City Lodge Hotels boosts profit despite occupancy dip, declares dividend

City Lodge Hotels Limited announced a 3% increase in revenue to R2.0 billion for the year ended June 30, 2025, with profit after tax rising by 12.9% to R213.0 million, and diluted earnings per share growing by 15.4% to 38.3 cents. This performance was achieved amidst a 2 percentage point decrease in group occupancy to 56%, offset by a 7% rise in average room rates. The company maintained a debt-free status and invested R282.9 million in capital expenditure, including eight hotel refurbishments and the addition of 54 rooms at CL Maputo.

The board declared a final dividend of 9.00 cents per ordinary share (gross) for 2025, maintaining the same payout as the previous year. Strategic initiatives included refinancing debt on more favorable terms and repurchasing R30 million of shares.

Additionally, andrew lapping will retire from the board and committees effective November 20, 2025. samara totaram has been appointed as an independent non-executive director and committee member, effective the same date, while deon huysamer joins the social and ethics committee.