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Improved financial performance at Shannon Group


ACCORDING to Shannon Group’s annual report, it experienced a degree of financial recovery in 2021.

It states “The Group recorded a consolidated profit of €26.0 million (post-tax) (2020: loss of €28.2 million, post-tax and exceptional items) and consolidated turnover for the year was €40.5 million (2020: €34.3 million).”

This came after a year in which airport passenger numbers increased by 30,000 and the number of visitors to Shannon Heritage sites went up by 193,000.

The report states that “Group EBITDA (earnings before interest, taxes, depreciation, and amortization) for the year, before exceptional items, is €8.6 million (2020: €1.2 million). This result
is considered satisfactory in the context of the Covid-19 pandemic, which had a devastating impact on the Group’s business during 2020 and 2021.

“During 2020 the Group incurred exceptional charges of €27.9 million in respect of a non-cash impairment of Airport assets and a group-wide voluntary severance scheme. No such exceptional charges were incurred in 2021.”

Regarding Shannon Group’s financial position, it stated, “The Group has cash reserves to meet its operating and recurring short-term capital expenditure needs, with net cash deposits of €62.2
million at the year end date (2020: €29.2 million).

“During 2020 the Group drew down further external funding of €1.3 million to partially fund its capital expenditure programme.

“No additional funding was drawn down in 2021. Total external bank loans were €29.6 million at the year end date (2020: €30.8 million). Investment in capital expenditure projects is seen as key to ensuring the future sustainability of the Group. As reflected in the Consolidated Cash Flow Statement the Group had cash outflows of €15.9 million for capital projects across the Group in the year (2020: €17.2 million). In addition, the Group realised proceeds of €20.5 million on capital disposals in the year (2020: €12.2 million).”

Shannon Group received over €5 million in wage subsidies during 2021, along with €3.67 million in 2020. Staff costs for the year came to €13.65 million, while payments to directors came to €425,851.

About Owen Ryan

Owen Ryan has been a journalist with the Clare Champion since 2007, having previously worked for a number of other regional titles in Limerick, Galway and Cork.