Rainbow Tourism Group (RTG) is hopeful that the macro-economic environment will continue to heal and help unlock better prospects for business performance which is largely set to be driven by the group’s e-platforms.
The remarks come in response to the numerous measures put in place by authorities to rein in inflationary pressures which had reached alarmingly high levels in the year’s first half.
Presenting a trading update for the quarter ended September 30 2022, RTG company secretary, Tapiwa Mari hailed the impact of the reforms.
“The macro-economic environment during the quarter of the year improved significantly, with month on month inflation decelerating to 3,5% as at September 2022 owing to policy interventions which have led to stability in the foreign exchange market, making pricing of commodities and services easier.
“The operating environment is projected to remain stable for the remainder of the year,” he said.
He said group revenues grew to ZW$21,4 billion with Profit Before Tax reaching ZW$2,08 billion.
Revenues under the hotels segment continued to grow as economic activity returned to normalcy following a prolonged period of low activities due to the Covid19 pandemic with city hotels contributing the highest revenues.
“Increased economic activities have seen city hotels occupancies improve to pre-pandemic levels.
“Conferencing has remained a major revenue driver during the period under review. It is anticipated that the same trend will continue to year end,” said Mari.
He said resort hotels, which have been largely buoyed by local business over the past two years, have begun to attract foreign business with international tourism experiencing a rebound amid expectations of further improvement.
The group is also enjoying the dividends of its international marketing activities as evidenced by the increasing bookings from international tour operations.
Notably, the company’s technology subsidiary continues to witness growth in activities during the period under review with the highly successful hosting of a mega musical event in June themed “The Redefined Concert” becoming the main highlight during the period under review.
E-platforms, Gateway Stream and Heritage Expeditions Africa HExA are expected to drive revenue growth going forward. – Newzim