Revenues at the Travel Department collapsed by 95.6% to €1.9 million last year as a result of the Covid-19 pandemic.
New accounts filed by the Dublin company show that the group last year recorded a pre-tax loss of €3.3 million after enjoying a pre-tax profit of €3 million in 2019 - a negative swing of €6.3 million.
Revenues declined from €43.5 million to €1.9 million and according to the directors, they are satisfied that significant pent up demand exists and the group is in a position to resume operations as vaccination coverage extends, restrictions are eased and the economy recovers.
The travel firm's principal activity is escorted holidays.
The company paid out no dividend last year after paying out €3.12 million in dividends in 2019.
Last year, the firm recorded Irish revenues of €1.59 million compared to €36.2 million in 2019 while its UK revenues totalled €311,094 compared to €7.29 million in 2019.
In 2020, the travel firm received €581,773 in 'other operating income' which was made up of Government Covid-19 wage subsidy scheme payments.
Numbers employed reduced from 58 to 52 while pay to directors, including pension contributions, reduced from €135,015 to €99,928.
A note attached to the accounts states that the directors have worked continuously and put in place appropriate measures to combat the financial impact of the Covid-19 pandemic.
These include securing new equity and debt financing together with an interest payment holiday and loan covenant forbearance.
Measures also include negotiating with suppliers on settlement terms, refunds and to carry forward prepayments and commitments to future tours.
The directors have also reduced staffing levels and hours where possible and pay rates.
The note states that the directors have obtained approval for additional short term Covid-19 support in the form of the continuation of an interest holiday in 2021, continued forbearance in loan facilities and additional working capital facilities.
The note states that the directors are confident of the continued support of their shareholders if required.
The business’s cost of sales reduced from €33.9 million to €1.7 million while administrative expenses from €6.3 million to €4.2 million.
At the end of December last, the Travel Department had a shareholders’ deficit of €521,946. The company’s cash funds reduced from €3.88 million to €3.06 million.
