Zimbabwe Stock Exchange listed, TSL Zimbabwe is poised to benefit from an increased market share of the national tobacco crop which is expected to be between 10% and 15% , the company has reported.
In its half year ending 30 June results, TSL Zimbabwe recorded a 4 percent increase in revenue to $24.6 million with operating profit going 27% up to $3.5 million.
“The tobacco related businesses, are poised to benefit from an increased market share of the national tobacco crop which is expected to be between 10% and 15% up on prior year with estimates ranging between 210 and 220 along with prices that are expected to be marginally firmer.
“The one-week late start to the tobacco selling season has, to an extent, affected the numbers reported for the tobacco-related businesses, but these volumes should be reflected in the Group’s full year results,” reads the results.
They added that $10 million of the funds have been earmarked for capital projects which are to be undertaken in the second half of the year.
“$10 million of the funds have been earmarked for capital projects which are to be undertaken in the second half of the year. In the meantime, part of the funds have been temporarily invested on the money market to reduce the Group’s cost of funding.
“The Group’s financial position remains sound. Net Asset Value per share has increased by 8% to 22.1 cents.
“The Group’s current ratio is up 76% to 2.7, buoyed by the funds from the disposal of the investment in Nampak,” they said.
