Firmdale: Record year for luxury London and New York hotel group amid expansion plans
Turnover at the group behind luxury hotels in London and New York edged to almost £200m during its latest financial year, it has been revealed.
Firmdale Hotels, which was founded by Tim and Kit Kemp, has reported a turnover of £198.1m for the year to January 31, 2024, according to newly-filed accounts with Companies House.
It comes after the group, Firmdale Holdings, posted a turnover of £192.5m for its prior 12 months.
However, the group’s pre-tax loss widen in the year from £2.4m to £2.8m.
The group’s London hotels include the Covent Garden Hotel, the Charlotte Street Hotel, the Soho Hotel, the Haymarket Hotel, the Ham Yard Hotel, Number 16 Hotel, the Dorset Square Hotel and the Knightsbridge Hotel.
In New York it owns and operates the Crosby Street Hotel and the Whitby Hotel. The group opened a third hotel in February 2024 close to the World Trade Centre.
The group generated a turnover of £133.9m from the sale of rooms and apartments, up from £129.6m while its food and beverage turnover increased from £56.2m to £58.4m.
Its UK turnover rose from £120.9m to £125.3m and its turnover in the rest of the world edged up from £71.6 to £72.7m.
During the year the average number of people employed by the group grew from 1,558 to 1,656.
Record year for Firmdale Hotels
A statement signed off by the board said: “The UK economy in 2023/24 was characterised by stagnant growth with significant rises in the cost of living putting pressure on disposable incomes and corporate budgets alike.
“Continuing high interest rates provided a further drag on activity.
“However, international visitor numbers and spend continue to rise and hospitality remains one of the UL’s fastest growing sectors.
“Against this background, total combined 2023/24 revenues for the eight London hotels were a new record.”
The group added: “In both London and New York the extended strikes by both writers and actors significantly curtailed new product promotional activity by the entertainment industry.
“This normally provides a steady flow of high value business and is expected to reach ver substantially during 2024.”
The combined average room rate across its London hotels was £562, down slightly from £568 in 2022.
The combine average occupant across its hotels in the capital was 75 per cent, up from 72 per cent.
In New York, the Crosby Street Hotel and the Whitby Hotel delivered average room rates of $1,423 and $1,306 respectively. However, the total combined room revenue fell by 1.4 per cent.
Food and beverage revenue in London increased by 3.9 per cent in the year while it rose by 7.4 per cent in New York.
The group said it is “actively seeking further development opportunities” in London.
In April 2022, it acquired a long leasehold interest in three building in the Bloomsbury area and plans for converting them into a hotel as part of the Firmdale Town House collection are “well advanced”.