City Lodge hopes for some relief from Mboweni’s speech
Businesses spending less on hotels and conferencing just need the slightest sniff of confidence from Budget
Hotel group City Lodge (https://www.sharenet.co.za/v3/quickshare.php?scode=CLH), reeling from the effects of a weak economy that resulted in its profits falling two thirds in the six months to December, is hoping the budget speech will bring some relief.
CEO Andrew Widegger said weak consumer and business confidence continues to weigh on occupancy rates at its SA hotels.
“It’s really tough out there. Cost cutting is becoming common across companies and a part of that is spending less on hotels and conferencing. We had a hard first half of the financial year. But if we can get some kind of confidence from the budget then that can follow through into the second half,” he said. ..