Sun's International expansion barred in UK and Russia

Group revenue rose 17 percent to us$ 949.4 million and adjusted headline earnings a share were 33 percent higher than last year at us$ 0.98. The final dividend is us$ 0.29 a share, bringing the total for the year to us$ 0.55, 38 percent more than last year.

CEO David Coutts-Trotter said the economic outlook for South Africa remained positive in the year ahead despite the higher levels of inflation and interest rates. Admitting that these were "likely to temper growth in consumer spending", he said: "Real growth is nevertheless anticipated, as is continued growth in inbound tourism."

He believed the growth in international tourism that had continued in the winter months was not yet due to the plans to host the 2010 soccer World Cup, but more to an increasing interest in the variety of attractions South Africa had to offer.

There was also an increase in business travellers, including those attending conventions.

Gaming revenue improved by 18 percent to us$ 743 million, with revenue from slot machines rising by 20 percent and from tables by 8 percent.

This was due partly to a full year’s trading from the Windmill casino in Bloemfontein, the opening of Golden Valley in Worcester in November, and strong contributions from Sibaya in KwaZulu-Natal, which achieved revenue of us$ 94.1 million. The Meropa, Marula and Botswana casinos added to improved revenue.

Revenue from hotel rooms rose by 14 percent to us$ 106.7 million and from food, beverage and other services to guests by 11 percent to us$ 110.3 million. Coutts-Trotter said the rise was due to higher rates, increased occupancies and better yield management.

Overall group occupancy rose to 74 percent from 71 percent. The average room rate of us$ 108 was 7 percent ahead of last year, "mainly due to good growth in the international individual tourism market".

Sun City achieved an occupancy rate of 79 percent, compared with 75 percent last year, with an average room rate of us$ 144.2. The Table Bay Hotel in Cape Town achieved an occupancy rate of 72 percent, up from 70 percent. The average room rate of us$ 214.3, a gain of 11 percent. The largest proportion of guests from overseas were from the UK and US.

The GrandWest casino in Cape Town lifted revenue to us$ 220.1 million from us$ 192.6 million and operating profit to us$ 81.7 million from us$ 69.3 million, outstripping Sun City, which achieved revenue of us$ 145.7 million and operating profit of us$ 12.2 million.