- Occupancy rate was 21% compared to 41% in prior year
- Group revenue was 20% lower
- All hotels and lodges were closed effective 31 March 2020 in response to COVID-19 measures
Harare – As a result of the global coronavirus (COVID-19) pandemic, the hotel market has already taken a huge hit as governments responded by enforcing national lockdown as part of efforts to contain the spread of the virus.
Dawn Properties Limited, reported that for the six months ended 30 June 2020, the average Hotel occupancy rate for its hotel assets was 21% in comparison to 41% occupancy rate achieved over the same period in the prior year.
This in turn resulted in a hotel revenue decline of 39% to ZWL31.7 million compared to the same period last year. Group revenue for the half year ended 30 June 2020 at ZWL58.9 million, was 20% lower than revenue earned during the same period in the prior year.
Dawn’s property and timeshare portfolio include Caribbea Bay Sun Hotel, Monomotapa Hotel, Elephant Hills Resort and Conference Centre, Great Zimbabwe Hotel, Holiday Inn Mutare Hotel and Hwange Safari Lodge.
In a statement accompanying the financials for the half year period, Board Chairperson, Graham Johnson said following the lockdown announcement by the Government of Zimbabwe on 30 March 2020, all hotels and lodges were closed effective 31 March 2020 and remained closed for the month of April 2020.
“Subsequent to the relaxation of lockdown requirements, two hotels were reopened in the month of May 2020 namely Holiday Inn Mutare and Great Zimbabwe hotels.
“Blue Swallow timeshare lodges were reopened in June 2020 while the Troutbeck Inn Resort and the King Fisher Cabanas timeshare lodges were only reopened in July 2020,” Mr Johnson said.
He further highlighted that the Elephant Hills Resort and the Monomotapa Hotel, which traditionally contribute more than 60% to total revenue remained closed through the three months ending 30th June 2020.
“5% of the hotel revenue was attributable to timeshares in comparison to 3.8% in the prior year,” he said.
Meanwhile, the Group’s Property Consultancy segment revenue registered a marginal decline of 3% from prior year to ZWL21.0 million.
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