ZSE-Listed transport logistics company-Unifreight Africa Limited (Unifreight) suffered a loss of ZWL$ 76 million during the year ended December 2020 despite managing to post an 8 percent increase in earnings before interest, tax and depreciation of ZWL$ 367 million.
Revenue grew to ZWL$ 1.518 billion during the period from ZWL$ 1.329 billion prior year in inflation-adjusted terms against rising operating costs of ZWL$ 1.213 billion from ZWL$ 1.007 billion prior year.
But finance costs, depreciation and monetary losses led to a loss position for the company of ZWL$ 76 million.
The company operations were mainly hit by the advent of the COVID-19 pandemic which resulted in hard lockdowns that halted economic activity across the country and the region.
“It is obvious to state that 2020, for Unifreight and the entire Nation in general, was an extremely challenging year virtually from the very get-go, with the COVID-19 Pandemic leading to lockdowns including the 1st and 2nd Waves of infections,” said the company Chairman, Peter Annesley.
Consequently, Unifreight’s tonnage dropped 14 percent on the previous year.
“This being against a backdrop of a number of Unifreight Customers being completely shut down whilst others operated at less than 50% of normal volumes for extended periods of time – the Board applauds Managements’ performance in ensuring the Group traded strongly and remained profitable,” said Annesley.
The company had an additional 6 months of trading data following year-end were it has reported a significant improvement in performance which has seen revenue increase by 94 percent and volumes grow by 35 percent on Prior year.
It has invested in new fleet and as a result the company has started witnessing improving yields and improved fuel consumption levels as part of its intervention to manage rising operational costs which also includes careful management of labour cost per tonne.
The Board, recommended the declaration of a dividend of 42.26 cents per share.
