HARARE – Meikles Limited, a diversified Zimbabwean conglomerate, has reported vital income and revenue progress regardless of a fancy and difficult financial atmosphere in Zimbabwe.
In its buying and selling replace for the third quarter ended November 30, 2024, the corporate reported that efficiency was notably impacted by the Reserve Bank of Zimbabwe’s (RBZ) 44% devaluation of the Zimbabwean greenback (ZWG) in September 2024, which contributed to inflationary will increase in each income and income.
Meikles’ grocery store division skilled an 8% improve in gross sales quantity for the quarter and a 2% improve for the nine-month interval. Management attributed this progress to a concentrate on sustaining inventory availability throughout all shops.
The proportion of income collected in US {dollars} remained secure at 19% for the quarter, whereas growing to 21% for the nine-month interval, up from 17% within the earlier yr.
The firm’s hospitality phase additionally confirmed constructive outcomes, with room occupancy rising to 44% for the quarter, up from 42% in the identical interval final yr. Occupancy for the 9 months additionally reached 44%, in comparison with 41% within the earlier yr.
The common room fee and income per accessible room elevated by 2% and 9%, respectively, over the nine-month interval.
Overall, Meikles reported a 54% improve in group income for the quarter, pushed by the alternate fee adjustment and quantity progress throughout all segments.
For the nine-month interval, group income grew by 7%, marking a restoration from the 20% decline recorded within the first half of the yr.
Profit after tax for the quarter reached ZWG 73.4 million, a major turnaround from the ZWG 4.5 million loss recorded in the identical interval final yr.
For the 9 months, revenue after tax elevated by 87% to ZWG 67.9 million, reversing the ZWG 5.6 million revenue recorded within the first six months.
The firm emphasised that each one working subsidiaries generated constructive money flows through the interval, and its monetary stability stays robust, supported by US greenback money reserves in its offshore subsidiary.
Despite the continued financial challenges, Meikles stays optimistic about its future prospects.
The firm expressed confidence in its capacity to adapt to the evolving working atmosphere and confirmed that its capital expenditure plans are continuing as scheduled, supported by satisfactory monetary sources.
“Despite the challenges of the evolving operating environment, the Group is optimistic about its prospects,” acknowledged Thabani Mpofu, Company Secretary, within the buying and selling replace.
“We are confident of the Group’s ability to adapt to the evolving operating environment. The capital expenditure plans for the year continue to be implemented, as the Group has adequate financial resources.”
