Blantyre Hotels Limited profit down 31%

post was last updated: May 10, 2019

By Sharon Chirwa:

Profit for Malawi Stock Exchange-listed Blantyre Hotels Limited (BHL) went down by 31 percent to K352 million in the year ending September 30 2018.

The company registered a K507 million profit in the previous year.

The drop in profitability was due to reduced revenue and increased costs.

BHL Chairperson, Vizenge Kumwenda, told delegates to the company’s annual general meeting, yesterday, that trading conditions in the hospitality industry were tough.

“The performance for the year ending 30 September 2018 was lower than the previous year,” Kumwenda said.

Total revenue for the company also went down by 1.7 percent, from K4.1 billion in 2017 to K4 billion in the year in review.

This was primarily due to lower occupancy in the year due to slow down in corporate travel.

Direct expenses increase from K1.71 million to K1.81 million, representing an increase of 6 percent.

Kumwenda said the increase was in line with inflation, which averaged 9 percent.

Going forward, Kumwenda said the business would remain resilient.

“We will intensify international and local leisure market campaigns. We will intensify international and local brand campaigns in addition to strengthening our Marriott loyalty programme in the market,” he said.

Let us know what you think of this update and remember to add us on our facebook and follow us on our twitter. Make sure to come back daily for more Malawi business news updates.

Quick Links: Malawi Banking News | Malawi Technology News | Download Business eBooks | Ten Signs You Are An Entrepreneur | What is a Managing Director?

Today’s top business story: Top Commercial Banks In Malawi

Source link