Apex ‘good to go’ after taking ‘significant’ hit from closure
Lesley Vickers: investment
Apex Hotels suffered a sharp fall in revenue and profit as it felt the impact of the early weeks of the pandemic.
The final months of its financial year to the end of April last year saw “significantly reduced trading”, caused by a steep decline in international travel and the subsequent closure of hotels from 20 March.
Revenue grew 3.4% in the first nine months to January 2020, but the shutdown led to a 9% fall in income over the year from £75.5m in 2019 to £68.7m. Pre-tax profit almost halved to £7m compared to £12.4m in the previous year.
The Edinburgh-based company was unwilling to provide guidance on trading figures over the last 12 months.
Angela Vickers, chief executive, said the company is in an “excellent position” to grow revenue on the back of investment in its 10-strong portfolio of hotels in Bath, Dundee, Edinburgh, Glasgow and London.
She said: “In the last financial year alone, we invested £6.7m in the hotels including £1.5m on bedroom refurbishment at London Wall, the £1.5m refurbishment of public areas and spa at City Quay in Dundee and the £2.2m acquisition of our new Edinburgh headquarters.
“There’s no denying the impact of the pandemic, from the initial significant drop in international travel through to the government-imposed lockdown restrictions, has been substantial not just for Apex but the whole hospitality industry.
“However, we have used this period of closure to re-evaluate, invest in new technology, and come back ready to thrive.”
Apex Hotels has been granted the COVID-19 Industry Standard, ‘We’re Good To Go’ in recognition of following government and public health guidelines and having processes in place to ensure these are met at all times.