Umodzi Holdings posts K1.2bn quarterly profit as conference and events business drives growth
Umodzi Holdings Limited, the state-owned operator of Umodzi Park Resorts in Lilongwe, reported a profit after tax of K1.2 billion for the first quarter of the 2026/27 financial year, up 14.5 per cent from K1.0 billion in the same period a year earlier.
Unaudited results for the three months to 30 June 2026 showed total revenue rose 50 per cent to K8.1 billion from K5.4 billion, marginally ahead of budget, driven by strong contributions from meetings and conferences, room bookings and increased food and beverage activity.
Gross profit climbed roughly 40 per cent to K4.9 billion, while EBITDA rose 19 per cent to K2.2 billion.
Revenue across rooms, food and beverage, conferences and event hosting all posted year-on-year gains, which management attributed to a renewed push to expand engagement with corporate and government clients, alongside a series of high-profile events hosted at the venue during the quarter.
Operating costs rose 53 per cent, from K1.9 billion to K2.9 billion, largely reflecting the higher volume of business, while overheads increased 61 per cent, from K1.4 billion to K2.3 billion, driven by higher utility bills and maintenance expenditure aimed at improving the guest experience.
Under new chief executive Kamlepo Kalua, management said the results reflect the early impact of a broader repositioning strategy centred on operational discipline, staff development and consolidating Umodzi Park’s position as the country’s largest hotel and conference venue, and the only facility with the scale to host state functions and international conferences.
The strategy places particular emphasis on staff motivation, with Kalua’s leadership approach built around inclusion and an open-door policy that management says has strengthened engagement across the workforce.
“Our focus remains on consolidating these gains through continued investment in service quality, digital transformation and strengthening partnerships with both government and private sector clients,” Kalua said.
The quarter’s performance follows recognition on the continental stage, with the President Hotel named Best Leading Hotel in Malawi at the World Travel Awards in Zanzibar on 28 August 2026.
Looking ahead, management said it expects the operating environment to remain challenging, but expressed confidence that its diversified business model would support sustainable growth through the remainder of the 2026/27 financial year.
Umodzi Holdings owns the Umodzi Park Resort complex, comprising the Presidential Villas, the President Hotel — Malawi’s first five-star hotel — the Bingu wa Mutharika International Convention Centre, the largest facility of its kind in the country, and associated hospitality operations including the Bush Bar and outside catering services for meetings and events.
