Afsun maintains focus on hotel refurbishments

AFRICAN Sun (Afsun) says it remains focused on its strategy to upscale the state of its properties through the ongoing various hotel refurbishment programmes.
The VFEX-listed hotelier recently completed refurbishments at Leopard Rock and also the first phase upgrades of the iconic Victoria Falls Hotel.
The refurbishments are in line with the group’s vision to be the leading provider of hospitality and leisure operations in Africa by providing outstanding hospitality experiences.
In a trading update for the first quarter ended March 31, 2023, company secretary Venon Musimbe said refurbishments at Hwange Safari Lodge were almost complete.
“The group anticipates to complete the US$4,2 million Hwange Safari Lodge 100 rooms refurbishment during the second quarter of the current year. Going forward, the group will continue to monitor and respond to the unique challenges and opportunities presented by the current operating environment,” Musimbe said.

For the first quarter, the group’s revenue, at US$7,9 million, was down two percentage points compared to the same period last year.
“The decline was largely due to depressed business volumes, with occupancy at 39 percent being three percentage points lower than the comparable period. Both of our hotel operating segments experienced declines in occupancy levels with city hotels posting a combined 51 percent (2022: 56 percent), whilst resort hotels achieved 23 percent (2022: 26 percent),” Musimbe said.
Despite the waning impact of Covid-19 and the concomitant announcement by the World Health Organisation that it was no longer a public health emergency of international concern, Musimbe said foreign business remains depressed at 20 percent whilst domestic guests’ anchors business performance well with a contribution of 80 percent.
The group successfully exited its investment in Dawn Property Consultancy (Private) Limited during the quarter under review In line with the strategy to exit non-core assets.
Also, the group delisted on the Zimbabwe Stock Exchange and migrated to the Victoria Falls Stock Exchange on April 14, 2023.
On the outlook, Musimbe said though concerns about the macroeconomic environment persist both locally and globally, there were promising prospects of a business upturn buoyed by the removal of Covid-19 restrictions.
newsdesk@fingaz.co