The Namibia Wildlife Resorts (NWR) is forecasting a breakeven position for the 2023/24 financial year, as it seeks to redeem itself from a history of losses.
Nelson Ashipala, the company’s spokesperson, told The Brief that the 2022/23 financial year has promising figures, thus NWR is certain of reaping profits as of 2024.
“We are coping well and about to announce our latest 2022 financial report, of which I will not divulge now. The most important thing is for us to come off the deficit we endured before, we have been making promises of a break-even, and I think we are on the right trajectory. Therefore, if we sail in this manner, next year we shall definitely start racking in profits, and I can assure you of that,” Ashipala said.
For the 2021/22 financial year, NWR reported that it was able to reduce its losses from N$174 million recorded in 2020 to N$97 million, which reflected a 44% decline.
The somewhat achievement at the time was attributed to NWR’s drive of offering voluntary retrenchment packages, as well as a 25% pay cut to the management.
To a certain extent, installation of a live streaming video camera at a water hole at Okaukuejo, Etosha, including diversified client packages to entice visitors contributed.
“Coming out with bruises from Covid-19, a restructuring process was imminent, and we are happy to say it went well, as many employees received their dues. We can boast that no infighting from staff members, it was done in good faith. The trimming was from around 800 to 600 employees, of which now requires us to relook at our business plan,” stated Ashipala, when asked on whether the voluntary separation exercise was still ongoing.
Speaking of relooking at the business plan, Ashipala said, the company will also look at expanding its horizon, and whether it can infiltrate towns/cities when compared to its competitors who are now offering top-class lodging services in townships.
“Currently there are no plans of expansion, but we might have a master plan coming up to re-evaluate our business strategies, and this is a common industry experience as you benchmark ourselves against competitors,” he added.
In terms of occupancy, he said, NWR creates a balance between locals and international tourists, saying there is always a fair and balanced number.
NWR is often inundated with complaints of poor service and dilapidated infrastructures. In an effort to improve the standards, Ashipala said, the hospitality entity had budgeted N$16 million towards refurbishments, a process that is still ongoing.
“Renovation is going well, Onkoshi has been completed, while Waterberg is under renovation. I should however state that all establishments are viable and are segmented based on the type of activities and services offered, as well as the number of tourists visiting such resorts. So, no resort is not serving its economical purpose,” stressed Ashipala.
NWR runs about 20 resorts and campsites nationwide.
