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Delta revenues top US$408 million
12/05/2011 00:00:00
by Gilbert Nyambabvu
 
Sales boost ... Delta bouyed by higher volumes
 
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DELTA Corporation recorded a 45 percent jump in revenues in the year ending March 2011 on the back of increased demand as the country's economy recovers.

Revenues for the period amounted to $408 million, up from $281 million previously, Delta said. After-tax profit increased to $54.1 million in the year, from $35.5 million the previous year.

The company said total volumes increased 15 percent driven by stronger lager and sparkling beverages demand.

Management however, said they were concerned about rising costs.

“Firming international commodity prices resulted in cost pressures for some of our inputs, particularly sugar for which international prices reached a 30-year peak during the period,” a statement accompanying the results read.

“The strengthening of the Rand and the Euro contributed to increased costs of importing costs from South Africa and the Euro zone.

Delta Corporation which is 36.8 percent owned by SABMiller, said headline earnings per share rose to 4.50 cents in the year from 3.16 cents previously.

Headline EPS, the main profit measure in southern Africa, strips outs certain one-time items.

Delta invested $82 million to expand its operations during the year.

Zimbabwe's economy has started to grow again under a power-sharing government set up by President Robert Mugabe and Prime Minister Morgan Tsvangirai two years ago, after a decade of contraction and hyperinflation.



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