NamPak Zimbabwe Limited sales for the year ended 30 September 2017 amounted to $96,3 million as compared to $95,2 million recorded in 2016 due to the company’s cost containment and tight controls over working capital.
According to Group Secretary AK Nelson, the operating prot amounted to $7, 6 million compared to $6,8 million recorded in the same period in 2016.
“Operating Prot came to $7,6 million as compared to $6,8 million that was recorded in 2016.
“Improved protability, combined with cost containment and tight controls over working capital, gave the Group an improved cash holding throughout the year.
“The inability to settle foreign liabilities timeously resulted in a further accumulation of cash balances to $48,2 million (2016: $21,1 million) at year end.
“The total expenditure amounted to $2,8 million (2016: $5,9 million) and was incurred to enhance plant capacity,” said Nelson.
Capital expenditure reported includes new moulds for blow and injection molding at Carnaud Metalbox and Mega Pak and installation of a new rotary HDPE blower for Carnaud Metalbox as well as minor equipment at Hunyani.
Meanwhile Mega Pak volumes and net revenue were substantially down on prior year, severely impacted in the rst quarter, again by a cool summer, and a build-up of stock at the major customers
“Hunyani volumes and net revenue across the operating divisions improved from the prior year with an upturn in
demand for commercial packaging arising from import restrictions due to Statutory Instrument 64 and a solid performance in the tobacco carton sector.
“The operating prot was substantially ahead of the prior year, driven by the higher volumes and overhead costs containment,” said Nelson.
