Zimbabwe News and Internet Radio

Meikles revenue increases to $534m

TM Pick and Pay supermarkets, agriculture and hotels contributed $487.8 million, $28.8 million and $17.6 million of the group total income respectively, while departmental stores and corporate contributed $1.8 million and $1.4 million in that order.

Miekles Hotel suite in Harare
Miekles Hotel suite in Harare

Wholesaling added $224 000 to the group total income. Cash from operations went up 10 percent to $33,7 million from $30,8 million while earnings before depreciation, interest, taxation and amortization (EBITIDA) increased to $40,1 million from $24,8 million previously.

Net operating costs went up 14 percent to $508,1 million from $443,9 million while finance costs declined from $9,1 million to $8,6 million.

Profit before taxation went up 225 percent to $19,2 million from $5,9 million in 2017.

After tax profit increased to $8,1 million from $746 000 while borrowings were up at $73,2 million from $73,2 million.

“The financial statements are unaudited as it is believed that it will be possible to release audited results, which will include the impact of funds owing to the company by the government of Zimbabwe before the end of August 2018,” said executive chairman John Moxon in a statement on Friday.

The company has received commitment that sums due by government were acknowledged and would be paid. “However, the company awaits sufficient written document to enable inclusion of sums due in the financial statements.”

Mr Moxon said the company sought funding from opportunities which would unfold in the short term. “These opportunities will in themselves enable the group to achieve a position of financial strength,” he said.

He said Zimbabwe would benefit from a revitalised corporate entity, with greater opportunities for employment and a more vital creation of opportunity for both local and foreign investment.

The company, which did not declare a dividend, planned to open a number of new stores and further upgrade existing ones. In the outlook, the group said growth in profits was expected to continue. — New Ziana.