Hydro Hotel Eastbourne Plc - FINAL RESULTS FOR THE YEAR ENDED 31 OCTOBER 2024

26 February 2025

HYDRO HOTEL, EASTBOURNE, PLC

(“Hydro Hotel” or the “Company”)

FINAL RESULTS FOR THE YEAR ENDED 31 OCTOBER 2024

HIGHLIGHTS

The profit for the financial year after taxation was GBP350,246 (2023 profit of GBP235,945). Turnover from the Hydro Hotel operation increased during the year by 9% (2023 increased by 0.7%). Earnings per share were 58.37p compared to 39.32p for the previous year.

The Company’s operating activities generated cash of GBP610,313 (2023 generated cash of GBP485,680) and it invested GBP166,247 in new fixed assets (2023 GBP273,488). During the year the Company paid ordinary dividends of GBP150,000 (2023 GBP210,000). At the year end the Company had net current assets of GBP1,670,097 (2023 GBP1,442,129).

CHAIRMAN’S STATEMENT

Results for year ended 31 October 2024

I am pleased to report on the company’s results for the year ended 31 October 2024.

 

Sales for the year totalled £4,850,970, an increase of 9% on the £4,432,917 sales for the previous year (2023 0.7% increase). Operating profit for the year was £393,319 (2023 £259,602).  After interest receivable and the corporation tax charge, the post-tax profits for the year were £350,246 (2023 £235,945). An interim dividend of 13p per share (2023 12p per share) absorbing £78,000 (2023 £72,000) was paid to shareholders in October 2024. Taking into account the level of post-tax profits for the year and with the Company having strong reserves and assets, the Board has decided to declare a further interim dividend of 13p per share (2023 12p per share) absorbing £78,000 (2023 £72,000), which will be paid on Wednesday 2 April 2025 to shareholders on the register on Friday 14 March 2025. The ex-dividend date will be Thursday 13 March 2025.

 

The trading environment for the Company continues to be challenging with continuing cost of living increases impacting on operating costs and consumer demand. With careful monitoring of food and drink costs the gross profit percentage increased by 9% compared to the previous year (2023 No change compared to 2022). Overall profitability increased in the year, despite increases in operating and staffing costs.

 

Repair costs decreased by 5% compared to the previous year and included general maintenance to the fabric of the building, including replacement of fire doors and remedial work to the hotel’s wiring.

 

Capital improvements at the hotel during the year included the installation of new air conditioning in the Conservatory, replacement of the outside furniture for the Garden Suite and Main Terrace,  replacement of the boiler in the new wing, and general refurbishment of some bedroom interiors.

 

Developments since 31 October 2024

New marketing techniques will continue to be developed during the year to further encourage direct bookings at the hotel, which show an increase, year on year.

 

Updating of the Wedgwood room air conditioning will be undertaken in the coming year together with replacement of the remaining outside furniture and installation of a new flue and boiler in the old wing. General refurbishment of bedrooms and public areas will continue.

 

We continue to improve the physical and cyber security of the hotel’s assets and are working towards Cyber Essentials accreditation.

 

I am also pleased to report that the quality of the hotel’s offering was recognised locally by its winning of the Outstanding Tourism and Accommodation Award at the recent Eastbourne Business Awards ceremony held on 29 November 2024 at the Winter Gardens, Eastbourne.

 

Our Staff

I would like to congratulate our General Manager, Jonathan Owen, on the results achieved for the hotel this year, despite ongoing challenges for the hotel and tourism industry.

 

I wish also to record our thanks to our management team and all our staff for their dedication to the hotel.  We continue to invest in our team, working to train and retain valued members of staff who continue to deliver the Hydro’s renowned quality of service which our customers value so much.

 

 

Earnings per share have been calculated using 600,000 shares, being the weighted average number of shares for both years. The company has no potential ordinary shares, therefore basic and diluted earnings per share is the same figure.

 

 

STATUS OF FINANCIAL INFORMATION

The financial information set out above does not constitute statutory accounts as defined in section 434 of the Companies Act 2006. This has, however, been extracted from the statutory accounts for the year ended 31 October 2024. These accounts have not to date been delivered to the Registrar of Companies. The Company’s auditor, UHY Hacker Young LLP, has issued an unqualified audit report which does not contain a statement under section 498 of the Companies Act 2006 in respect of these accounts.

DIVIDEND ANNOUNCEMENT

An interim dividend of 13.0 pence per share (2023 12.0 pence paid) is to be paid on 2 April 2025 to shareholders on the register on 14 March 2025. The directors do not propose the payment of a final dividend.

The Directors of Hydro Hotel, Eastbourne, plc accept responsibility for this announcement.

 

For further information please contact:

Hydro Hotel, Eastbourne, plc  Sally Gausden  Telephone: (+44)(0) 1323 431200

Peterhouse Capital Limited  Mark Anwyl  Telephone: (+44)(0) 2074 690930

 

Market Abuse Regulation (MAR) Disclosure

The information contained within this announcement is deemed by the Company to constitute inside information as stipulated under the Market Abuse Regulation (EU) No. 596/2014. Upon the publication of this announcement via a Regulatory Information Service, this inside information is now considered to be in the public domain.