Iberostar Group reported a loss before taxes of 63 million euros during fiscal year 2021, representing a decrease of 78.5% compared to 2020, while it achieved a profit of 140 million euros in fiscal year 2019, its 2021 sustainability according to the report.
Specifically, if the payment of €6.9 million in tax obligations is added to €63 million, the total loss in 2021 for the company exceeds €70 million.
Notably, in Spain the group lost 21.4 million euros, a third of the total loss before taxes, well below -152 million euros for the 2020 fiscal year. In 2019, Iberostar Group reached a profit of 43.8 million euros in Spain.
There were only two countries with positive results and they were Brazil, which has three hotels after a profit of 9.9 million, and the Netherlands, which received one million euros in gross profit.
In addition, during 2021, Iberostar Group’s Spanish companies benefited from assistance to cope with the economic and social impact of COVID-19.
Thus, the exemption from Social Security payments stood at 13.92 million euros in 2021, the year the group’s Spanish companies took advantage of various aids to cope with the impact of the coronavirus pandemic.
Last year, direct assistance to the self-employed and companies paying suppliers increased to EUR 1.8 million and subsidies to cover the cost of real estate tax amounting to EUR 1.18 million.
According to Miguel Fluxa, president of Iberostar Group, tourism experienced a year of transition in 2021. “After the first half of the year, there was a clear turning point in the middle of the year: advances in vaccination and the easing of mobility restrictions bolstered confidence and re-energized demand that had contracted for months,” he said.
Furthermore, Fluxa highlighted that the best news of 2021 for the group “without a doubt” was the reopening of its hotels and the recovery of a good portion of suspended employment.
At the end of last year, the company assumed a payment of €227,000 in income tax in Spain, while overall the group paid €6.91 million last year for this rate in all markets in which it operates.
bet on decarbonization
According to its Sustainability Report, Iberostar Group created a global energy reduction plan and an energy savings program in 2021 to achieve efficiency and decarbonization objectives while promoting the use of energy from renewable sources.
In addition, the group promotes the responsible use of resources in all of its hotels around the world and cuts atmospheric emissions derived from its activity, along with other environmental measures.
In social matters, the group has carried out 328 activities in Brazil, Mexico, the Dominican Republic and Jamaica involving the promotion of local community equality and inclusion.
It also consolidated the program ‘How we care’Over 300 measures have been implemented in hotels to promote their health, safety and well-being; and reinforcement of health and occupational risk prevention measures. Also, it provided 180,000 hours of training in 2021 for its 30,000 employees. Last year, 41% of the group’s workforce was women.