By Kingsley Jassi:
Hospitality industry continues it’s growth path as major hospitality companies posts substantial profit growths in the year.
The country’s largest hotel chain, Sunbird Hotels Limited announced it is expected to make a profit of between K13 billion and K15.1 billion during the year.
“This represents an increase of between 23 and 43 percent from a previous corresponding period that ended on 31st December 2024 when the company made a profit after tax of K10.6 billion,” the company’s trading statement reads.
On the other hand, Blantyre Hotels Limited has turned around its loss making treak and expects to rake in between K5.57 billion and K5.84 billion profit this year.
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The profit comes following a loss the company made last year, amounting to K1.7 billion which represents a growth in profitability of between 507 percent and 526 percent, according to the trading statement.
BHL has struggled to pull out profits in recent years until now and this was attributed to its ongoing project of construction of a high end hotel outfit at Lilongwe Golf Club.
The company had raised over K62 billion from the Capital market to complete financing of the project that is expected to boost the hospitality profile in the capital city.
Meanwhile, the government owned Umodzi Holdings Limited (UHL) also registered a profit after tax of K3.41 billion in its financial year that ended in March 31, 2025, a significant increase compared to the profit of K1.87 billion recorded in 2023/24.
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This strong performance reflects a sustained recovery in the hospitality and tourism sector and improved operational efficiency across the business units,” a report on State Owned Enterprises (SOEs) performance reads.
It further said the company’s improved performance was largely driven by the growth in tourism-related activities, particularly the increased number of meetings, incentives, conferences, and events (MICE) hosted at the Bingu International Convention Centre (BICC) and the Presidential Hotel.
The sector is projected to grow by 4.9 percent, a higher growth rate from 3.6 percent it registered in 2024 as authorities target its contribution to the economy to reach 11 percent by 2030 from the current 6.7 percent.
