Axia Corporation Revenue 26 Percent Up

Zimbabwe Stock Exchange listed company, Axia Corporation limited Group reported a revenue of US$248 million for the year ended June 2017 achieving a 26% growth compared to the same period last year.

Group Chairperson, Luke Ngwerume reported that from the US$248.262 revenue generated, Axia Corporation which owns TV Sales and Home and Transerv recorded an operating profit of US$22.908 million and a profit before tax of US$20.754 million.

“An operating profit of US$22.908 million and a profit before tax of US$20.754 million were recorded for the year ended 30 June 2017 notwithstanding once-off legacy charges recorded in the associate distribution businesses.

“Headline earnings per share at 1.37 US cents were 25% above the comparative period

“Owing to the delays in foreign payments, the Group has been impelled to take proactive action to secure additional inventory and this has resulted in a change to its working capital profile.

“In addition, the increased net working capital is a result of the strategic inventory balance which grew markedly in all businesses.

“The Group’s capital expenditure for the year totaled US$1.722 million while net borrowings increased by US$9.702 million mainly to support strategic working capital investments and this has resulted in the net gearing ratio increasing from 7.11% to 17.23%,” said Ngwerume.

 Meanwhile, the board declared a final dividend of 0.22 US cents per share in respect of all ordinary shares of the Company for the year ended 30 June 2017.

In addition, a special dividend of 0.08 US cents has been declared bringing the total final dividend in respect of the year ended 30 June 2017 to 0.30 US cents per share.

Axia board also declared a dividend totaling US$81 200 to the Axia Employee Share Trust (Private) Limited.

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