Delta Q3 revenue up 24pct, consumer spending up on economic optimism

Delta Q3 revenue up 24pct, consumer spending up on economic optimism

HARARE, January 16 (The Source) – Beverage maker Delta Corporation reported a 24 percent increase in revenue for the third quarter to December 31 driven by a sharp rise in demand over the festive period.

In a trading update, the group said revenue grew nine percent in the nine months to December.

Lager beer volumes increased by 36 percent above prior year and 20 percent for the nine months.

Sparkling beverages volume increased by 14 percent in the quarter and five percent for the nine months.

“The period was characterized by significant political developments which gave rise to renewed optimism for economic recovery. This manifested through increased consumer spending and market liquidity,” company secretary Alex Makamure said.

“The resurgent demand was largely met despite the challenges in procuring imported materials and services.”

Sorghum beer volume grew by 10 percent above prior year for the quarter but remained flat for the nice months.

Delta, now an associate of Belgian brewer AB InBev following the later’s acquisition of SABMiller in 2016, said negotiations to terminate a Bottlers Agreement with the Coca-cola company have progressed slower than expected.