- The Group’s revenue grew to ZWL 8 billion
- All units registered positive growth
- Sales volumes were 23% ahead of the prior year
Harare- ZSE- listed paper manufacturer, Nampak Zimbabwe Limited registered sales volume growth across all its operating units during the half-year ended 31 March 2022 despite headwinds from COVID-19 restrictions and hardships in accessing foreign currency.
The economic environment during the reporting period remained fragile, with a resurgence of inflationary pressures and a record decline of the Zimbabwe dollar, while the Ukrainian war added more drama.
However, despite that, revenue grew to ZWL 8 billion from ZWL 6 billion with local sales anchoring the sales volumes.
Sales volumes at Hunyani were 23% ahead of the prior year courtesy of the tobacco sector which was up 66% as a result of early season requirements across the region. However, commercial volumes went down by 5% due to shortages of raw materials.
At CarnauldMetalbox, sales increased by 10% compared to the prior year and in plastics, HDPE was 8% ahead of the same period due to increased demand. Metals volumes increased by 14%, with food cans and crowns leading the recovery while closures were 10% ahead of the prior year due to improved demand.
MegaPak sales went up by 7% compared to the prior year due to increased demand in the large injection moulding and closures sectors with preform volumes in line with the prior-year period.
“The half-year reflected an increase in volumes for the Group of 16% over the prior year, despite the COVID-19 restrictions that have been in place throughout the first half of the year,” the Group said in a statement accompanying the half-year financials.
“However, the availability of foreign exchange remains a concern as well as critical for business sustenance going forward.”
The Group signed a 25-year lease with the Ministry of Lands, Agriculture, Fisheries, Water and Rural Development on Maganga Estate, located between Marondera and Macheke on 1 January 2022.
“This enables plans to proceed with the various agricultural and horticultural development of the estate in line with the government's National Development Strategy,” the Group said.
“Various projects are under consideration and will be carried out subject to the availability of foreign exchange.”
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