Zimbabwe Stock Exchange listed agro-engineering firm, Zimplow Holdings posted revenue of ZWL$ 1.66 billion during half year trading period to June, 2021, a 67 percent growth from prior year levels thanks to increased volumes across all units, the company has said.
However, the Group took deliberate steps towards staff retention and capacity maintenance expenditures to drive the top line and access new markets, which drove operating expenses to be ahead of prior year.
As a result Profit for the year reached ZWL$ 228.4 million slightly lower than ZWL$ 289.5 million achieved last year.
At Farmec, the unit continued its growth trajectory with the revenue growing by 119 percent in real terms ahead of prior year being driven by tractor and implements volumes which went up by 133 percent and 77 percent against prior year respectively.
At Meilie Brand, the Business Unit recorded volumes growth in both local and export sales during the period under review compared to the same period last year. Local and export implements volumes were 147 percent and 69 percent respectively ahead of prior year pushing revenue growth by 161 percent in real terms against prior year.
At Barzem, the unit managed to double volumes of earth moving equipment units sold to 14 compared to prior year. Parts revenue grew by 80 percent in real terms and service hours were 28 percent ahead of prior year.
At CT Bolts, revenue grew 61 percent.
“The key driver came from volume growth which went up by 58%. The unit will continue to focus on realigning its distribution channels and supply chain management,” said the company.
However, Powermec, revenue dropped 7 percent as generator units sold were 24 percent behind prior year.
Going forward, the Group is buoyed by a firm order book which will improve business.
“Our outlook is positive supported by a firm order book and good leads in the construction and mining industries as well as a positive rainfall forecast for the 2021/22 agricultural season,” the company said.
