Africa-Press – Zimbabwe. HOSPITALITY firm Rainbow Tourism Group (RTG) saw an increase of 18% in profit after tax to US$5,4 million in the full year ended December 31, 2024 driven by increased guest demand and foreign currency revenues.
The increase in profit after tax was from a 2024 comparative of US$4,6 million.
In a statement accompanying the group’s financial results, RTG board chairperson Douglas Hoto said the foreign currency revenues during the period grew by 15%, driven by the group’s ability to attract international business.
“A key highlight was the 15% growth in foreign currency revenues, rising from US$16,4 million to US$19 million, accentuating the group’s ability to attract international business,” he said.
Total revenues stood at US$44,4 million, representing a 2% increase from US$43,6 million posted in the same period prior year.
Occupancy rate in the period under review grew by 54%, reflecting a 4% increase from the 52% recorded in the previous year.
“This growth was driven by a strong performance in both accommodation and conferencing segments,” Hoto said.
“Notably, resort hotels experienced a robust rebound in 2024, surpassing pre–COVID-19 occupancy levels, while city hotels continued to strengthen despite the headwinds posed by various government policy interventions throughout the year.”
Earnings before interest, tax, depreciation, and amortisation (EBITDA) improved 52%, reaching US$9,7 million, compared to US$6,4 million in 2023, driven by a combination of cost-saving measures and increased revenues.
In the period under review, the company declared a dividend of US$2,5 million, with US$500 000 to be paid in foreign currency and US$1 million in local currency.
Meanwhile, the group is in its final stages of completing a transaction to acquire Montclair Hotel and Casino, which has been rebranded Montclair Resort and Conference.
“By integrating Montclair Hotel into our portfolio, we are well positioned to capitalise on the increasing demand for quality hospitality experiences, reinforcing our commitment to sustainable expansion and long term value creation,” Hoto said.
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