Pick n Pay income boost Meikles H1 performance

Pick n Pay income boost Meikles H1 performance

HARARE, November 24 (The Source) – Meikles Limited revenue for the half year to September 30 grew 12 percent to $254 million from $225,9 million in the previous period with, the retail segment accounting for over 90 percent of income.

The group recorded a profit before tax of $5,4 million compared to $700,000 in the previous year.

TM/Pick n Pay Supermarkets contributed $232 million, up from $202 in the previous period. The agricultural segment, revenue grew by 26 percent to $12,9 million from $10,2 million achieved during the six months ended 30 September 2016.

For the hospitality sector: “Revenue grew by 13 percent to $8,7 million, with the growth primarily attributable to a surge in tourist arrivals in Victoria Falls. New airlines commenced flights to Victoria Falls during the period under review,” chairman John Moxon said in a statement accompanying company results.

Earnings before interest, taxes, depreciation, and amortization (EBITDA) for the period went up by 60 percent to $15,3 million from $9,5 million in the previous year.

Moxon said seven outlets were closed during the period under review due to working capital constraints.

He said progress has been made with the government over a Reserve Bank of Zimbabwe debt which has been outstanding for two decades.

“An agreement was due to be finalised immediately before the release of our results for the period to 30 September 2017. It is now anticipated that recent events will delay finalisation, but it is not expected that the outcome will be compromised in any way,” Moxon said.

Moxon said the group is expected to increase its EBITDA performance during its second half of the financial year.