Revenue grew by 70% ahead of prior year

Expenditure dropped to US$7 million from US$11 million

The Company expects robust performance in the last quarter

Harare- Construction firm listed on the Zimbabwe Stock Exchange (ZSE), Masimba Holdings has recorded a 70% uptick in revenue during the third quarter ended 30 September 2022 driven by improved order book in the roads and earthworks, mining and housing infrastructure.

Profitability in the period continued despite inflationary cost pressure increases from within and beyond national boundaries courtesy of the Russia-Ukraine war which has affected the global supply chain inflating commodity and raw materials prices.

“The business maintained favourable liquidity and gearing ratios through implementation of robust and stringent working capital strategies, notwithstanding the liquidity constraints that prevailed in the market following the temporary suspension of local payments by National Treasury,” the Company said in a trading update.

Meanwhile, capital and investment property expenditure eased to US$7 million from US$11 million recorded in 2021 during the same quarter.  Expenditure was mainly to support the growing order book as well as a value preservation strategy.

“This was funded from a combination of internal resources and vendor supply credit facilities.”

The Company retained its Safety, Health, Environmental and Quality Management systems certifications.

The Company expects robust performance in the fourth quarter as it boasts with a firm and well-balanced order book with average tenures of between three to twelve months.

“We applaud the Government on the policy interventions which have culminated in a stable foreign currency exchange rate regime. This has, resultantly, created an improved environment for the execution of infrastructure projects,” the Company added.

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