• CFI Holdings achieved a legitimate profit of ZWG 175.84 million in FY25 under IFRS, reversing a ZWG 995.7 million loss
  • The headline profit was predominantly driven by non-cash, unrealized foreign exchange gains of ZWG 441.2 million on loans, while group revenue declined 5.46% to ZWG 2.72 billion
  • Excluding exchange gains, the group recorded only a modest adjusted pre-tax profit of approximately ZWG 7 million, indicating that true sustainable profitability remains

Harare- CFI Holdings, Zimbabwe's diversified agro-based industrial conglomerate, has staged a remarkable financial recovery in FY 2025, according to its full-year results for the year ended 30 September 2025.

 The group moved from a loss of ZWG 995.7 million in the previous financial year to a profit of ZWG 175.84 million, marking a significant turnaround in a still challenging hyperinflationary environment.

This improvement was supported by a pre-tax profit of ZWG 448.26 million, compared with a pre-tax loss of ZWG 875.04 million in the prior year. A major factor was the recognition of unrealized exchange gains of ZWG 441.2 million on foreign currency-denominated loans, reversing the ZWG 877.3 million unrealized loss recorded in 2024.

These gains reflect the effects of currency stabiliSation steps and the official devaluation of the Zimbabwe Gold (ZWG/ZiG) that took place in late 2024.

Group revenues declined modestly by 5.46% to ZWG 2.72 billion from ZWG 2.87 billion the previous year. The drop reflects mixed operational conditions, including power supply disruptions and the lingering impact of the prior El Niño-induced drought.

Retail operations, primarily through Farm & City Centre and Agrifoods, continued to be the main revenue contributor, accounting for 83.53 percent of group turnover (compared with 82.61 percent in 2024). This segment benefited from the recovery in agricultural demand after improved rainfall patterns.

Farm & City Centre recorded a 19% increase in sales volumes for key products, helped by better rains and more competitive pricing. Agrifoods achieved an 8 percent volume growth, supported by stronger aggregate demand despite increased competition in the animal feed market.

Food manufacturing and down-packing operations, led by Victoria Foods, saw their contribution fall to 12.99% (from 15.68%), with Victoria Foods reporting a 26% performance decline. This was largely due to power supply challenges and higher raw material costs caused by drought conditions.

Farming operations at Glenara Estates showed encouraging progress, with the segment's share rising to 2.82% (from 1.11%). The estate successfully maintained summer cropping of soya beans and maize, continued potato production, and kept cattle operations running effectively, aided by improved weather.

Group properties contributed a small 0.66% (up slightly from 0.60%), with developments such as Saturday Retreat advancing after favorable court rulings, while matters related to Langford Estates remain pending.

The group increased capital expenditure significantly, investing ZWG 84.79 million in property, plant and equipment (more than four times the ZWG 20.40 million spent in 2024). These funds were mainly directed toward re-tooling, plant spares at Glenara Estates and Victoria Foods, and the restart of hatchery operations. These investments are intended to improve efficiency and support future growth.

Challenges continued, however, including tight liquidity, competition from the informal sector, and ongoing energy instability. Management is focusing on diversification, growing market share in retail and feed, and implementing turnaround measures in manufacturing, with expectations of stronger performance in the coming period as harvests improve.

As of early January 2026, CFI Holdings enters the new year with cautious optimism. The group's stock price on the Zimbabwe Stock Exchange remains in the vicinity of ZiG 5.50 per share . This reflects steady but low-volume trading amid broader market stability.

 A favorable rainfall outlook for the 2026 agricultural season positions CFI's core segmentsretail , and farming for potential demand uplift, as improved harvests could lower input costs and boost volumes in agricultural products, feed, and milling.

Overall, CFI stands as a recovering agro-industrial player well-aligned with Zimbabwe's food security and agricultural rebound themes. If core operational momentum builds on 2025's foundations, particularly through diversification and efficiency gains the group could deliver moderate revenue growth (potentially 5-10%) and more sustainable profitability in 2026, moving beyond reliance on exchange-related gains.

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