Delta Corporation reports 59.2% surge in annual profit 

ZIMBABWE – Delta Corporation, Zimbabwe’s leading beverage manufacturer, reported a remarkable 59.2 percent surge in profits for the fiscal year ending March 31, 2024.  

The company’s profits increased to US$100.5 million, up from US$63 million in the previous year, driven primarily by a strong showing in its lager beer segment and overall revenue growth. 

This impressive financial performance was underpinned by a significant rise in revenue, reaching US$767.6 million, reflecting a 43 percent increase compared to the previous year. 

The growth momentum extended to other key financial metrics, with operating income rising to US$152.3 million and EBITDA reaching US$166.9 million. 

Delta Corporation attributes this success to record sales in its lager beer segment, which remains the cornerstone of the company’s revenue generation.  

Lager beer sales surged by 43 percent to US$318 million, accounting for over 41 percent of the group’s total revenue. This segment’s growth was fueled by a 13 percent increase in volume sales, reaching a record high of 2.5 million liters. 

The positive trend wasn’t limited to lager beers. The company also reported a substantial 40 percent increase in revenue for its sorghum beer business, reaching US$250.8 million.  

This segment benefited from robust demand, both domestically and in export markets like Zambia and South Africa. Delta further expanded its offerings in this category with the introduction of two new sorghum beer flavors earlier this year. 

Sparkling beverages also experienced significant growth, with revenue increasing by 59 percent to US$146.7 million, accompanied by a 29 percent rise in volume sales. The wines and spirits category witnessed a healthy 26 percent year-on-year increase in revenue, solidifying Delta’s diversified beverage portfolio. 

Delta Corporation’s strategic investments in production capacity expansion projects across all product lines have been crucial in driving volume growth and improving customer service.  

According to Delta Chairman Sternford Moyo, the group undertook substantial capital expenditure across all product lines during the year under review, with cumulative investments over the past two years amounting to approximately US$100 million. 

“The group commissioned significant production capacity expansion projects during the current year to support volume growth and improve customer service.  

These include the lager beer glass packaging line at Southerton Brewery, a PET packaging line at Graniteside, the Chibuku Super plant at Harare Brewery, and a Chibuku Super plant at Phelindaba Brewery in Pretoria,” said Moyo.

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