Sunbird declares first post pandemic dividend – Capital Radio Malawi
22 June, 2024

Sunbird declares first post pandemic dividend

Hospitality conglomerate Sunbird Tourism Plc has declared a dividend for the first time since Covid-19 pandemic following significant recovery experienced in 2022.

A total dividend of 524 million kwacha representing 2 kwacha per share has been proposed after the business posted 3.1billion kwacha net profit –according to its financial results.

The profit grew 307% from 749 million kwacha in 2021 –mainly driven by improved revenue as a result of the business rebound, intensified marketing and strong cost containment.

“During the year, the company declared and paid an interim dividend of K131million and proposed a final dividend for the year of K393million thus making a total dividend of K524million (2021: Nil), representing K2 per share,” reads the financial statements.

The statements, co-signed by Vilipo Munthali and Maureen Mbeye for Chairperson and Director respectively said the Lakeshore ban for meetings and conferences posed a risk to the growth and performance of the industry.

“Notwithstanding this risk, a positive trajectory in the overall increase of travel was maintained, leading to increased demand for hospitality services.

“According to United Nations World Tourism Organisation (UNWTO), more than 900 million tourists travelled internationally in 2022 doubling the number recorded in 2021 and Africa recovered about 65% of its pre-pandemic visitors,” reads the report.

Looking forward the board believes the UNWTO projection of seeing global hotel room nights and travel returning to pre-pandemic levels in 2024 will guarantee its recovery and return the hotels’ occupancies at least 60% of pre-pandemic levels.

Meanwhile, an investment analyst Kondwani Makwakwa is describing the company’s performance as satisfactory to investors who are benefiting from rising share value apart from the declared dividends.

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