Southern Sun has attributed record earnings in 2024/5 to robust trading in Gauteng and the Western Cape, counteracting a dip in performance from its hotels in Durban and Maputo.
Releasing its financial results for the year ended March31, 2025, the group reported a 9 rise in total income and a 14 increase in earnings before interest, taxes, depreciation, amortisation and restructuring or rent costs Ebitdar to R2,2billion. Occupancies across the groups portfolio increased slightly by 2,2 to an average of 60,8.
Gauteng and Western Cape shineSouthern Sun CEO Marcel von Aulock said the refurbishment of Sandton Towers in Johannesburgs economic hub, completed in December 2024, was well received by the market. Upgrades to the Southern Sun Rosebank and Southern Sun Sandton additionally contributed to an overall 35 boost in Ebitdar for Gauteng to R491million.
The domestic and international corporate transient travel segments have recovered well with demand for conferencing and events bolstering hotels located in prime business hubs near OR Tambo International Airport or Sandton Convention Centre. By leveraging our relationships with sporting bodies, corporates and government, and with a refurbished restaurant and bedrooms, the Southern Sun Sandton has gained traction in the market and trading levels have significantly improved, said Von Aulock.
Refurbishment of the Southern Sun The Cullinan in Cape Town, completed in July 2024, together with a general rebound in leisure and business tourism demand, were key factors in driving a 26 growth in Ebitdar for the Western Cape to R1,1billion.