HARARE – Zimbabwe Stock Exchange listed hospitality giant, Rainbow Tourism Group (RTG), has announced a 2% increase in revenue for the first quarter ended March 31, 2025, reaching US$8.7 million, up from US$8.5 million in the same period last year.
According to the group company secretary Tapiwa Mari, growth was primarily driven by an uptick in conference volumes, particularly at its city hotels, according to a trading update released by the company.
The modest revenue growth was achieved despite significant refurbishment activities at three of its properties, the New Ambassador Hotel, A’Zambezi River Lodge, and Victoria Falls Rainbow Hotel.
These renovations, which collectively saw an investment of US$1 million, included comprehensive room refurbishments, furniture replacement, and bathroom upgrades.
The New Ambassador Hotel’s guest rooms underwent a full overhaul, while the Victoria Falls Rainbow Hotel completed the remaining 50% of its room refurbishments, finalising its full hotel upgrade.
A’Zambezi River Lodge also saw its guest rooms refreshed with updated furnishings and amenities.
Hotel occupancies for the quarter remained stable at 48%, mirroring the prior year’s performance.
The operating environment in Zimbabwe during Q1 2025 was characterised by the relative stability of the Zimbabwe Gold (ZiG) currency, which debuted in 2024.
The company noted that inflationary pressures eased, with monthly inflation falling below 1%, a trend attributed to tight monetary policy and improved fiscal discipline.
Heritage Expeditions Africa (HEXA), RTG’s tour operations subsidiary, continued its positive trajectory, reporting a 20% increase in revenues and activities.
This growth was driven by rising demand for tours within Zimbabwe, a momentum the group expects to sustain throughout the remainder of the year.
Looking ahead, RTG expressed optimism for its performance in 2025. The group said it anticipated benefiting from the ongoing recovery and growth of leisure tourism in the Victoria Falls market, as well as the expansion of conferencing activity in urban centers.
RTG’s portfolio recently expanded with the acquisition of Montclair Resort and Conference in the Eastern Highlands.
“The Group is strategically positioned to benefit from the continued recovery and growth of leisure tourism in the Victoria Falls market, as well as the expansion of conferencing activity in urban centres.
“The Group’s portfolio has recently expanded with the acquisition of Montclair Resort & Conference in the Eastern Highlands.
“Looking ahead, the Group remains optimistic about its performance for the year 2025. This positive outlook is underpinned by a diversified hospitality offering and ongoing domestic and regional expansion initiatives in line with the Group’s strategic thrust,” Mari stated.
