• Zimpapers narrowed its loss for the period to ZWG36.1 million from ZWG46.6 million,
  • Newspaper and broadcasting losses narrowed, while commercial printing revenue fell 55% to ZWG25.7 million and its segment loss widened to ZWG21.6 million
  • The September restructuring will move ZTN to an OTT model and realign newspapers around digital and mobile first operations

Harare  - Zimbabwe Newspapers (1980) Limited, the media group that publishes The Herald and The Sunday Mail and operates Star FM and ZTN Prime, narrowed its loss for the period to ZWG36.1 million in the six months to June 2026 from ZWG46.6 million a year earlier, as lower operating expenses and improved results from its newspaper and broadcasting businesses reduced the earnings deficit. Pasted markdown

Zimpapers operates across newspaper publishing, broadcasting, commercial printing and digital media, with advertising remaining its principal revenue stream. The group has been investing in digital publishing, audience monetisation and other revenue opportunities as advertising expenditure and customer collections remain under pressure. Pasted markdown

Revenue declined 8.4% to ZWG305.5 million from ZWG333.6 million, while gross profit remained broadly stable at ZWG153.9 million against ZWG155.6 million previously. Administration expenses fell to ZWG165.1 million from ZWG178.4 million, while selling and distribution costs declined to ZWG27.4 million from ZWG30.9 million. Pasted markdown

The lower cost base reduced the segment loss to ZWG38.9 million from ZWG49.8 million. Finance costs increased to ZWG5.5 million from ZWG2.0 million, while a ZWG6.0 million exchange gain and ZWG5.2 million monetary gain reduced the deficit, leaving a loss before tax of ZWG33.2 million and a loss for the period of ZWG36.1 million. Pasted markdown

Revenue performance varied across the operating businesses. Newspaper revenue increased to ZWG182.5 million from ZWG181.4 million and broadcasting revenue rose to ZWG97.3 million from ZWG94.8 million, while commercial printing revenue fell to ZWG25.7 million from ZWG57.4 million. Pasted markdown

The segment results followed the same pattern. The newspaper division reduced its loss to ZWG10.3 million from ZWG21.2 million, while broadcasting reduced its loss to ZWG5.9 million from ZWG13.0 million. Commercial printing recorded a ZWG21.6 million loss, widening from ZWG14.0 million. Pasted markdown

Commercial printing also carries a substantial asset base. Its ZWG194.3 million of assets at June supported revenue of only ZWG25.7 million, while the newspaper division held ZWG324.1 million and broadcasting ZWG92.3 million. The printing operation was also affected by supply chain constraints involving key raw materials. Pasted markdown

The financial results come as Zimpapers changes its operating structure. On 16 September, Board chairperson Doreen Sibanda announced that ZTN would move from its traditional linear television model to a digital Over The Top platform, while the Newspapers Division would be reorganised around a digital and mobile first structure. The changes involve consolidation of functions and a retrenchment process for positions made redundant under the revised structure. Pasted markdown

The restructuring places the group's largest revenue division within the transition. Newspapers generated about 60% of group revenue in the first half, while its segment loss had already narrowed materially. Zimpapers has also identified digital publishing and audience monetisation as part of its effort to diversify revenue beyond traditional advertising. Pasted markdown

Cash generation improved during the period. Operating activities generated ZWG10.2 million compared with a ZWG7.8 million outflow a year earlier, while investing activities consumed ZWG1.1 million and financing activities recorded a net outflow of ZWG7.9 million. Pasted markdown

Working capital remains important to the financial position, with management prioritising debtor collections and the cash conversion cycle. Total assets stood at ZWG615.1 million at June, including ZWG435.8 million of non current assets, while borrowings comprised ZWG9.6 million of non current debt and ZWG9.3 million of current borrowings. Pasted markdown

The group is also implementing recommendations from a forensic audit commissioned in late 2025, covering internal controls, policy compliance, procurement, approval processes and accountability. Zimpapers did not declare an interim dividend, citing the need to conserve cash and strengthen working capital. Pasted markdown

The first half therefore combines a narrower loss with a weaker revenue base. Newspaper and broadcasting performance improved, operating expenses declined and operating cash flow returned to positive territory, while commercial printing recorded a sharp revenue decline and wider loss. Pasted markdown

The September restructuring now places the cost structure and revenue model alongside each other. Zimpapers is reducing organisational functions while shifting television and newspapers towards digital distribution, leaving revenue growth, segment margins, employee costs, digital monetisation and commercial printing utilisation as measurable indicators of how the new structure affects the group's financial performance. Pasted markdown

Zimpapers enters the second half with a smaller loss, improved operating cash generation and a restructuring programme underway. The next results will show whether the changes produce stronger revenue and operating performance alongside the reduction in costs.

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