Zambeef Products Plc Chairman: Dr Jacob Mwanza

Key Financial Highlights
  • Despite significant macro-economic challenges, the Group has had an excellent operational performance for the year with operating profits increasing by 140% in USD and 189% in ZMW.
  • Profit before tax excluding exchange losses increased by 590% in USD and 728% in ZMW.
  • Unfortunately these excellent operational results have been severely impacted by the rapid depreciation of the Zambian Kwacha during the year resulting in exchange losses of USD20.2m (ZMK142m).
  • The Group has generated significant cash during the period with net cash inflow from operating activities increasing by 171% in USD and 223% in ZMK.
  • The Group’s core cold chain food product divisions performed particularly well, with gross profits increasing by 29.1 per cent. in ZMW terms and 7.6 per cent. in USD terms.
  • Exchange losses for the year of USD20.2 million have reduced a pre-tax profit of USD15.1 million into a pre-tax loss of USD5.0 million.
  • The large cash inflow from operations as well as the disposal of Zamanita have resulted in the Group reducing term debt by US$21.2m and its working capital facilities by USD25.0m while the total net debt in USD terms has reduced by USD46.2 million, from USD118.5 million (2014) to USD72.3 million.
  • The Group converted a significant amount of its USD denominated debt into ZMW in order to mitigate future currency exchange risks/losses.

FY 2015 financial report