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Brainworks expects foreign visitor boost in second half

The hospitality to finance conglomerate has all of its businesses in Zimbabwe
picture of Victoria Falls
Numbers of international visitors to Victoria Falls are rising

Brainworks Limited (JSE:BWZ) reported an uptick in occupancy at its hotels in Zimbabwe, boosted by lower room rates and a pick up in international visitor numbers after an upgrade to the airport at Victoria Falls.

The hospitality-to-finance conglomerate has all of its businesses in Zimbabwe and overall reported a 23% rise in revenues to US$24.3mln in the six months to June.

READ: Brainworks Ltd lists in Johannesburg

Hotel occupancy increased to 45% from 37% with revenue per available room or RevPAR, the industry benchmark, rising by 14% to US$40.

Losses, though, rose to US$4.87mln from US$2.2mln due to US$3.3mln of one-off and other expenses as the company spent heavily ahead of its listing on the Johannesburg Stock Exchange (JSE) earlier this month.

Brainworks added will seek a secondary listing on the Zimbabwe Stock Exchange by the end of next year to follow associate Getbucks, which listed on that exchange in January last year.

READ: Brainworks rethinks finance plans after float shortfall

Traditionally, the group makes as loss in the period as the tourist season occurs in the second half and said the outlook was promising especially at the Victoria Falls-based hotels where foreign arrivals are rising following the improvements to the International Airport.

A maiden residential project of 58 units will also start to be sold.


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October 16 2017

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