City Lodge’s earnings a share for the six months to December would be higher than expected, the listed hotel group said in a trading update released yesterday.
According to the trading update, which follows one on December 12, headline and basic earnings a share, including the effects of a black economic empowerment (BEE) deal, were expected to be between 60 percent and 65 percent higher than the previous year.
Normalised headline earnings a share, which excluded the costs and effects of the BEE deal, were anticipated to be between 27 percent and 32 percent higher than the previous year.
The group has invested heavily in increasing the number of rooms throughout South Africa during the past three years and has spread outside this country for the first time, into Kenya and Botswana.
City Lodge shares rose 1.43 percent to R109.54 yesterday. – Audrey D’Angelo