22 January 2018
Winky D gives voter registration oomph
Cholera: Zim on high alert as 4 killed
ANC confirms Zuma exit discussion
Government orders blood price reduction
- One day’s supply left of key blood group
Kasukuwere begs ED for forgiveness: official
Chinamasa to divert wages to devolution
Dump Mugabe regalia, Zanu PF official
Gemmology center in Mutare soon
NRZ loss as gold miners damage rail line
Unpaid Mr ugly reports sponsors to ZRP
Zim author releases new book in USA
Billiat might still leave: Sundowns coach
Anger as Dembare approach City player
Mnangagwa’s ‘New’ Zim merits support
Zhuwao: kleptocracy and EDiots in Davos
Mnangagwa off to Davos empty handed
Economy: the need for a paradigm shift
Delta bets on Chibuku Super, to commission two plants  
29/07/2016 00:00:00
by Source.co.zw

HARARE: Delta Corporation says it will commission two new Chibuku Super plants in Masvingo and Kwekwe by October this year at a cost of $30 million to increase volumes of its popular sorghum beer.

Chief executive Pearson Gowero told shareholders at the company’s annual general meeting that volumes for the first four months of the financial year were up, largely on increased uptake of Chibuku Super as customers were shifting towards cheaper products.

“Sorghum beer improved on Chibuku Super and we have increased market share in that business thus we are looking at distribution as well as putting additional capacity in Kwekwe and Masvingo which will be commissioned in October,” he said.

Equipment for the Chibuku Super two plants was now on site, a welcome development after the group cut prices to stimulate demand, he added.

In the review period, sorghum beer volume increased rose nine percent while revenue inched up three percent.

Lager beer volumes dropped 14 percent and revenue went down 17 percent but the lower priced Eagle lager was in demand.

“Soft drinks volumes were down 17 percent, but revenue is better because we sell high value products,” he said.

Gowero said weak economic fundamentals, cash shortages, underperformance of agriculture and significant policy shifts continue to undermine the company’s performance.

“We expect little change in the trading environment and we will focus on strengthening cost containment measures and cost base while continuing to defend market share,” said Gowero.

On associates, Afdis is still to report its financials, while Schweppes volumes were up eight percent but revenue slid down five percent, with the market share stable.

Nampack Zimbabwe revenue is trending below prior year but profitability is improving due to streamlining costs and productivity. The company also witnessed growth in plastic packaging volumes.


Email this to a friend Printable Version Discuss This Story
Share this article:

Digg it






Face Book



comments powered by Disqus
RSS NewsTicker