City Lodge Hotels has released its annual results for the year ending June 30, 2025, posting a revenue of R2bn, up 3% from R1,9bn in 2024. Profit for the year was R213m, up 13% from R189m in 2024.
Adjusted EBITDAR was R589m, up 0,4% from R586m in 2024.
Depreciation for the year of R180,3m (2024: R171,3m) includes depreciation of capitalised leases. The 5% increase relates to capital expenditure incurred on refurbishments.
Group occupancy dropped two percentage points from 58% in 2024 to 56% this year. Dhanisha Nathoo, Group CFO, said geo-political uncertainty had dampened occupancy during the year.
The group’s hotels in the Western Cape, Free State and Gauteng experienced above-average growth in revenue, while KwaZulu-Natal remained subdued. The strategic focus for the year was the modernisation and refurbishment of eight hotels.
Total capital commitments of R296,6m have been authorised for the 2026 financial year. The funds will be applied to various projects, including the refurbishment of a further five hotels.
“The 2026 financial year has commenced positively, with occupancies for July 2025 and August 2025 each up four percentage points, to 60% and 59%, respectively. We are optimistic that these positive trends will continue,” said Andrew Widegger, CEO of City Lodge Hotels.
