- “Global instability remains a material threat to future business”
- But “strong” forward bookings go into subsequent years
- Taken over marketing for Grays Eden and King Lewanika Lodge
TLOTLO KEBINAKGABO
Chobe Holdings Limited achieved a 17 percent revenue increase and a 4 percent rise in profit before tax for the six months ending 31 August 2024, signalling recovery and growth in a sector that has faced global instability and pandemic-related disruptions.
The solid financial results have led the CEO of what is one of the leading players in Botswana’s tourism sector,
John Gibson, to express optimism about the company’s performance and outlook.
“Forward bookings remain strong across Chobe Holdings, both for the remainder of the financial year and into subsequent years,” he said in the financial report.
Resurgence
Gibson noted that while short-lead bookings – common during the pandemic – persist, they now supplement the resurgence of the company’s traditional long-lead bookings.
“Chobe’s competitive pricing and excellent infrastructure are well supported by an increasingly powerful marketing effort and our Maun-based headquarters,” he said.
“Having focused on building a firm base since the pandemic, Chobe is well-positioned to continue growing tourism both within Botswana and regionally.”
Opportunities
The company acknowledged the ongoing risks posed by global instability but emphasised its readiness to adapt.
“Global instability remains a material threat to future business,” Gibson said.
“However, we continue to see strong demand for our products across traditional source markets as well as emerging ones.
“As we broaden our markets, we build on the resilience that our strong balance sheet provides to take advantage of opportunities.”
Safari Air
But despite the positive financial outcomes, Chobe saw a 1 percent decrease in bed nights sold, largely due to the temporary closure of the Savute Safari Lodge for rebuilding during the first quarter.
Operating expenses also rose, attributed to salary enhancements and higher costs for Safari Air, which faced engine supply constraints that grounded part of its fleet.
“These constraints eased significantly after the reporting period,” Gibson noted.
Chobe Holdings continues to expand its offerings, capitalising on increased occupancies.
Iconic Xugana Island Lodge
Desert & Delta Safaris has begun rebuilding the iconic Xugana Island Lodge while Ker & Downey Botswana is developing the Maxa Camp in the northern Okavango Delta.
The Group has also assumed marketing and management responsibilities for Grays Eden in Maun and King Lewanika Lodge in Zambia’s Liuwa Plain National Park.
Additionally, Safari Air has bolstered its fleet and now operates five GA-8 Airvans, one C208 Caravan, and six C208B Grand Caravans.
“Safari Air’s expanded fleet ensures we can meet growing demand and enhance our operations,” Gibson said.
Local communities
Chobe Holdings is equally focused on its workforce and local communities. The company has invested in new staff accommodations and a comprehensive employment package.
Its community initiatives have been consolidated under Chobe Impact, a programme that supports education, empowerment, research, and conservation efforts.
“This has been a solid first half for the group,” said Gibson. “Our strategy of reinvestment in infrastructure, people, and communities positions us strongly for sustainable growth.”