Zimbabwe’s Delta Corporation names new Board Chairman, company registers interim growth

ZIMBABWE – Delta Corporation, Zimbabwe’s largest beverage manufacturer has appointed Mr Sternford Moyo as the new Chairman of the Board.

Mr Moyo recently assumed the position of President of the International Bar Association (IBA), the first IBA President of African descent in the history of the 74-year-old organisation.

He is currently a Director of PPC Zimbabwe, Padenga Holdings and Alpha Media and Chairs the Schweppes Zimbabwe board.

He is also the former chairman of Stanbic Zimbabwe and Zimra among other directorships.

ADVERT

The beverage giant has also appointed Dr Alex Marufu, who is the Group Finance Director, as an independent non-executive director at the Board.

Dr Marufu has over 30 years’ experience in managing technology businesses and digital transformation in both the public and private sectors.

He is currently leading a projects management enterprise in South Africa and is a non-executive director of CBZ Bank, chairs the board of TBWA Zimbabwe and Artson Systems in Kenya and previously chaired the NetOne Cellular board.

Dr Marufu has worked for leading companies across the technology space including ICL, SAP Africa and EOH.

Notably, he founded one of Zimbabwe’s earliest Internet companies PrimeNet Communications (now part of MWEB), and Uniswitch (later acquired by Twenty Third Century Systems), which dealt in electronic payment systems including internet banking, SMS Banking and third-party transaction acquiring.

Delta records growth across key segments

In the half year period ended September 2021, Delta recorded a 99 percent jump in inflation adjusted revenue to ZW$33.59 billion (US$92m) compared to the same period last year.

ADVERT

The positive financial performance was driven by solid volume recovery as well as correction of value chain costs in real terms and realignment of pricing to competitive levels.

According to the company, volumes for the interim period grew across all segments with the soft drinks segment leading the volumes growth driven by improved consumer disposable incomes and relaxed trading conditions.

This was achieved despite packaging supply problems that saw shortages of polyethylene terephthalate (PET) drinks and some non-returnable glasses (NRG) bottles.

In the soft drinks segment, sparkling beverages led the volume growth with a 95 percent increase to 584 Hectoliter (HLS) from the prior year to September 31, 2021.

Alternative beverages came in with volume growth of 80 percent to close the period to September with volumes of 36 HLS.

During the period under review, Lager beer volume grew by 57 percent to 872 HLS compared to the same period last year, attributed to competitive pricing and consistent product supply with respect to both brand and pack.

In Zimbabwe, the sorghum beer segment recorded a significant jump in volumes by 68 percent to 1,834 HLS sold compared to prior year.

The volume at Natbrew Plc (Zambia) declined by 22 percent for the six months due to the limited access to the market under Covid-19 restrictions and resurgence of competition from the illegal bulk beer offerings.

United National Breweries South Africa benefited from the lifting of the alcohol ban to record a volume increase of 118 percent over prior year.

Meanwhile its Schweppes unit benefited from improved supply of both Minute Maid juice drinks and cordials together with affordable pricing which drove volumes in the period under review.

The higher demand of fresh fruit in the international markets resulted in lower intake of juicing fruit creating a need to import juice for processing.

Nampak as an associate, benefited from improved volume performance from the beverages sector despite facing huge constraints in sourcing of raw materials such as resins and tinplate.

 Liked this article? Subscribe to Food Business Africa News, our regular email newsletters with the latest news insights from Africa and the World’s food and agro industry. SUBSCRIBE HERE

Other Posts Worth Reading

Leave a Comment

This site uses Akismet to reduce spam. Learn how your comment data is processed.