November EC Meeting 2019

QUORN GRANGE HOTEL

SMT COMMENTARY and REVIEW OF TRADING & ACCOUNTS AS AT 31 Oct 2019

General Managers & Commentary & Forecast

October Trading Summary

1) In Summary - Overall trading throughout October has remained positive with the opening of the new rooms. The month was affected by the change in the local school holidays from 1 week to 2 weeks in October reducing the length of the summer holidays. Overall sales for the Hotel achieving£158K which is an increase on last year of £48 K the figures for the previous year are still showing the amount with the deposits included which weren’t corrected until December. The month was also reduced by a late wedding cancelation were only the deposit retained. We continue to have snagging issues and the front of the hotel is still a building area due to the late completion of the houses. These are now due to be completed by the 1 st of December with the landscaping of the front area around the houses commencing from the 25 th November. Throughout the month the daily flexing of room rates was undertaken but could have been more aggressive to increase the occupancy, this was probably due to leave taken for 2 weeks in October by myself. The promotions with the OTAs and the booking agents has increased our overseas clients and we continue to be well supported by all our corporate clients. The hotel had a net loss for the month against budget due to the reduced turnover and some areas of maintenance that had high repair costs throughout the month. All other areas of costs were well controlled throughout the month with the exception of the areas mentioned above. The continued problems with the disabled rooms flooding on to the carpet have remained this is being resolved with the rooms out of commission for a 2 week period in November. On completion of the houses the outstanding snagging work will be undertaken, lists have been prepared. Conference events and wedding bookings remain strong throughout the coming months. Christmas bookings are now mostly full with deposits due in November. Creditors remain well controlled with the Debtor ledger being increased with the rebilling of affiliates conferences to the GFTU. 2) Accommodation - Occupancy achieved over the month at 64% down 1% down against the forecast of 65% with an average room rate of £65 which was on forecast with the occupancy just under the forecast and the average room rate on line with the forecast due to the take up of packages and flexing of the rates in line with local competition. This resulted in revenues for accommodation being down by £2K the corporate market remained strong throughout the month we were hit by the extended school holiday period. We continue to attract new corporate companies due to the increased facilities and the increased parking. The demand for conference and events business remains high as we continue to build this market segment which now the new bed stock is open will ease our corporate market which has been difficult to accommodate midweek due to 24 hour conference packages. The continued introduction of special offers to reduce the level of flexing has had had a marked effect on the occupancy and has helped cash flow as they are