BULAWAYO, March 12 (The Source) – Botswana retail group Choppies Enterprises, which has opened 15 retail outlets in Zimbabwe since 2013, expects a significant jump in revenue for the half-year to December 2014, the company said on Thursday.
The retail group will announce its half year financial results by 31 March but said its results were likely to show a notable jump in revenue compared to the previous year.
“The company’s revenue and total comprehensive income for the half year ended on 31 December 2014 will be significantly better than those reported for the period ended on 31 December 2013,” chief executive officer Ramachandaran Ottapathu said in a letter to the Botswana Stock Exchange (BSE) this week.
The letter was submitted as part of a prior announcement required by the BSE when pending results are likely to be significantly different from those in the previous reporting period.
Choppies entered the local market, in partnership with a local entrepreneur Siqokoqela Mphoko, after buying Bulawayo-based businessman Raj Modi’s investment company, Modi Enterprises, for BWP 180,2 million ($21,2 million), and taking over 11 of the outlets that were operating under the Aaro Mart and Spar franchises in Bulawayo in 2013.
Since then it has opened a number of outlets including in Harare.
The group intends to add 30 supermarkets in Zimbabwe in the medium-term, with plans to ultimately increase them to 60 in the long-term.
The group reported last year that the full-year revenue for Zimbabwe operations in 2013 stood at $2,5 million, with a net profit of $1,95 million.
Choppies is Botswana’s largest retail chain with 63 outlets in Botswana and 13 in South Africa.
It listed on the BSE in 2011 and its market capitalisation now stands at nearly $490 million.