Malawi Stock Exchange-listed Sunbird Hotels and Resorts has registered the first profit in the year ended December 31 2021 after years of loss-making due to the Covid pandemic.
According to figures presented to shareholders during the 34th Annual General Meeting in Blantyre on Friday, the company has posted a profit of K749.4 million in the year under review from a loss of K1.2 billion in 2020.
The group’s board chairperson Vilipo Munthali said the turnaround in 2021 was on account of easing Covid restriction by different countries which boosted the hospitality and tourism sector.
Munthali was optimistic that firm will maintain the trajectory amid fears of a resurface of the pandemic, coupled with other economic challenges facing the country and compounded by global challenges.
“We now understand the terrain which we are operating in. Therefore, even though the pandemic is not gone and there are different variances that are coming, we have learnt how to manage the situations better,” he said.
However, the firm did not declare any dividends for shareholders in a development rated as ideal to strategies that should uplift the company further.
One of the shareholders Joe Mayere said was impressed with the performance of the group’s performance.
“If we look at the past years, the company has been posting loses but now it is rising back to profit making position; therefore, we did not expect dividends immediately because there are other things that need to be taken of,” he said.
Sunbird Hotels and Resorts have hotels and resorts in all major regions of the country.
Justin Mkweu is a fast growing reporter who currently works with Times Group on the business desk.
He is however flexible as he also writes about current affairs and national issues.