RAINBOW Tourism Group (RTG) is accelerating investments in hotel refurbishments as the hospitality concern seeks to unlock higher room rates, boost occupancy levels and strengthen revenue growth.
The push comes as the group reported a 32% jump in first-quarter revenue to US$11,4 million, underlining the benefits of rising tourism activity and improved performance across its hotel and tour operations portfolio.
RTG is currently undertaking a US$2 million refurbishment of Montclair Resort & Conference Hotel in Nyanga.
The refurbishment, which commenced on June 1 and is scheduled for completion by July 31, is expected to position the property to capture a larger share of the leisure and conferencing markets in Zimbabwe’s Eastern Highlands.
The project supports the group’s strategy to drive future revenue growth through upgraded hospitality offerings.
The first phase of the refurbishment covers the Northern Block and Western Block A, comprising 49 rooms, and is expected to be completed by June 30.
The second phase covers the Southern Block and Western Block B, comprising 56 rooms and is scheduled for completion by July 31.
“Upon completion, the group expects the property to be firmly positioned as the premier hospitality destination in the Eastern Highlands,” RTG said.
The Montclair project follows the completion of refurbishment works at the A’Zambezi River Lodge in Victoria Falls, highlighting the group’s broader strategy of investing in its hospitality assets to enhance competitiveness and improve customer experience.
“In line with the commitment to delivering world-class hospitality facilities, the group refurbished the remaining 44 rooms at A’Zambezi River Lodge during the period,” RTG said in its trading update for the first quarter ended March 31, 2026.
“The works included upgrades to room interiors, aesthetic enhancements and rethatching.”
The investment drive comes as RTG continues to record improved operating performance across its portfolio.
Zimbabwe’s largest hospitality group delivered a strong operational performance during the quarter.
“Occupancy closed at 51%, representing a 6% increase compared to the prior year. Group revenues grew by 32% to US$11,4 million, up from US$8,7 million recorded during the same period in 2025,” RTG said.
The group said the growth was driven by increased food and beverage activity across its city hotels, as well as continued strong business growth at its resort hotels.
Foreign currency revenues rose 21%, supported by the resort hotels, which recorded 40% revenue growth during the period.
RTG’s tour operations subsidiary, Heritage Expeditions Africa, successfully completed the integration of Batoka Safaris, which was acquired in July 2025.
As a result, the subsidiary’s revenues increased by 36%.
“The group anticipates sustained growth in demand for its services during the year, supported by the continued recovery of international tourism in Victoria Falls and growth in the conferencing business,” RTG said.
“The group is also expected to achieve improved operating margins following the successful implementation of cost-reduction measures and innovative initiatives aimed at driving business growth and operational efficiency.”
RTG said it remained optimistic about its performance in the 2026 financial year.
“This positive outlook is underpinned by the group’s diversified hospitality portfolio, ongoing product enhancement initiatives and continued focus on innovation aimed at strengthening customer experience and driving sustainable growth,” RTG said.-newsday
