Jurys Doyle said today profits in the opening months of 2003 will not meet forecasts due to the Iraq war and SARS and warned full-year figures may also disappoint.
In a trading statement issued at its AGM in Dublin today, the hotel group said trading in the first quarter of 2003 continued to be affected by a business environment hampered by weak global economies and geopolitical uncertainty
Jurys chairman Mr Richard Hooper told shareholders that against this background, consumer and corporate spending will remain weak leading to "challenging" conditions for the immediate future.
But Mr Hooper said overall occupancy rates are in line with the first quarter of 2002 and revenue per room has improved.
Jurys also gave an update of its expansion plans. Construction has begun on a 253-bedroom Jurys Inn in Parnell Street, Dublin. The group also plans a new 340-bedroom Jurys Inn at London Heathrow airport.
Jurys sold the three-star 90-bedroom Jurys Green Isle Hotel in Dublin for €11 million in cash and realised a profit on disposal of over €700,000.
The sale proceeds will be used to finance the Jurys Inn development programme, the company said.