Cassava volumes ease by 40% during lockdown

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  • Company is actively tracking changes in consumer behaviour during lockdown and adjusting its plans
  • 97% of the staff has been working from home during the lockdown.

Harare – Cassava Smartech seeks to exploit new opportunities in the midst of the COVID-19 pandemic so as to remain relevant in spite of the uncertainty surrounding the full impact of the pandemic on most businesses, the Company revealed.

In a special trading update, the Company said it has identified potential areas for growth which include e-Commerce, e-Learning, On-Demand Services, Insurtech, Healthtech and Agritech as well as Fintech services.

The pandemic has made it necessary for businesses in all sectors to map out new ways of carrying out their operations that are sustainable while ensuring the safety and well-being of their employees and customers.

“What is apparent across all business units is that the COVID-19 pandemic has ushered in a new normal and business agility is required to remain relevant and adapt to the changes as the opportunities present themselves”, Cassava said.

They also said they are actively tracking changes in consumer behaviour during this time and proactively adjusting their plans and resources.

To date, the Company has introduced telecommuting for all its staff with 97% of the staff working from home during the lockdown.

Although efficiencies during the lockdown period were affected, Cassava said it has since optimized most of the processes and expects to leverage on some of these processes even after the COVID-19 lockdown passes.

The Company registered a decline in volumes by an average of 40% across the Group during the lockdown which subsequently recovered as the lockdown rules eased.

The decline has been attributed to disruption to the operations of the Group’s partners who operated for reduced hours in compliance with the lockdown regulations.

“This had an impact on our business which is largely reliant on our partners”, the Company said.

The Company said its Board of Directors has assessed the business and confirm that the Company is in a sound position to continue operating for the foreseeable future.

“Scenario planning process to understand the potential impact on financial performance is in place and being refined on an on- going basis”, Cassava said.

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