Another year of losses for Trump’s Scottish golf courses

0

Despite early signs of profitability at its flagship Turnberry resort, the company lost a total of 3.4 million pounds in 2019.

Despite early signs of profitability at its flagship Turnberry resort, Donald Trump’s Scottish golf courses once again recorded substantial losses totaling £ 3.4 million. Financial statements from the parent company of Trump Turnberry, Golf Recreation Scotland, show that after putting more money into improving its facilities, the luxury hotel and golf resort in Ayrshire lost £ 2.3 million in 2019. Last week, Trump’s first Scottish golf course in Menie, north of Aberdeen, was reported to have lost another £ 1.1 million in 2019 and again needed loans of close to £ 1. The new Trump golf course is causing an outcry in Scotland. Continue reading Amid the headline losses, under Trump’s leadership, Turnberry announced its first net profit at £ 321,000 and for the first time started repaying unpaid loans from the U.S. president of £ 115 million. Although the company lowered its debt to Trump by almost £ 1.6 million in 2019, both companies’ overall debt owing to him stands at just under £ 158 million. Turnberry said 2019 was a boom year after he invested heavily in its two golf courses, spa and events sector.

Revenue increased by 6.4 percent to £ 19.7 million and the staff increased by 13 percent to 541 workers, many of whom were on temporary or seasonal contracts. Both businesses cautioned that in 2020, the coronavirus pandemic, which twice led to the forced closure of both resorts and a drop in foreign visitors, would have a significant effect on revenue and income. Despite Trump’s frequent support for Brexit in the run-up to the EU referendum in 2016, his son Eric, who runs both Scottish businesses, said Brexit will worsen their problems. At the beginning of Turnberry’s accounting, Eric Trump’s report said, “The severity of the impact on the golf, leisure and hospitality industries is unprecedented and at the outset of the pandemic was not predictable.” Auditors for both firms again say the Trump Organization ensures their long-term stability, which will face renewed and thorough scrutiny after Trump leaves the White House on January 20. U.S. authorities are investigating the finances of the Trump Organization and the tax obligations of Trump, with substantial loans from Deutsche Bank to Trump worth around $340 million (249 million pounds).

Share.

Leave A Reply