Chobe Holdings hit hard by COVID-19

It is indeed true that Corona Virus Disease (COVID-19) pandemic has affected businesses worldwide, with Botswana not being an exception. Big businesses have not been greatly affected as Small, Micro and Medium Enterprises (SMMEs) have been, but Chobe Holdings has.

Chobe Holdings has recently published a cautionary announcement on Botswana Stock Exchange (BSE) indicating that the Company expects a profit before tax to be between sixty and sixty-five percent (60-65%) lower than that of the preceding financial year. The Company’s financial year ended 28 February 2021 and the Company is expecting profit before tax to be approximately between Two hundred and thirteen point two million pula (P 213.2 million) to Two hundred and nineteen, point nine million pula (P219.9 million) lower. In the preceding financial year, the Company recorded profit before tax which amounted to a profit of One hundred and Thirty-three, point three million pula (P 133.3 million).

The above statistics paints a picture of how bad COVID-19 impacted the economic landscape of the country in respect to tourism. Due to movement restrictions, in an effort to arrest the pandemic, tourism sector suffered the most as that meant there were few to no customers even after the lockdowns.

Established 30 years ago, Chobe Holdings Limited (Chobe) operates two (2) famous safari brands, Desert & Delta Safaris and Ker & Downey Botswana, as well as providing auxiliary safari services through its tour operator The Booking Company and integrated air charter operator Safari Air. Chobe also supports the diversification of northern Botswana’s rural economy through its shareholding in Chobe Farms and Chobe Bream.

“The Company will be publishing it’s summarized audited, consolidated, financial results of the Group for the year ended 28 February 2021 before 21 May 2021. This will include commentary on the drivers of the reduced performance. Accordingly, shareholders and investors are advised to exercise caution when dealing in the company’s securities until the results are published.” the announcement revealed.