The Sunday Mail
Online Reporter
The country’s largest hospitality player, Rainbow Tourism Group (RTG), reported that its inflation-adjusted revenues grew by 17 percent to $2,8 billion in the year ended December 31, 2021 compared to the same period a year ago.
The performance was notwithstanding the coronavirus-induced lockdowns.
Tourism has borne most of the brunt of reduced global travel due to the global health crisis.
According to RTG’s chairperson Mr Arthur Manase the “impressive performance” was driven by the hospitality core business, technological innovation through the Gateway Stream platform and the tour operations arm Heritage Expeditions Africa (HExA).
“The 17 percent revenue growth was positive when read together with the (UNWTO) United Nations World Tourism Organisation’s 2021 report that global and Africa tourism increased by 4 percent and 12 percent, respectively, over the prior year,” said Mr Manase.
UNWTO believes domestic tourism will lead the global tourism recovery.
“This is in line with the group’s drive to dominate domestic tourism development through its owned and partner hotels together with the tour operation arm: Heritage Expeditions Africa (HExA). In addition, the group will use the domestic market as a launchpad to drive Gateway Stream revenues from regional and international markets through a strategic activation of regional rooms and retail products on the online platforms,” added Mr Manase.
Occupancies
Despite losing five months due to the lockdown, occupancy grew by 29 percent to 31 percent from 24 percent.
Arrivals over the review period similarly rose by 25 percent driven by domestic tourism visitors from Africa and Asia.
While city hotels, which constitute 67 percent of the hospitality group’s hotels’ portfolio, were the key contributor to the growth, resort hotels, which have a traditional revenue mix of 85 percent foreign and 15 percent domestic business, remained subdued.
Overall, the revenue per available room (RevPar) – representing the revenue generated per available room – grew by 26 percent compared to 2020.
Sprucing Up
RTG also continues to invest in its facilities.
In 2020, guest rooms and two guest elevators were upgraded at Rainbow Towers, while the third elevator was commissioned on March 30, 2022.
Outstanding works such as the refurbishment of suites which were stalled by Covid-19 lockdowns have since resumed and are expected to be completed during the second half of the year.
The group is also in the process of sprucing up New Ambassador Hotel by refurbishing rooms and public areas.
The installation of a brand-new guest elevator commenced in January 2022 and is now complete.
It is believed this is the first time since construction that the hotel replaced its elevator.
“The rooms refurbishment works will commence in the second half of the year to complete the facelift of the hotel and firmly position it as a city centre boutique business hotel,” said RTG.
Further, structural works of certain blocks of the Kadoma Hotel and Conference Centre are underway, focusing on the replacement of the entire roofing and accompanying aspects such as ceilings modernisation, and freshening of the affected rooms.
The company has since declared a final dividend of ZW$0,03 per share.
