Source: Strategic acquisitions deliver strong performance for RTG – herald
Business Reporter
Leading hospitality group, Rainbow Tourism, recorded a robust growth in the financial year 2025, with revenue rising 13 percent to US$50,3 million from US$44,4 million recorded in the same period FY24.
The performance was driven by innovative strategies and the sustained strength of the group’s diversified hospitality portfolio.
RTG board chairperson Mr Douglas Hoto said that the group’s total assets increased by 28 percent to US$82,7 million, compared to US$64,5 million in the prior year.
“The group’s financial position remains strong, evidenced by a 28 percent increase in total assets to US$82,7 million, up from US$64,5 million in the prior year,” he said.
“This growth was driven primarily by the strategic acquisition of assets, namely Montclair Hotel and Casino in Nyanga, MSK House in Cape Town, South Africa and Batoka Safaris, a destination management entity based in Victoria Falls.”
The group recorded an occupancy rate of 57 percent during the period under review, a 6 percent increase from 54 percent recorded the prior year. “This increase is despite the temporary displacement of approximately 3 200 room nights due to planned refurbishments across key properties. Average Daily Rate (ADR) strengthened to US$109 from US$102, while Revenue per Available Room (RevPAR) increased 13 percent to US$62, reflecting improved demand across the Group’s portfolio,” he said.
Mr Hoto also noted that foreign currency revenue increased by 28 percent to US$24,1 million from US$18,9 million recorded in 2024, supported by continued growth in international tourist arrivals in Victoria Falls and an increase in regional conferences.
“Montclair Resort and Conference Hotel was incorporated into operations effective March 1, 2025. Batoka Safaris, a tour operating entity, was acquired and consolidated into the group’s revenue from June 1, 2025. Both entities contributed 8 percent of the total Group revenues.”
RTG chief executive Mr Tendai Madziwanyika said the group’s focus on renewable energy is a deliberate and strategic move to reduce the company’s carbon footprint as well as reduce operating costs.
“Our focus on renewable energy has been a deliberate and strategic effort to reduce our environmental footprint and enhance operational efficiency,” he said.
“The successful operation of the Kadoma solar plant, which generated nearly 270,984 kWh of clean energy this year, is a testament to our commitment to integrating sustainable practices into our core operations.”
“Additionally, our resource efficiency initiatives, such as low-flow water systems and smart energy management, are embedded in our refurbishment projects, driven by a focus on operational excellence and environmental responsibility.
“These efforts are part of our broader strategy to make sustainability a practical, operational reality across all our business units.”
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