Zambeef overcomes currency headwinds
The African agricultural business, Zambeef Products, has reported a sharp upturn in revenues and profits although it is struggling against currency headwinds.
The African agricultural business, Zambeef Products, has reported a sharp upturn in revenues and profits although it is struggling against currency headwinds.
The group is one of the largest agri-businesses in Zambia, principally involved in the production and retailing of beef, chicken, pork, and dairy products. It also has operations in Nigeria and Ghana.
Revenues for the six months ending on March 31st were $127.6m, up 32% on the same period last year, while pre-tax profits gained 53% to $8.1m.
Subscribe to MoneyWeek
Subscribe to MoneyWeek today and get your first six magazine issues absolutely FREE
![https://cdn.mos.cms.futurecdn.net/flexiimages/mw70aro6gl1676370748.jpg](https://cdn.mos.cms.futurecdn.net/flexiimages/mw70aro6gl1676370748-320-80.jpg)
Sign up to Money Morning
Don't miss the latest investment and personal finances news, market analysis, plus money-saving tips with our free twice-daily newsletter
Don't miss the latest investment and personal finances news, market analysis, plus money-saving tips with our free twice-daily newsletter
The profit figure, however, excludes a rather nasty $9.7m provision for a tax bill on one of the group's subsidiaries: Zamanita.
Commenting on the results, Chairman Dr. Jacob Mwanza, said: "We are happy to see continued strong performance of our core business areas, aided by the continued growth of the Zambian economy, together with the expansion of Zambeef's operations.
"Our main challenges have been the weakening of the Zambian Kwacha (particularly against the US Dollar) the ZRA Zamanita tax liability, and supply and/or capacity constraints in meeting continued growth in demand for our core products."
Zambeef shares have struggled this year, down 22.7% since January, but the figures saw the stock gain 5.4% by 10:04.
BS
Sign up to Money Morning
Don't miss the latest investment and personal finances news, market analysis, plus money-saving tips with our free twice-daily newsletter
-
Regulator moves to protect access to cash amid branch closures and disappearing ATMs
News The Financial Conduct Authority has told banks to start assessing if local communities have adequate cash access from mid-September
By Marc Shoffman Published
-
VAT hike on private school fees could come earlier than previously expected
The government could start charging VAT on private school fees as soon as January 2025, according to the latest reports. What does it mean for parents?
By Katie Williams Published