Center Parcs owner secures £298m in dividends in spite of drop in profits

by XPRESS, 17 September 2018

The Canadian owner of Center Parcs has secured £298.2m in dividends regardless of a drop in profits for the holiday village operator.

In its financial results for the 53 weeks ended 26 April 2018 Center Parcs, owned by Brookfield Asset Management, reported profit before tax of £58.3m, down from £70.5m the previous year.

Profits were knocked by exceptional charges including £26.9m to refinance its debt and administrative expenses of £2.3m, representing £1.6m relating to legal claims and £700,000 towards restructuring.

Although earnings before interest, tax, depreciation and amortisation (EBITDA) hit £228.4m, up on last year’s £213m, and revenue jumped from £440.3m to £469m, the heavy snowfall in March temporarily closed Longleat Forest Center Parcs and restricted arrivals and activities at all villages. Directors estimate the lost revenue totalled £1.6m.

Otherwise occupancy for the period was up slightly from 97.3% to 97.6%, and average daily rate increased from £174.46 to £184.95.

Center Parcs operates four holiday villages in the UK at Sherwood Forest in Nottinghamshire, Elveden Forest in Suffolk, Longleat Forest in Wiltshire and Whinfell Village in Cumbria.

Article Credit: The Caterer