Harare – Listed diversified media group Zimbabwe Newspapers (1990) Limited reported stronger revenue performance and beat profit targets for the five months period to May 2019 largely driven by the digital and publishing division.
The performance comes at a time when the company has expressed a strong intend towards benchmarking their business model on digital media which is in line with global trends registering a significant migration towards digital media.
In a trading update at the Group’s annual general meeting held in the capital on Thursday, Chief Executive Pikirayi Deketete said revenue in the period under review came in at $25.3 million against budgeted top line of $18.8 million.
The Digital and Publishing division contributed 66 percent of total revenue at $16.703 percent, while commercial printing division and radio contributed 21 percent, and 11 percent respectively.
Likewise, profit came in at $1.320 million ahead set budget of $1.151 million.
Looking at divisional performance, Mr Dekete said revenue for the commercial printing division grew by 82 percent ahead of prior year, broadcast revenue grew 50 percent and newspapers division’s revenue registered a 45 percent growth over the same period last year.
During the period under review, the Group spend $1.057 million on capital projects largely on plant and equipment upgrades, buildings, furniture and fittings, motor vehicles and computers.
Mr Dekete expressed optimism over future prospects largely pinned on the Group’s pursuit to acquire a licence to run a television channel.
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Raynold Mhotseka is a Journalism and Media Studies student at the University of Zimbabwe. He serves as a news writer at financial research firm, Equity Axis where he is currently on attachment. He can be contacted through the following email links, email@example.com and firstname.lastname@example.org.