Improved sales push Afdis FY net profit up 55pct

Improved sales push Afdis FY net profit up 55pct

HARARE, August 27 (The Source) – Wines and spirits maker African Distillers (Afdis) reported a 55 percent increase in after tax profit to $3,1 million in the full year to June 31 compared to the previous year on improved sales.

Volumes registered an 18 percent growth driven by the local production of ciders, which increased by 56 percent and are expected to spearhead the company’s future volume growth strategy.

The company last year commissioned a new plant, pushing its production capacity of ciders to over 20 million litres annually.

Spirits sales grew by eight percent during the financial year.

Revenue at $25 million was up five percent while turnover grew eight percent to $38 million.

Finance costs were down 67 percent to $70,000 driven by significantly lower interest rates and use of foreign credit facilities.

Earnings per share grew by 37 percent to 2,75 cents.

The board declared a dividend of 0,36 cents per share.

South Africa’s Distell and Delta jointly own Afdis Holdings, which controls 60,50 percent of the locally listed distiller. Other shareholders include Old Mutual Life Assurance, Stanbic Nominees and the Mining Pension Fund.