Cavanaughs Trims Quarterly Loss
Cavanaughs Hospitality Corp., Spokane’s newest publicly held company, Tuesday reported a first-quarter net loss of $87,143 on revenues of $14.63 million.
The loss for the first quarter ended March 31 is an improvement over the same quarter a year earlier when the hotel and entertainment company reported a loss of $345,186 on income of $10.53 million.
“These results beat our expectations for the quarter,” Don Barbieri, company chairman, president and chief executive officer, said in a release. “The first quarter of our fiscal year is our lowest revenue quarter of the year and we are extremely pleased … to grow both the sales and bottom line earnings during this period,” Barbieri said.
The results are based on a not-yet-audited summary of income.
In 1998’s first quarter, the company paid $7.06 million in direct expenses, some of which went to run the hotels and restaurants and the rest to entertainment, rental and management services. The amount is up from $5 million a year ago.
In reporting its earnings, the company also announced the opening of Cavanaughs Hillsboro Hotel in Portland. The new hotel joins Cavanaughs on the Falls in Idaho Falls, Cavanaughs Templin’s Resort in Post Falls, The Outlaw Inn and Convention Center in Kalispell, Mont., and The Ridpath, A Cavanaughs Hotel in Spokane, as 1998 additions to the chain.
Hotel room sales increased 56.8 percent to $6.9 million in the first quarter from $4.4 million a year ago. The hotel chain’s revenue per available room climbed 17.2 percent to $34.42 from $29.37.
Cavanaughs has 2,712 full-service hotel rooms in 13 hotels, 31 restaurants and lounges, and 134,500 square feet of meeting space, all in the Northwest. The company operates a ticket company and a special event presentation company. It also manages 3.1 million square feet of property and owns 590,000 square feet of office and retail space.
Cavanaughs, formerly Goodale & Barbieri Cos., began trading on the New York Stock Exchange April 3. It closed its sale of 5,951,250 shares on April 8 and netted $83 million.
The stock, traded as CVH, closed Tuesday at $16.37, up 21 cents.