TZI revenue up 119 percent

TZI, which has transformed itself into an investment company leaving management to the boards that are running its investments, had a turnover of $22.6 billion in the year ended September. Though this represented a revenue increase of 119 percent, it said its results were satisfactory because of the difficult macro economic conditions.

Operating profit increased from $2.3 billion to $3.6 billion while attributable profit almost trebled from $1.6 billion to $4.2 billion. Attributable profit was boosted by profits from associates which totalled $720 million and exceptional items, mainly profit from subsidiaries and investments which totalled $1.7 billion.

The company says Agriflora turned losses incurred in the first half into a full year operating profit of $1.1 billion from export of horticulture. The second half performance was assisted by a weaker United States dollar against the pound sterling and an improvement in the price of roses which are in Euro.

The company says it is unbundling to focus on the horticulture export business. Work on a Hi-care pack-shed for Agriflora started in September and is nearing completion. Fresca achieved record factory throughput in the last quarter after some disruptions earlier in the year.

Its industrial and manufacturing subsidiary ART, which was listed separately in June, had an excellent year replacing weak demand for its products in Zimbabwe with regional exports. Strategies Africa group also did well expanding to East Africa. It had an after tax profit of $249 million, which was above budget.

TZI won the Financial Gazette/Jewel Bank top company of the year award last year. The award is open to companies listed on the Zimbabwe Stock Exchange.

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