The Castle Group Inc. said it has taken over management of four hotels on Kauai and Molokai that had been run by the now-defunct Marc Resorts.

The Castle Group, through its subsidiary Castle Resorts & Hotels, assumed the management contracts for the Molokai Shores on Molokai, and the Pali Ke Kua, Puu Poa and Hale Moi Cottages in Princeville, Kauai, the company said in a news release.
The properties previously were managed by Marc Resorts, which abruptly ceased operations last week and laid off nearly 40 workers.
The Castle Group, based in Honolulu, also reported financial results for the first quarter. The downturn in tourism contributed to 33 percent drop in revenue to $4 million in the first quarter from the same period a year earlier, said Rick Wall, chairman, and chief executive officer. The company reported a net loss of $47,623, compared to net income of $99,658 a year earlier.