Apex Hotels said the impact of Covid-19 had been “substantial” but it expects a strong recovery.
The group has 10 premises, including its 151-bedroom hotel at City Quay in Dundee.
Newly filed accounts for the year ending April 2020 show the pandemic’s impact on profits and sales.
Revenue was down 9% from £75.5 million to £68.7m. Pre-tax profit was £7m, down from £12.4m in 2019.
The firm said it saw a steep decline in international travel from January 2020. Its portfolio then closed in the first lockdown on March 20.
Chief executive Angela Vickers said the company was in an excellent position to grow revenue now hospitality has reopened.
She said the company had performed strong prior to the disruption. Revenue growth of 3.4% achieved in the first nine months to January 2020 compared with the previous year.
The hotel boss also highlighted a £1.5m investment into the Dundee hotel.
She said: “We have made substantial ongoing investment in our portfolio and this has paid dividends.
“In the last financial year alone, we invested £6.7m in the hotels.
“This included £1.5m on bedroom refurbishment at London Wall, the £1.5m refurbishment of public areas and spa at City Quay in Dundee and the £2.2m acquisition of our new Edinburgh headquarters.”
The Dundee hotel’s refurbishment programme included an overhaul of its public spaces including reception and conference areas.
The hotel’s Metro Bar & Brasserie was also upgraded.
This followed a £2.4m bedroom refurbishment, which saw all bedrooms and suites at the four-star quayside hotel upgraded.
Hotels have ‘never looked better’
The chief executive said the Edinburgh-headquartered group had “come back ready to thrive”.
“There’s no denying the impact of the pandemic, from the initial significant drop in international travel through to the government-imposed lockdown restrictions, has been substantial. Not just for Apex but the whole hospitality industry,” she added.
“However, we have used this period of closure to re-evaluate, invest in new technology, and come back ready to thrive.
“Our ongoing refurbishment programme means our portfolio has never looked better.
“Our Apex Assured promise continues to provide customers with the highest levels of confidence and reassurance, with our enhanced cleaning standards and safety, as well as flexibility and value.”