EDGR.zw | FY2018 audited financial results

CHAIRMAN’S STATEMENT

FINANCIAL OVERVIEW

Foreign currency shortages necessitated an import substitution program which, through the efforts of our sourcing teams, was largely successful. Despite these endeavours, local production was somewhat erratic due to the inability of our suppliers to source inputs. Imported product lines which could not be sourced locally such as cosmetics, shoes and lingerie, were more severely affected...

Retail Operations

Edgars Chain

The chain recorded turnover of $45.7m (2017:$39.6m) out of 25 stores (2017:26) an increase of 16%. Units sold for the year were 1.6m (2017:1.9m), a decrease of 16%. The chain’s profit to sales ratio increased to 27% from 24% in 2017.

Jet Chain

Total Sales were $30.5m (2017:$24.1m) out of 24 stores (2017:25) an increase of 27%. Units sold for the year were 2.3m (2017:2.5m), a decrease of 8%. The Chain's profit to sales ratio increased to 23% (2017:21%).

Outlook

In the short term, we look forward to customer incomes being assisted somewhat by salary increases. In the longer term we look forward to the promised fiscal discipline and reforms delivering foreign investment and job creation.

We will intensify our efforts in working with local suppliers to develop and improve the quality, fashionability and, importantly, on-time-delivery of wanted product.

Management will continue to deliver profit growth to all our stakeholders.

Dividend

The Board has declared a final dividend of 0.5 cents per share (RTGS) to shareholders reflected in the company’s register on the record date being 3 May 2019.

Shares will trade cum-div until 29 April 2019 and ex-div from 30 April 2019. The payment date is on or about 31 May 2019.

Shareholders will have an option to receive their dividend wholly in cash or take their dividend entitlement in the form of shares. The offer price to the shareholders has been determined by the share price on the date of the first announcement. Details of the maximum number of shares each shareholder is entitled to and the procedure to be used in electing to take up this scrip dividend offer are set out in the form of election which will be published in a separate announcement and posted to shareholders.

Appreciation

I am grateful to board colleagues, management and staff for their dedication. I am also grateful to our customers for their loyalty and our landlords, bankers and suppliers for their continued support.

TN Sibanda
Chairman


Related download

FY2018 Financial results