. The cost of these shares (€37,844) was recorded directly in equity as Treasury Shares.

 

Balance sheet

 

€million	30 June 2025	31 December 2024
Non-current assets
Property, plant and equipment	1,781.5	1,711.0
Right-of-use assets	743.9	760.1
Intangible assets and goodwill	56.5	53.6
Other non-current assets4	37.6	41.9
Current assets
Trade and other receivables and inventories	48.5	33.6
Cash and cash equivalents	28.2	39.6
Assets held for sale	-	20.8
Total assets	2,696.2	2,660.6
Equity	1,399.8	1,419.4
Loans and borrowings at amortised cost	313.7	271.4
Lease liabilities	772.9	778.6
Trade and other payables	108.0	88.6
Other liabilities5	101.8	102.6
Total equity and liabilities	2,696.2	2,660.6

 

The Group maintains a robust balance sheet position at 30 June 2025 with property, plant and equipment of €1.8 billion, cash and undrawn debt facilities of €301.7 million, and Net Debt to EBITDA after rent1 of 1.7x.

 

Property, plant and equipment

 

Property, plant and equipment amounted to €1,781.5 million at 30 June 2025. The increase of €70.5 million since 31 December 2024 is driven by additions of €105.5 million, net unrealised revaluation gains on property assets of €3.5 million, capitalised borrowing and labour costs of €0.9 million, partially offset by a depreciation charge of €20.3 million for the six-month period and a foreign exchange loss on the retranslation of Sterling-denominated assets of €19.1 million.

 

74% of the Group’s property, plant and equipment is located in Dublin and London. The Group revalues its property assets, at owned and effectively owned trading hotels, at each reporting date using independent external valuers. The principal valuation technique utilised is discounted cash flows which utilise asset-specific risk-adjusted discount rates and terminal capitalisation rates. The independent external valuation also has regard to relevant recent data on hotel sales activity metrics.

 

Weighted average terminal capitalisation rate	30 June 2025	31 December 2024
Dublin	7.34%	7.41%
Regional Ireland	8.57%	8.56%
UK	6.31%	6.31%
Group	7.16%	7.17%

 

Additions through acquisitions and capital expenditure €million	Six months ended 30 June 2025	Six months ended 30 June 2024
Acquisition of freehold	83.0	-
Construction of new build hotels, hotel extensions and renovations	6.0	12.1
Other development expenditure	5.1	2.2
Total acquisitions and development capital expenditure	94.1	14.3
Total refurbishment capital expenditure1	11.4	11.8
Additions to property, plant and equipment	105.5	26.1

During the period, the Group incurred €11.1 million of development capital expenditure with €4.4 million mainly relating to the refurbishment of the ground floor and the ongoing 115-bedroom extension of Clayton Hotel Cardiff Lane, €4.5 million (£3.8 million) relating to the development of the site of Clayton Hotel St. Andrew Square, Edinburgh and €1.1 million relating to Clayton Hotel Amsterdam American for the full refurbishment of its meeting and events spaces.

 

The Group allocates approximately 4% of revenue to refurbishment capital expenditure. The Group incurred €11.4 million of refurbishment capital expenditure during the first half of the year which included the refurbishment of 135 bedrooms across the Group along with enhancements to food and beverage infrastructure, health and safety upgrades and energy efficient plant upgrades.

 

Right-of-use assets and lease liabilities

 

At 30 June 2025, the Group’s lease liabilities amounted to €772.9 million and right-of-use assets amounted to €743.9 million.

 

€million	Lease liabilities	Right-of-use assets
At 31 December 2024	778.6	760.2
Depreciation charge on right-of-use assets	-	(17.8)
Acquisitions through business combinations	7.7	7.7
Remeasurement of lease liabilities	6.1	6.1
Interest on lease liabilities	26.5	-
Lease payments	(33.6)	-
Translation adjustment	(12.4)	(12.3)
At 30 June 2025	772.9	743.9

 

Right-of-use assets are recorded at cost less accumulated depreciation and impairment. The initial cost comprises the initial amount of the lease liability adjusted for lease prepayments and accruals at the commencement date, initial direct costs and, where applicable, reclassifications from intangible assets or accounting adjustments related to sale and leasebacks.

 

Lease liabilities are initially measured at the present value of the outstanding lease payments, discounted using the estimated incremental borrowing rate attributable to the lease. The lease liabilities are subsequently remeasured during the lease term following the completion of rent reviews, a reassessment of the lease term or where a lease contract is modified. The weighted average lease life of future minimum rentals payable under leases is 83.0 years (31 December 2024: 82.8 years). Excluding land leases with a lease term of 100 years and over, the weighted average lease life of future minimum rentals payable under leases would be 27.3 years.

 

On 26 June 2025, the Group completed the acquisition of the entire issued share capital of CG Hotels Dublin Airport Limited, which holds the long leasehold interest in The Radisson Blu Hotel, Dublin Airport after exchanging contracts in November 2024. The Group became party to a ground lease as part of the acquisition and recognised lease liabilities and right-of-use assets of €7.7 million.

 

Following agreed rent reviews and rent adjustments, which formed part of the original lease agreements, certain of the Group’s leases were reassessed during the period. This resulted in an increase in lease liabilities and related right-of-use assets of €6.1 million.

 

Further information on the Group’s leases including the unwind of right-of-use assets and release of interest charge is set out in note 12 to the consolidated interim financial statements.

 

Loans and borrowings

 

The amortised cost of bank loans and private placement notes at 30 June 2025 was €313.7 million (31 December 2024: €271.4 million). The drawn bank loans and private placement notes, being the amount owed to the lenders, was €314.9 million at 30 June 2025 (31 December 2024: €272.6 million).

At 30 June 2025	Sterling borrowings £million	Euro borrowings €million	Total borrowings €million
Term Loan		100.0	100.0
Revolving credit facility:
- Drawn in euro	-	91.5	91.5
Private placement notes:
- Issued in sterling	52.5	61.4	61.4
- Issued in euro	-	62.0	62.0
External loans and borrowings drawn at 30 June 2025	52.5	314.9	314.9
Accounting adjustment to bring to amortised cost			(1.2)
Loans and borrowings at amortised cost at 30 June 2025			313.7

 

In October 2024, the Group successfully completed a refinancing of its existing banking facilities securing a €475 million multicurrency loan facility consisting of a €100 million green term loan and €375 million revolving credit facility for a five-year term to 9 October 2029, with two options to extend by a year. In October 2024, the Group also completed its inaugural issuance of €124.7 million of green loan notes to institutional investors for terms of five and seven years.

 

At 30 June 2025, €10.0 million of the revolving credit facility was carved out as an ancillary facility for use by the Group as guarantees for hotels in the Continental Europe portfolio.

 

The Group’s covenants, comprising Net Debt to EBITDA (as defined in the Group’s bank facility agreement which is equivalent to Net Debt to EBITDA after rent1) and Interest Cover1, were tested on 30 June 2025. The Group complied with its covenants as at 30 June 2025, with covenants stipulating that the Net Debt to EBITDA limit is 4.0x (30 June 2025: 1.7x) and the Interest Cover minimum is 4.0x (30 June 2025: 14.3x).

 

The Group limits its exposure to foreign currency by using Sterling debt to act as a natural hedge against the impact of Sterling rate fluctuations on the Euro value of the Group’s UK assets. The Group is also exposed to floating interest rates on its debt obligations and uses hedging instruments to mitigate the risk associated with interest rate fluctuations. This is achieved by entering into interest rate swaps which hedge the variability in cash flows attributable to the interest rate risk. As at 30 June 2025, the interest rate swaps cover 100% of the Group’s term euro denominated borrowings of €100.0 million for the period to 9 October 2028. The final year of the term debt, to 9 October 2029, is currently unhedged. The Group’s drawn revolving credit facilities of €91.5 million as at 30 June 2025 are unhedged.

 

 See Supplementary Financial Information which contains definitions and reconciliations of Alternative Performance Measures (‘APM’) and other definitions.

2 Adjusting items in H1 2025. The adjusting items comprise transaction-related costs of €6.2 million (H1 2024: nil), acquisition-related costs of €0.6 million (H1 2024: nil), an impairment charge of €0.5 million (H1 2024: nil), hotel pre-opening expenses of €0.2 million (H1 2024: €1.4 million), and disposal-related costs of €0.1 million (H1 2024: nil). Further detail on adjusting items is provided in the section titled ‘Adjusting items to EBITDA’.

3 The reference to ‘like for like’ hotels in the performance statistics comparing to H1 2024 for the Dublin segment excludes Radisson Blu Hotel Dublin Airport, which was acquired in June 2025. The reference to ‘like for like’ hotels in the performance statistics comparing to H1 2024 for the Regional Ireland segment excludes Maldron Hotel Wexford, which was sold in November 2024, and Clayton Whites Hotel, Wexford, which was sold in January 2025. The reference to ‘like for like’ hotels in the performance statistics comparing to H1 2024 for the UK segment excludes Maldron Hotel Manchester Cathedral Quarter (May 2024), Maldron Hotel Brighton (July 2024), Maldron Hotel Liverpool City (July 2024), and Maldron Hotel Shoreditch (August 2024).

4 Other non-current assets comprise deferred tax assets, investment property and other receivables.

5 Other liabilities comprise deferred tax liabilities, provision for liabilities, current tax liabilities and derivative liabilities.

Principal risks and uncertainties

We have considered our risk environment, emerging risks, and risk profiles since we published an assessment of the Group’s principal risks and uncertainties with our 2024 annual results announcement (and the 2024 Annual Report). The principal risks and uncertainties currently facing the Group are:

External, geopolitical and economic factors – Dalata operates in an open market, where its activities and performance are influenced by uncertainty from broader geopolitical, economic and government policy factors outside the Group’s direct control. Nonetheless, these factors can directly or indirectly impact the Group’s strategy, our labour and direct cost base, performance, and the economic environments in which the Group operates.

The Board and executive management team continuously focus on the impact of external factors on our business performance. The Group, with its experienced management team and resilient information systems, is well-equipped to navigate the influence of external factors on our strategy and performance.

Health, safety and security - The Group now operates 56 hotels in Ireland, the UK and Continental Europe. Health, safety, and hotel security concerns will always be a key priority for the Board and executive management.

We have a well-established and resourced health, safety and security framework in our hotels. There is ongoing investment in hotel life, fire and safety systems and servicing, with identified risks remediated promptly. External health and safety risk assessments and food safety audits are conducted across our hotel portfolio. Our new hotels are built to high health and safety standards, and all refurbishments include health and safety as a primary consideration.

Innovation –- We recognise the business imperative to innovate in our business, and innovation is a core objective for senior leadership. Several initiatives have already been implemented across our hotels, improving productivity, customer service, and meeting our customers’ needs better.

Executive management also continues to focus on trends across the hospitality market. The Group performs detailed customer research and reviews market trends with feedback from customers and teams on initiatives taken. We allocate resources to develop and implement business efficiencies and innovation and embrace enhanced use of business systems, new and emerging technologies, and information to support innovation.

Developing, recruiting and retaining our people – Our people are a key asset to our business. Our strategy is to develop our management and operational expertise, where possible, from within our existing teams. This expertise can be deployed throughout our business, particularly at management levels in our new hotels. We also recruit and retain well-trained and motivated people to deliver our desired customer service levels at our hotels.

The Group invests in extensive development programmes, including hotel management and graduate development programmes across various business-related areas. These programmes are continually reviewed to reflect growing business needs and competencies. We also implement a broad range of retention strategies (such as employee benefits, workplace culture, training, employee development programmes, progression opportunities and working conditions).

Cyber security, data and privacy – In the current environment, all businesses face heightened information security risks associated with increasingly sophisticated cyber-attacks, ransomware attacks and attacks targeting company data.

The ongoing security of our information technology platforms is crucial to the Board. The Group has invested in a modern, standardised technology platform supported by trusted IT partners. Our Information Security Management System is based on ISO27001 and audited twice annually. An established data privacy and protection structure, including dedicated specialist resources, is operational across our business.

Expansion and development strategy – The Group’s strategy is to expand its activities in the UK and European markets, adopting a predominantly capital-light and long-term leasing model or directly financing a project, enabled by the Group’s financial position.

The Group has extensive acquisitions and development expertise within its central office function to identify opportunities and leverage its relationships, funding flexibility and financial position as a preferred partner. The Board has an agreed development strategy, scrutinises all development projects before commencement and is regularly updated on the progress of the development programme. Agreed financial criteria and due diligence are completed for all projects, including specific site selection criteria, detailed city analysis and market intelligence.

Our culture and values – The rollout of our business model depends on the retention and growth of our strong culture. We have defined Group values embedded in how we behave as a Group and as individuals, as set out in the Group’s Code of Conduct. These are supported by internal structures that support and oversee expected behaviours. We also use wide-ranging measures to assess and monitor our culture, which are reviewed with the Board and management teams.

Climate change, ESG and decarbonisation strategy – The Board is keenly aware of the risks to society associated with climate change and environmental matters. We are also aware that being a socially responsible business supports our strategic objectives and benefits society and the communities in which we operate. We risk not meeting stakeholder expectations in this regard, particularly concerning target setting, environmental performance, compliance reporting and corporate performance.

The ESG Committee actively supports the Board in overseeing the development and implementation of the Group’s strategy and targets in this area. A climate change and decarbonisation strategy exists across our businesses, with published environmental targets.

Transaction execution risk – There is a risk that the proposed sale of the business may not be completed, including the possibility that the required shareholder, regulatory or court approvals may not be secured. Should the sale not be sanctioned, this could lead to uncertainty for the business.

 

Statement of Directors’ responsibilities

For the half-year ended 30 June 2025

 

The Directors are responsible for preparing the half-yearly financial report in accordance with the Transparency (Directive 2004/109/EC) Regulations 2007 (“Transparency Directive”), and the Transparency Rules of the Central Bank of Ireland.

 

In preparing the condensed set of consolidated financial statements included within the half-yearly financial report, the Directors are required to:

• prepare and present the condensed set of consolidated financial statements in accordance with IAS 34 Interim Financial Reporting as adopted by the EU, the Transparency Directive and the Transparency Rules of the Central Bank of Ireland;
• ensure the condensed set of consolidated financial statements has adequate disclosures;
• select and apply appropriate accounting policies;
• make accounting estimates that are reasonable in the circumstances; and
• assess the Company’s ability to continue as a going concern, disclosing, as applicable, matters related to going concern and using the going concern basis of accounting unless the Directors either intend to liquidate the Company or to cease operations, or have no realistic alternative but to do so.

 

The Directors are responsible for designing, implementing and maintaining such internal controls as they determine are necessary to enable the preparation of the condensed set of consolidated financial statements that are free from material misstatement whether due to fraud or error.

 

We confirm that to the best of our knowledge:

 

1. the condensed set of consolidated financial statements included within the half-yearly financial report of Dalata Hotel Group plc (“the Company”) for the six months ended 30 June 2025 (“the interim financial information”) which comprises the condensed consolidated statement of comprehensive income, condensed consolidated statement of financial position, condensed consolidated statement of changes in equity, condensed consolidated statement of cash flows and the related explanatory notes, have been presented and prepared in accordance with IAS 34 Interim Financial Reporting, as adopted by the EU, the Transparency Directive and Transparency Rules of the Central Bank of Ireland.

 

2. the interim financial information presented, as required by the Transparency Directive, includes:
   1. an indication of important events that have occurred during the first six months of the financial year, and their impact on the condensed set of consolidated financial statements;
   2. a description of the principal risks and uncertainties for the remaining six months of the financial year;
   3. related parties’ transactions that have taken place in the first six months of the current financial year and that have materially affected the financial position or the performance of the enterprise during that period; and
   4. any changes in the related parties’ transactions described in the last annual report that could have a material effect on the financial position or performance of the enterprise in the first six months of the current financial year.

 

The Directors are responsible for the maintenance and integrity of the corporate and financial information included on the Company’s website. Legislation in the Republic of Ireland governing the preparation and dissemination of financial statements may differ from legislation in other jurisdictions.

 

On behalf of the Board

 

 

John Hennessy                                                                                     Dermot Crowley

Director  Director

 

 

Unaudited condensed consolidated

interim financial statements

 

for the six months ended 30 June 2025

 

		6 months	6 months
		ended	ended
		30 June	30 June
		2025	2024
	Note	€’000	€’000
Revenue	4	306,463	302,345
Cost of sales		(114,154)	(111,271)
Gross profit		192,309	191,074
Administrative expenses	5	(136,352)	(122,187)
Other income		725	706
Operating profit		56,682	69,593
Net finance costs	7	(33,388)	(27,713)
Profit before tax		23,294	41,880
Tax charge	9	(3,690)	(6,109)
Profit for the period attributable to owners of the Company		19,604	35,771
Other comprehensive income
Items that will not be reclassified to profit or loss
Revaluation of property	11	4,029	11,547
Related deferred tax		776	(2,037)
		4,805	9,510
Items that are or may be reclassified subsequently to profit or loss
Exchange (loss)/gain on translating foreign operations		(17,751)	14,596
Gain/(loss) on net investment hedge		1,958	(5,367)
Fair value (loss)/gain on cash flow hedges		(364)	961
Cash flow hedges – reclassified to profit or loss		-	(4,534)
Related deferred tax		46	893
		(16,111)	6,549
Other comprehensive (loss)/income for the period, net of tax		(11,306)	16,059
Total comprehensive income for the period attributable to owners of the Company		8,298	51,830
Earnings per share
Basic earnings per share	23	9.3 cents	16.0 cents
Diluted earnings per share	23	9.1 cents	15.9 cents

		30 June	31 December
		2025	2024 (Audited)
Assets	Note	€’000	€’000
Non-current assets
Intangible assets and goodwill		56,524	53,649
Property, plant and equipment	11	1,781,502	1,710,974
Right-of-use assets	12	743,901	760,151
Investment property		1,334	1,518
Deferred tax assets	19	33,089	33,100
Other receivables	13	3,102	7,362
Total non-current assets		2,619,452	2,566,754
Current assets
Trade and other receivables	13	46,073	30,842
Inventories		2,451	2,761
Cash and cash equivalents		28,206	39,575
Assets held for sale	14	-	20,717
Total current assets		76,730	93,895
Total assets		2,696,182	2,660,649
Equity
Share capital	21	2,115	2,129
Share premium	21	507,365	507,365
Treasury shares reserve	21	(37)	(19)
Capital reserve		107,118	107,104
Share-based payment reserve		6,329	7,955
Hedging reserve		(532)	(214)
Revaluation reserve		469,481	468,605
Translation reserve		(9,470)	6,323
Retained earnings		317,454	320,157
Total equity		1,399,823	1,419,405
Liabilities
Non-current liabilities
Loans and borrowings	18	313,668	271,384
Lease liabilities	12	759,611	764,619
Deferred tax liabilities	19	93,476	92,763
Provision for liabilities	16	4,880	5,708
Other Payables	15	128	19
Derivative liabilities		609	244
Total non-current liabilities		1,172,372	1,134,737
Current liabilities
Lease liabilities	12	13,296	13,939
Trade and other payables	15	107,851	88,652
Current tax liabilities		482	1,576
Provision for liabilities	16	2,358	2,340
Total current liabilities		123,987	106,507
Total liabilities		1,296,359	1,241,244
Total equity and liabilities		2,696,182	2,660,649

 

	Attributable to owners of the Company
								Share-based
	Share	Share	Treasury		Capital			payment	Hedging			Revaluation		Translation		Retained
	capital	premium	Shares reserve		reserve			reserve	reserve			reserve		reserve		earnings	Total
	€’000	€’000	€’000		€’000			€’000	€’000			€’000		€’000		€’000	€’000
At 1 January 2025	2,129	507,365	(19)		107,104			7,955	(214)			468,605		6,323		320,157	1,419,405
Comprehensive income:
Profit for the period	-	-	-		-			-	-			-		-		19,604	19,604
Other comprehensive income
Exchange difference on translating foreign operations	-	-	-		-			-	-			-		(17,751)		-	(17,751)
Gain on net investment hedge	-	-	-		-			-	-			-		1,958		-	1,958
Revaluation of property	-	-	-		-			-	-			4,029		-		-	4,029
Fair value movement on cash flow hedges	-	-	-		-			-	(364)			-		-		-	(364)
Release of cumulative revaluation gains on disposal of hotel	-	-	-		-			-	-			(3,929)		-		3,929	-
Related deferred tax	-	-	-		-			-	46			776		-		-	822
Total comprehensive income for the period	-	-	-		-			-	(318)			876		(15,793)		23,533	8,298
Transactions with owners of the Company:
Equity-settled share-based payments	-	-	-		-			2,846	-			-		-		-	2,846
Transfer from share-based payment reserve to retained earnings	-	-	-		-			(4,579)	-			-		-		4,579	-
Dividends paid	-	-	-		-			-	-			-		-		(17,767)	(17,767)
Repurchase of treasury shares	-	-	(6,567)		-			-	-			-		-		-	(6,567)
Issue of treasury shares	-	-	6,549		-			-	-			-		-		(6,535)	14
Purchase and cancellation of treasury shares	(14)	-	-		14			-	-			-		-		(6,513)	(6,513)
Related deferred tax	-	-	-		-			107	-			-		-		-	107
Total transactions with owners of the Company	(14)	-	(18)		14			(1,626)	-			-		-		(26,236)	(27,880)
At 30 June 2025	2,115	507,365	(37)		107,118			6,329	(532)			469,481		(9,470)		317,454	1,399,823

	Attributable to owners of the Company
						Share-based
	Share	Share	Treasury	Capital	Merger	payment	Hedging	Revaluation	Translation	Retained
	capital	premium	Shares reserve	contribution	reserve	reserve	reserve	reserve	reserve	earnings	Total
	€’000	€’000	€’000	€’000	€’000	€’000	€’000	€’000	€’000	€’000	€’000
At 1 January 2024	2,235	505,079	-	25,724	81,264	8,417	4,891	461,181	(12,182)	316,328	1,392,937
Comprehensive income:
Profit for the period	-	-	-	-	-	-	-	-	-	35,771	35,771
Other comprehensive income
Exchange difference on translating foreign operations	-	-	-	-	-	-	-	-	14,596	-	14,596
Loss on net investment hedge	-	-	-	-	-	-	-	-	(5,367)	-	(5,367)
Revaluation of property	-	-	-	-	-	-	-	11,547	-	-	11,547
Fair value movement on cash flow hedges	-	-	-	-	-	-	961	-	-	-	961
Cash flow hedges – reclassified to profit or loss	-	-	-	-	-	-	(4,534)	-	-	-	(4,534)
Related deferred tax	-	-	-	-	-	-	893	(2,037)	-	-	(1,144)
Total comprehensive income for the period	-	-	-	-	-	-	(2,680)	9,510	9,229	35,771	51,830
Transactions with owners of the Company:
Equity-settled share-based payments	-	-	-	-	-	1,614	-	-	-	-	1,614
Transfer from share-based payment reserve to retained earnings	-	-	-	-	-	(4,188)	-	-	-	4,188	-
Vesting of share awards and options	9	2,286	-	-	-	-	-	-	-	(113)	2,182
Dividends paid	-	-	-	-	-	-	-	-	-	(17,954)	(17,954)
Repurchase of treasury shares	-	-	(6,269)	-	-	-	-	-	-	-	(6,269)
Issue of treasury shares	-	-	5,570	-	-	-	-	-	-	(5,147)	423
Related deferred tax	-	-	-	-	-	69	-	-	-	-	69
Total transactions with owners of the Company	9	2,286	(699)	-	-	(2,505)	-	-	-	(19,026)	(19,935)
At 30 June 2024	2,244	507,365	(699)	25,724	81,264	5,912	2,211	470,691	(2,953)	333,073	1,424,832